Posted on Tuesday, 29-June-2010 at 22:37 GMT.
Related Categories: Passenger Value, Service

There is one airline fee that consistently ranks among the least popular but it remains one of the airlines' largest money-makers. Apparently, and despite their grudges, flyers are shelling out enough money for checked baggage to create a whole new revenue stream for the airlines, virtually guaranteeing the existence of added fees as the new airline norm.

Last year, U.S. airlines collected over US$500 million in checked baggage fees for the first three months alone. This year, the number is a staggering $769 million for the first quarter. That represents a 33% increase according to the U.S. Department of Transportation. At that pace, U.S. carriers will net over $3 billion in baggage fees alone this year. Consider the fact that airline reservation change fees and other add-on charges for all kinds of services netted airlines in the U.S. nearly $2 billion more in the first three months of 2010, and you can see the writing on the wall – these fees aren't going away.

For some flyers, checking a bag is a necessity. These flyers will pay the fees despite their objections. Others, on the other hand, have changed their packing and traveling habits as a result. We can consider these the no-fee, no-way folks who will go out of their way and change what they need to change in order to avoid paying fees. Judging by the numbers, the sound of coins piling up in airline coffers seem to be drowning out the shouts of disapproval from most of the flying public.
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