3 ms·

Airlines do the same thing with luggage fees, TSA and airport fees.

yuliyp 6y ago
Airlines are basically one of the few industries that includes the taxes in the fares that they show when browsing. They do sell add-ons for more money, but that's quite different from just showing you part of the price before checkout and/or hiding taxes and fees until then.
- deleted 6y ago
  [deleted]
- kemitche 6y ago
  Frontier Airlines charges for both checked and carry-on baggage. Additionally, they charge _more_ for luggage if you don't pay until you're at the airport, and even more if you wait til you're past security and at the gate. Is it literally the exact same thing? No, but it definitely falls into the same category of sunk-cost/trapped buyers. Once you get to the gate, you're getting on the plane, even if you have to pay more for your luggage than you expected. It's also very similar to why the soda vending machine at work charges $1 for a soda; the one in the amusement park charges $3, and the one _in the line_ for the popular ride costs $6. They all rely on facets of behavior that the consumer will just pay a little more once they've somehow invested in the process. The only difference is _what_ they invested and how easily recoverable it is.
  - lotsofpulp 6y ago
    > Is it literally the exact same thing? No, but it definitely falls into the same category of sunk-cost/trapped buyers. Once you get to the gate, you're getting on the plane, even if you have to pay more for your luggage than you expected. It’s not the same thing at all. Even frontier displays up front what the bag fees will be. And it’s been years since airlines have been charging extra for bags, so I would say it’s convention by now. On Google flight search, you can see total prices including however many bags you specify.
toomuchtodo 6y ago
Airlines are required to include taxes and fees in the total price upfront because the US Department of Transportation required them to [1]. [1] https://www.transportation.gov/policy/aviation-policy/airline-rules-fares#DisclosureFullFares https://www.transportation.gov/policy/aviation-policy/airlin...
tedunangst 6y ago
No? If I see a ticket for $167 on the airline website, I can get on the plane for $167.
jgbmlg 6y ago
Airlines charge progressive luggage fees because they have discovered that flying air freight on passenger flights is highly profitable. Air freight rates generally range from $1.50–$4.50 per kilogram. Airlines typically price airfreight at 4–5 times that of road transport and 12–16 times that of sea transport. 1st Bag: $30 · 2nd Bag: $55 · 3rd Bag: $180 · 4th Bag: $200 · Each bag maximum 50 lb/22 kg. Companies shipping cargo like smartphones that are very valuable when priced by weight (a kg of iphones is worth thousands), don't care if they have to pay 15 times the ocean transport rate, if they can get them to market much faster and securely by air transport. Airlines don't want to lose space in the cargo hold for that business because their passengers want to check 2 bags and their golf clubs on vacation with them. The baggage costs are as much about discouraging checking baggage and incentivizing carry-ons as they are about makeing extra money off the passenger business.
- dreamcompiler 6y ago
  They also charge for luggage because it gives them a way to make the initial ticket price look cheaper, while effectively making more money. Extra cost add-ons are the name of the game in the airline business now (and many others). With luggage, it's kind of ironic because carry-ons slow down turnaround time and that eats into profits. But I presume this doesn't completely offset the extra profit generated from freight or they wouldn't do it.

Airlines are basically one of the few industries that includes the taxes in the fares that they show when browsing. They do sell add-ons for more money, but that's quite different from just showing you part of the price before checkout and/or hiding taxes and fees until then.

deleted 6y ago
[deleted]
kemitche 6y ago
Frontier Airlines charges for both checked and carry-on baggage. Additionally, they charge _more_ for luggage if you don't pay until you're at the airport, and even more if you wait til you're past security and at the gate. Is it literally the exact same thing? No, but it definitely falls into the same category of sunk-cost/trapped buyers. Once you get to the gate, you're getting on the plane, even if you have to pay more for your luggage than you expected. It's also very similar to why the soda vending machine at work charges $1 for a soda; the one in the amusement park charges $3, and the one _in the line_ for the popular ride costs $6. They all rely on facets of behavior that the consumer will just pay a little more once they've somehow invested in the process. The only difference is _what_ they invested and how easily recoverable it is.
- lotsofpulp 6y ago
  > Is it literally the exact same thing? No, but it definitely falls into the same category of sunk-cost/trapped buyers. Once you get to the gate, you're getting on the plane, even if you have to pay more for your luggage than you expected. It’s not the same thing at all. Even frontier displays up front what the bag fees will be. And it’s been years since airlines have been charging extra for bags, so I would say it’s convention by now. On Google flight search, you can see total prices including however many bags you specify.

toomuchtodo 6y ago

Airlines are required to include taxes and fees in the total price upfront because the US Department of Transportation required them to [1]. [1] https://www.transportation.gov/policy/aviation-policy/airline-rules-fares#DisclosureFullFares https://www.transportation.gov/policy/aviation-policy/airlin...

tedunangst 6y ago

No? If I see a ticket for $167 on the airline website, I can get on the plane for $167.

jgbmlg 6y ago

Airlines charge progressive luggage fees because they have discovered that flying air freight on passenger flights is highly profitable. Air freight rates generally range from $1.50–$4.50 per kilogram. Airlines typically price airfreight at 4–5 times that of road transport and 12–16 times that of sea transport. 1st Bag: $30 · 2nd Bag: $55 · 3rd Bag: $180 · 4th Bag: $200 · Each bag maximum 50 lb/22 kg. Companies shipping cargo like smartphones that are very valuable when priced by weight (a kg of iphones is worth thousands), don't care if they have to pay 15 times the ocean transport rate, if they can get them to market much faster and securely by air transport. Airlines don't want to lose space in the cargo hold for that business because their passengers want to check 2 bags and their golf clubs on vacation with them. The baggage costs are as much about discouraging checking baggage and incentivizing carry-ons as they are about makeing extra money off the passenger business.

dreamcompiler 6y ago
They also charge for luggage because it gives them a way to make the initial ticket price look cheaper, while effectively making more money. Extra cost add-ons are the name of the game in the airline business now (and many others). With luggage, it's kind of ironic because carry-ons slow down turnaround time and that eats into profits. But I presume this doesn't completely offset the extra profit generated from freight or they wouldn't do it.