Will the airlines rescind unpopular baggage fees?
Ben Mutzabaugh, USA TODAY, 6/19/2008 (excerpted)
A firestorm of protest erupted from many fliers last month after American announced it would begin charging non-elite customers $15 to check their first bag for most coach-class tickets within North America. Quickly, industry observers began wondering out loud if other airlines would match the fee. Finally, about three weeks after AA, United and US Airways both matched the fee. With that, three legacy carriers and one low-cost carrier -– Spirit, which was the first to add such a fee –- had moved to charge a fee for even one checked bag. But, conversely, that also left most discount airlines and three legacy carriers –- Continental, Delta and Northwest -– still allowing fliers to check their first bag for free.
That's unusual says TheStreet.com's Ted Reed, who writes airlines "typically... act in concert when imposing new charges or higher ticket prices, fearing the competitive impact if one carrier charges more than another." And, he adds that "with the industry so clearly split, it remains questionable whether the charge will stick." Aviation consultant Robert Mann tells Reed: "Some of the carriers may have decided this is the one thing that drives customers over the edge, towards choosing someone else."
Reed adds carriers that have not yet adopted the fee may also fear that doing so would lead to the "unintended consequences" of turning flight attendants into luggage enforcers while creating a surge of carry-on bags that could cause both delays and exasperation for customers. Of course, there could be other reasons airlines are not adopting the fees. Delta and Northwest, for example, "may be reluctant to implement an unpopular charge at a time when they are seeking regulatory approval for a merger," Reed writes. And AirTran CEO Bob Fornaro says adding a first-checked bag fee at his airline would put it in the "uncomfortable" position of competing with Atlanta rival Delta, which so far does not charge for that.
For a breakdown of airline fees for checked bags, click here.