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Southwest ads poke fun at rivals for baggage fees
By Trebor Banstetter
McClatchy Newspapers
Published on Thursday, Sep 18, 2008
Do hefty checked-baggage fees have you packing light when you travel? You might need to pack even lighter.
On Monday, United Airlines doubled its fee for a second checked bag, from $25 to $50 each way. Including a $15 one-way fee for a first checked bag, the airline now charges $130 to check two bags on a round-trip ticket.
It's the most expensive baggage fee in the industry. And unless passengers rebel, some other carriers could raise their own fees to match United's new charges.
''I think most travelers have made peace with the baggage fees,'' said Rick Seaney, chief executive of FareCompare.com, a Dallas online travel firm that tracks airline fares and fees.
''People are trying their best to get around them, either by packing light or flying on Southwest,'' which doesn't charge checked-bag fees on the first two pieces of luggage, he said.
United cited volatile fuel costs for the decision. The new fee applies to domestic tickets bought on or after Sept. 16 for travel on or after Nov. 10. The airline said its baggage fees will generate up to $700 million next year.
American Airlines, which was the first large airline to begin charging for a first checked bag, is monitoring the fee increase, spokesman Tim Smith said. American charges $25 each way for a second checked bag, in addition to $15 for the first.
In a recent conference call, Larry Kellner, chief executive of Houston-based Continental Airlines, said the checked-baggage fees have ''been very effective,'' and not just because of the money they raise.
At his airline, the number of second bags being checked dropped by 60 percent on domestic flights after a fee was implemented. That means lighter airplanes, which require less fuel to stay aloft.
''This is very good for us, as we save the weight onboard our aircraft as well as the handling and mishandling big costs,'' Kell
ner said.
He added that there have been very few problems with additional carry-on luggage at security checkpoints or in aircraft cabins. Passengers have worried that a rise in carry-on bags will mean longer security lines and fights over scarce space in overhead luggage bins.
Leisure travelers are most affected, because most of the airlines waive the charges for first-class or business-class travelers, as well as elite members of their frequent-flier programs, typically business travelers.
One of the biggest issues with the new luggage fees is that finding the best prices on the Internet is more difficult, Seaney said. While sites like Travelocity or Orbitz list the cheapest prices on any route, they don't include the special charges, which could make some cheap fares far more expensive.
''It is much harder today for consumers to compare fares and find the best deal,'' he said.
At Southwest, meanwhile, the baggage fees have inspired a marketing blitz. The airline has aired several ads poking fun at rivals for charging to check luggage.
Beth Harbin, a spokeswoman, said it's too early to estimate whether Southwest has snared new passengers with its free-baggage policy. But she said customers routinely comment on the lack of fees.
''There's an awful lot of conversation about it,'' she said. ''We feel like people want to go with an airline that is up front about what they're being charged, instead of being surprised by a big fee when you show up at the airport.''
Do hefty checked-baggage fees have you packing light when you travel? You might need to pack even lighter.
Get the full article here.
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