Link/Source: http://www.businessinsider.com/these-ai ... ees-2017-7

"Spirit Airlines is known for super cheap airfare: Right now, for instance, the carrier is advertising flights that cost as little as $25."
"That sounds pretty awesome. But if you want a realistic idea for how much a whole flight will probably wind up costing, add $100."
"According to a new study from IdeaWorksCompany, in 2016 Spirit received an industry-leading $49.89 per passenger in "ancillary revenues"


"As you can see in the IdeaWorks top 10 list of airlines with the highest ancillary revenues per passenger (below), United—a so-called legacy carrier, thought to include more amenities than cheaper upstarts—holds the #4 spot. "

PER PASSENGER

Spirit: $49.89
Allegiant: $48.93
Frontier: $48.60
United: $43.46
Jet2.com: $42.46
Qantas: $42.38
Virgin Atlantic: $42.25
AirAsia X: $34.41
Korean Air: $32.59
Alaska Air: $31.41

"Spirit also "leads" the industry in terms of generating the largest percentage of its overall revenues from fees. A whopping 46.4% of Spirit's revenues come from fees, followed by Frontier (42.4%), Allegiant (40%), and then the European carriers Wizz Air (39.4%) and Ryanair (26.8%). "

Having flown EasyJet in 2014 from MXP to AMS. I used their flexifare which included everything. Maybe a United States based ULCC can come up with a similar bundle like the flexifare EasyJet offers, with all the perks and benefits that come with it.

Why is United so high? There fees are not that different than American or Delta are they?

AirbusMDCFAN wrote:

Link/Source: http://www.businessinsider.com/these-ai ... ees-2017-7

"Spirit Airlines is known for super cheap airfare: Right now, for instance, the carrier is advertising flights that cost as little as $25."
"That sounds pretty awesome. But if you want a realistic idea for how much a whole flight will probably wind up costing, add $100."
"According to a new study from IdeaWorksCompany, in 2016 Spirit received an industry-leading $49.89 per passenger in "ancillary revenues"


"As you can see in the IdeaWorks top 10 list of airlines with the highest ancillary revenues per passenger (below), United—a so-called legacy carrier, thought to include more amenities than cheaper upstarts—holds the #4 spot. "

PER PASSENGER

Spirit: $49.89
Allegiant: $48.93
Frontier: $48.60
United: $43.46
Jet2.com: $42.46
Qantas: $42.38
Virgin Atlantic: $42.25
AirAsia X: $34.41
Korean Air: $32.59
Alaska Air: $31.41

"Spirit also "leads" the industry in terms of generating the largest percentage of its overall revenues from fees. A whopping 46.4% of Spirit's revenues come from fees, followed by Frontier (42.4%), Allegiant (40%), and then the European carriers Wizz Air (39.4%) and Ryanair (26.8%). "

Having flown EasyJet in 2014 from MXP to AMS. I used their flexifare which included everything. Maybe a United States based ULCC can come up with a similar bundle like the flexifare EasyJet offers, with all the perks and benefits that come with it.

When I flew Frontier recently, it offered me a bundled option with some key items. I didn't need them so passed. Had I not decided to pick a seat in advance, I would have paid $83RT PHX-SEA-PHX. Even with the seat selections, it was only $113. If I'd had luggage, it might have made sense to do the bundle.

It doesn't list all things that are considered ancillary. I'm guessing that the AS number is for a bag and that delicious Fruit and Cheese plate.

kbmiflyer wrote:

Why is United so high? There fees are not that different than American or Delta are they?

Perhaps the carry-on fee?

kbmiflyer wrote:

Why is United so high? There fees are not that different than American or Delta are they?

Maybe United's better at getting people to purchase extras, e.g. upgrades to Economy Plus.

Yflyer wrote:

kbmiflyer wrote:

Why is United so high? There fees are not that different than American or Delta are they?

Maybe United's better at getting people to purchase extras, e.g. upgrades to Economy Plus.

I was thinking the same thing but wasn't sure if that was considered "ancillary". They have traditionally had a larger section of E+ than their peers so that would certainly generate more such revenue.

I'm not positive, but I'm pretty sure anything the passenger purchases that isn't the actual airfare (or mandatory fees included in the airfare) is considered "ancillary", so E+ would count.

kbmiflyer wrote:

Why is United so high? There fees are not that different than American or Delta are they?

Because they're the most up-front with this "economy minus" scam. And, from my personal research, their "upgrade" to regular economy is usually $5-10 MORE than DL

AirbusMDCFAN wrote:

"Spirit Airlines is known for super cheap airfare: Right now, for instance, the carrier is advertising flights that cost as little as $25."
"That sounds pretty awesome. But if you want a realistic idea for how much a whole flight will probably wind up costing, add $100."

That's a BS blanket statement.

Not only can an entire backpacked trip on Spirit cost only each of the segment fares, but it can cost $18.99 less per segment if you book it at a Spirit airport ticket counter instead of online, where they don't charge the $18.99 internet-only "Passenger Usage Charge" per segment.

So while the above flight (assuming non-$9 Club fare) may cost $25 online, if you're relatively close to the airport to book it there instead (and your short-term parking waives maybe the first 20-30 minutes), that same fare can cost exactly $6.01 plus the small amount of gas used for the errand.

For that price, forget a seat, I'd be fine with standing-room only for a few hours.

Wonder where Delta is on the chart.

AirbusMDCFAN wrote:

"Spirit Airlines is known for super cheap airfare: Right now, for instance, the carrier is advertising flights that cost as little as $25."
"That sounds pretty awesome. But if you want a realistic idea for how much a whole flight will probably wind up costing, add $100."
"According to a new study from IdeaWorksCompany, in 2016 Spirit received an industry-leading $49.89 per passenger in "ancillary revenues"

Of course this is based on the idea that you need every single item the airline charges for. Usually, you don't so you don't pay the full ancillary revenue. If you want you can take a $25 flight and really pay no more than $25. This means you don't take any luggage with you, you don't care where you're seated and you don't buy a snack on board. It's not like such things are mandatory, it's just that some people want them. Airlines like Spirit encourage you to go without.

thewizbizman wrote:

Wonder where Delta is on the chart.

As for which airlines collect the most in fees overall, the larger American carriers dominate the scene, holding the top four positions. Here are the top five airlines in terms of total ancillary revenues from 2016:

United: $6.22 billion
Delta: $5.17 billion
American: $4.9 billion
Southwest: $2.83 billion
Air France/KLM: $2.10 billion

Not an exact correlation, but at least it gives you an idea.

thewizbizman wrote:

Wonder where Delta is on the chart.

They PAID, NOT to be ON IT!

United: 6,200,000,000/143,000,000 passengers = $36.36/passenger
Detla: 5,170,000,000/180,000,000 passengers = $28.72/passenger

That's just me googling passenger totals for them. Not sure if those numbers are accurate, mainline vs regional, etc. My number doesn't match UAs so there's something I'm doing different, but at least it gives you an idea.

Yflyer wrote:

I'm not positive, but I'm pretty sure anything the passenger purchases that isn't the actual airfare (or mandatory fees included in the airfare) is considered "ancillary", so E+ would count.

Wouldn't an upgrade, such as to E+ intercontinental on a 787-9, result in a change in booking class? If so, the difference would be part of the part of the new total air fare and not an ancillary, right? I'm speculating, but when the BI link in the OP mentions extra legroom maybe it's referring to exit rows in basic economy. That's just the way I read it, but I could be wrong.

I'm not sure why QANTAS is on that list. In Australia at least, their fares are all inclusive with taxes luggage and meal/snack included. The only thing you may not get is seat selection until check-in.

Spirit? what do they charge? I honestly don't see the point in paying for ancillaries for a short flight, other than baggage. BoB, seat (unless flying with kids), WiFi, etc. What would NK charge that makes so much money for them?

xdlx wrote:

thewizbizman wrote:

Wonder where Delta is on the chart.

They PAID, NOT to be ON IT!

lies lies lies, Delta would not do that.