Seniors: Airlines Making Billions From Bag Fees

If you have traveled recently, you may already be very aware of the fact that you had to pay those annoying baggage fees.  These are adding up to billions of dollars believe it or not. Yes, BILLIONS.

It’s Called “Ancillary Revenue”

Revenue airlines made on services such as priority boarding, checked bags and other products, grew to a whopping $22.6 billion in 2011. According to a review of ancillary revenue released Monday, non-ticket or ancillary revenue made by 50 worldwide airlines jumped 66 percent, from the $13.5 billion in 2009. The report by consulting firm IdeaWorks and sponsored by travel group Amadeus, looked at non-ticket revenue for 108 airlines around the world — 50 of which disclose ancillary revenue activity.

Seniors, If you have flown one of these…

Three American carriers rounded out the top three of five highest earners:
–United  $5.2 billion
–Delta $2.5 billion
–American $2.1 billion
–Qantas $1.4 billion
–Southwest $1.2 billion

Seniors, Be An “EarlyBird” For Just $10

On the top 10 list for the first time was Southwest, whose ranking got a boost from its EarlyBird service.   That provides senior fliers early boarding option for a $10 fee.  Also Delta was the only airline in the top 10 to see its ancillary revenue decrease. When looking at non-ticket earnings as a percentage of total revenue, not surprisingly, budget carriers had a strong showing.  Spirit earned about 33.2 percent of its total revenue from ancillary revenue, followed by the U.K.’s Jet2 at 27.1 percent, Allegiant at 27 percent, EasyJet at 20.8 percent and Ryanair 20.5 percent. So how can you make billions and yet lose billions?  Ask Airfarewatchdog.  Here are the Top Best Fares today. Senior travelers, you may want to check them out to see if any fit your travel needs.  jeb