Tuesday, May 31, 2011

They Don't Charge You More to Fly, They Charge Your Baggage

On stealth inflation (Airline Baggage Edition)..

Airline revenue from add-ons to ticket sales jumped to almost $22 billion last year and continues to soar as more carriers chase extra sources of income, according to a joint study by Amadeus and  IdeaWorks Co.

According to the study, 47 of the world's biggest airlines, which together account for almost half of all airline revenue, last year reported ancillary sales of €15.11 billion, up 38% from 2009. In dollar terms, according to WSJ, the increase last year was about 60% amid the dollar's devaluation from 2009, when the figure was $13.47 billion.

In 2007, only 23 airlines reported ancillary revenues and the total was less than $2.5 billion, according to the study.


  1. What they don't get is that the real money is to be made in charging for landings. Takeoffs are free.

  2. Pay for your bags to fly and the TSA fondling is included for free!