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Watch for a Bit of a Boost from Bag Fees – Next Quarter

October 16, 2008 | Posted in: Airline News,United

We’ve been seeing a lot of reports from the airlines about third quarter losses.

I just want to note that some of those “new” baggage fees may not be figured into the equation; for example, United’s bag fee ($15 one-way for the first checked-bag) did not go into effect until June 15th, and presumably some tickets for 3rd quarter flights were already purchased by that date, with no baggage fees applied.

Of course, since then, United (to name just one) has upped the ante by doubling its second checked-bag fee to $50 one-way.

And my, how it does add up: United says it expects to bring in an additional $700 million annually from bag fees, as well as from a program that allows frequent fliers to earn miles faster by paying yet another fee.

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updated: 2008-10-16T12:17:38+00:00