Wednesday, December 7, 2016

Major airline carriers get into the cost-cutting game Thor Challgren acorn dec 8 16

Major airline carriers get into the cost-cutting game

Thor Challgren acorn dec 8 16
If you’re a flier, you’d covet a first-class seat to the destination of your dreams. Business class would do nicely, too. But for most of us, economy class is the way we traverse the skies. And by traverse, I mean endure.
Most people would assume air travel couldn’t get any more basic than economy class. And they would be wrong.
In 2015, the major legacy carriers—United, American and Delta—announced plans to offer new discount fares that would be less expensive than economy class, but with certain amenity trade-offs.
These fares would allow the majors to compete more with bare-bones carriers like Allegiant, Frontier and Spirit, who combine rock-bottom fares with a la carte pricing for everything from seat assignments to snacks.
Delta’s Basic Economy has been available since earlier this year on select domestic routes. United’s economy fares will be available for purchase in January for travel beginning in the spring. American Airlines plans to roll out their budget fares after the holiday season.
While it may be too soon to say how much a traveler could save, my own search on Delta’s site found savings of $30 to $90 round trip, so many travelers may want to know if these new fares could be worthwhile.
Delta’s budget economy offering is called Basic Economy.
When travelers purchase this fare class, they will receive the same seats, legroom and overhead bin space as if they had purchased a regular main cabin seat. Snacks and nonalcoholic beverages (including coffee) are also complimentary.
They also receive access to seat-back entertainment, Wi-Fi and in-seat power, though of course it varies by aircraft. Finally, you’ll also pay the same amount per checked bag.
So, what’s the difference?
With Delta, passengers will not be able to choose their seat assignment in advance. They won’t be assigned seats until after check-in, and they’ll be the last to board the plane.
This could be good if you’re a solo traveler and you don’t mind sitting in the very back or in a middle seat. You probably also shouldn’t plan on needing overhead bin space, as it’s likely to be filled by the time you board.
Also, while fliers will earn miles for their flight, there are no upgrade possibilities, nor can a traveler make voluntary ticket changes or receive a refund after the standard grace period.
Who is this potentially not good for? People traveling together, or as a family, as they may be scattered about the plane if they choose this fare class.
United Airlines will also have a budget fare option beginning next month.
In general, their stipulations are similar to Delta’s, with one significant difference. United will only allow you to carry on a small personal item, such as a backpack, laptop bag or purse. Full-size carryon bags are not allowed unless you are a United Elite Flyer.
American has not yet released the specifics of their budget fare plans.
Are these seats available on every route? Currently we only have Delta by which to judge the concept, but so far the answer is no.
Delta offers these options on selected flights, generally for flight times in the least demand, such as very early in the morning or for a late arrival.
For example, I looked at three nonstop flights from Los Angeles to Orlando. Of the three, only the late afternoon departure had the Basic Economy option, for a savings of $30 round trip.
Since these budget-priced seats were originally meant to counter the “no-frills” carriers like Spirit, it’s a reasonable assumption you’re more likely to find these fares on routes also served by a budget airline.
It’s also worth noting that even at these lower rates, and with the reduced amenity level, the major carriers still offer services their no-frills competitors do not.
Some budget carriers charge for snacks, entertainment and carry-on bags, whereas these benefits are often still available with the Basic Economy rates on the legacy airlines.
So if you’re tempted by the no-frills carriers, you might give the major airlines another kick-of-the tires to see if you can get more for less.
Thor Challgren is a travel consultant who lives in Thousand Oaks. For more info and resources on this story, visit www.facebook.com/loveyourvacation. Email questions to thor@theacorn.com.

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