The inside scoop on American's $15 first bag fee
Airfarewatchblog
Posted by David Landsel on Saturday, June 21, 2008
So how's it going over at American Airlines in the post free checked bag era? Airfarewatchdog.com interviewed American spokesperson Tim Smith to get the inside scoop.
But first, some background. It was a time-honored tradition among many an experienced traveler -- never check luggage, even if you're over the carry on bag limit.
After all, crossing your fingers and heading for the gate usually paid off. Nine times out of ten, you'd get away with a bag (or two) that exceeded the airline’s carryon regulations. If you didn't, the worst was that you'd be forced to gate check your overage (mmm...forbidden overage). That is, if it didn't fit in the overhead compartment.
(Of course, if you’re old enough, you remember when there were no overhead bins on planes—just shallow and narrow racks to place your coat on, and passengers brought on board only a small airline-logo flight bag. But that’s another story.)
The benefit of gate checking bags can be substantial -- a decrease in the chance of loss or delay, delivery to the jet-way shortly after landing and no time-consuming waits in crowded claim areas.
Now passengers on American Airlines have yet another incentive to bend the rules -- the airline's new $15 one-way fee for the first checked bag.
Passengers, obviously, will need to beware American's newest employees: The Luggage Police.
Anticipating resistance to the surcharge, American has wisely laid on extra bodies. These employees are, essentially, enforcers. Their task will be to monitor strategic locations (security lines, for instance) to see that passengers aren't toting more than their share of Louis Vuitton. Customers with too many items or bags too large to bring on board, says the airline, "will be assisted in checking their luggage."
So many questions.
Such as, how will they "assist" passengers, exactly? (We can see it now -- "Sir, I'm going to have to ask you to come with me....")
American spokesman Tim Smith is confident that that those required to pay the fee won't have a prayer of getting around it.
Unless, of course, you manage to sneak your contraband roller board past "curbside check-in, ticket counter check-in, self-serve kiosk check-in, our people stationed before security, the TSA checkpoint itself....without anyone noticing," he says.
In which case, you'll most certainly be told at the gate that you will need to gate check your bag. And -- oh yes -- there will be a fee for that, and, yes, there are credit card machines at the gates, Smith tells Airfarewatchdog (we were wondering about that, and now we know).
Sure, maybe they run out of space in the cabin. Fine, then. For your properly-sized carryons that inadvertently end up flying cargo class, there will be no fee. Happy now?
LE DELUGE?
The airline says that the whole process has been relatively hassle free -- no rush for the overhead bins, no YouTube-worthy fights over space.
That could be largely due to the fact that there is a gigantic loophole in the policy. The vast majority of customers -- 75 to 80 percent, Smith says -- won't pay at all, ever, due to mileage status, fare type or itinerary (international travel is excluded).
However, as any frequent traveler knows, it's not the 80 percent you have to worry about -- it's the 20, or even 10 percent of people on a plane who have no idea what they are doing that have the potential to really gum up the works.
The airline says it is helping to smooth the process.
For example, its self-service check-in kiosks have been reprogrammed to accept payment for any checked bags; they have eliminated the $2 fee to check bags at the curb, while gate and cabin staff are ramping up announcements in the gate area and on the plane, reminding people that it's strictly wheel end first in the overhead compartment to fit bags more efficiently and to put as much as possible under the seat in front of them.
CHANGING NEEDS?
Luggage cops aside, it could be possible that airlines adding the fee (US Airways and United fire up the credit card machines August 9 and 18, respectively) could end up with the side benefit of needing fewer bodies to get planes on and off the ground. For example, if more passengers carry on, couldn't the airline do away with baggage and ground crew?
"We don't expect a reduction," says American's Smith. However, he admits that there could be tough times ahead, for reasons related to the announced capacity cuts and grounding of planes, not to mention the still-rising cost of fuel.
On the matter of a decrease in liability for lost or damaged luggage, Smith, pointing back to the fact that up to 80 percent of American passengers will not pay the fee, says he does not expect any thing to change, other than the fact that things will improve in that arena due to "better bag handling and practices."
THE FUTURE OF THE FEE
Believe it or not, this whole first-checked-bag business could have easily been a nonstarter. After announcing the policy on May 21, American was left to twiddle its thumbs until United and US Airways followed suit.
American CEO Gerard Arpey isn't concerned what people think. In fact, in a speech quoted in a June 19 article on TheStreet.com, Arpey's stance appears to be that it is high time the public starts thinking clearly about what it really costs to run an airline.
Arpey called fares "out of whack" with the actual cost of the flight, and stating that it would cost $250 to ship a typical bag from New York to Dallas overnight.
Something to think about when you ponder that that there are times when you can fly yourself to Dallas for less than that. Let alone your bag.
Editor's note:
Should airlines charge for carry on baggage rather than checked baggage? Sounds like a good idea to us. Share your comments with other blog readers, and vote in our poll.
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Yes to Total weight of body and personal belongings per person average included in ticket price such as 350 LBS incl/ .50 per LB over. Need 2 seats for fit? No extra cost since you're likely paying extra weight charges and the complaint is that fuel consumption is weight-based.
I do not believe in docking someone who takes 2 small bags versus one large bag, let alone those who are physically unable to deal with one heavier bag or lugging stuff around if they don't choose to or can't. Nor do I believe in discrimination based on size or special situation. Business folks need what they need for meetings, moms need what they need for the kids, those with medical needs must have their equipment and the everyday traveler deserves food, drink and a little comfort in the confines of a capsule at 30,000 feet or stuck on the runway.
Yes, I have traveled much, including internationally; packed the house and breezed by with one carryon. BUT....
I argue for a bit more leniency with carry-on in addition to the standard 1 carryon + 1 purse or briefcase + coat + lunch for:
1. Moms-Baby stuff, kid snacks and entertainment
2. Food & Drinks-For now, for later, to share
3. Business Needs-Computer Case
4. Medical Needs-Equipment
5. Valuables- Sport and hobby specific,etc
6. Electronic Equipment- Photographic, etc
I, for one, have had no luggage upon arrival many times. Carryon is a must for me. My computer and travel printer go everywhere as do camera and camcorder (tiny). Since I've been stranded on a runway for several hours and had no food or drink, several meals' worth now goes on the plane with me. Either it's freezing or broiling, so layers just for the plane are necessary, including a heavy jacket.
Now this can end up being:
Backpack Purse
Briefcase on wheels
21" Carryon
Foldable Bag for jacket, layers, food, book
On the plane, the carryon goes up, briefcase and purse under the seat and bag stuff draped on my lap and stored in my purse.
I may be "one of those" , but when you're stuck with me on the runway, you don't hesitate to ask me to share my goodies; plus I can stay entertained and not get grumpy.
I fly cheap, but agree that airlines should include customer care costs in the ticket price and stop this nickel and dime mentality. If they weren't making a profit, they wouldn't offer the deals; they're not that stupid.
As to the whole bankruptcy issue: once again the top fatcats stay fat and keep their huge compensation packages while the little folks lose out. Those big salaries, benefits and perks are all tax deductible and off the top, which is mainly why these businesses are going bankrupt. So, to Mr. Smith and his buddies, how about putting 75% of your compensation package back into "your" airline so that we don't have to be nickel and dimed to death. No more excuses. Wow! The airlines really can be solvent.
There should be NO FEES FOR BAGGAGE - period! Airlines have already raised their airfares/fees/surcharges for EVERYTHING & do nothing to improve either their service or business practices. Why? Because they CAN & keep right on DELIBERATELY "going bankrupt" regularly -- as long as taxpayers are forced to keep financing them. And as long as no one ever is allowed to force airlines to justify their constant increases. If any of us ran our own business as badly as airlines do, do you think IRS or any part of our government would cut US such a break -- multiple times???
P.S. WHY is our email REQUIRED here?
That is truly a crime. When traveling with the kids, I'd rather check than schlep. The flip side is we can carry on 12 bags (but never do.)
On my normal business travel, I always carry on just a single bag. I used to do a bag & briefcase, but routed thru LHR so many times that I've permanently changed my ways.
On one of my recent flights, I had to change over to United on the second leg to my final destination, Denver. When i gave the agent my ticket at the boarding gate, i was told to return to screening and get my ticket checked. I was actually rechecked before entering the airline. Reminder: I came off another flight. In all of my flying years, I have never had to go through security a second time when I was continuing a flight. I say stop flying on all these airlines that are not passenger friendly. This will keep the remaining airlines in business.
Folks this is why we pay all the extra fees, so arrogant CEO's can still maintain their ridiculous bonuses. What's next, pay toilets?
Then there is the seating problem, you buy seats together and get to the airport to find that the seats you have purchased are now occupied by other people!
We NEVER, EVER check bags. I could travel 10 days with one carry on and a normal size handbag. We just pack simply and conservatively, recognizing that unless we are headed to Timbuktu, there are drug stores and clothing stores in other cities around the globe.
People being inserted into the inspection lines ahead of those passengers who have quietly awaited their turn is out of order too.
Its a pain in the tutu to fly today, but it sure beats driving for 3 days or paddling your canoe!
I will absolutely not fly American (or any other airline that charges me for a single checked bag.)
Between all the cutbacks, the nasty passengers (people, it is impolite - and nasty - to take your shoes off on a plane), the nasty flight attendants, the rude ticket agents (if you get to the counter) and the dissatisfied pilots and mechanics, I feel like I'm riding Greyhound.
Someone needs to make Gerard Arpey fly his own airline some time...economy...anonymously...I think he'd be in for a surprise.
Fly SWA..and if they can't get you where you're going...fly with someone who does but doesn't charge you for necessities.
Now, if we could just get everyone to pay the fully loaded costs for that 99 cent hamburger they're eating at McDonald's.
Seriously. If you don't get the logic just described above, go to wikipedia or dust off your econ book and look up the word externality.
Have a nice flight. Oh, and that burger now'll cost you $9.25. Thank you and have a nice day.
The next crying you will hear from the legacies is for the government to re-regulate so that they will have some price guarantees for routes they fly and on which they lose money.
Did I say Hurrah for Southwest? Oh yeah, I guess I already said that.
the "cost", that he refers to, of anything WE pay, is NOT what service companies charge. the COST is expense they incur.
COST plus PROFIT rates vary wildly. ship your next week's underwear this week and see the PRICE come down.
i am so tired of hearing chicken little running my life!!
Start enforcing 1 carry-on in the overhead, one under the seat and check everything else. Charge $50-100 to check excessive carry-on bags.
Not everyone that flies is looking for the "Walmart experience". Apparently the airlines really don't care about the customers experience which includes; long security lines, delayed and cancelled flights, small uncomfortable seats, lost luggage, and now being nickeled and dime for basic services.
I am looking for an airline that cares about my experience. I will gladly pay more to be treated like I am a valued customer.
Tme to hit the gym, and Happy flying, little brothers & sisters!!!
I thought that luggage was included in the price of a ticket; which also includes plane fuel, pilot, cabin attendants, a seat, and toilet facility. I think charging travelers for bags is completely ridiculous. Carry-ons are going to be a joke from now on! From now on, I will only fly to visit my family when I really have to. Pretty sad, isn't it.
BAGGAGE should be included in a fare. Up the fare if necessary. What's next? Paying for the pilot?
The public, on the whole is well aware of how an airline should be run, ie Southwest Airlines. It's the insufferable ignorance and attitude displayed by Mr. Arpey which undelines the greatest fault in airline management.
The airlines level a fuel surcharge, this fee supposedly defrays the cost of the fuel. Why then is there a checked luggage fee if in fact, the payload of the aircraft has been listed, on a profit/loss scale, using the number of passengers plus the cost of fuel burned?
Has anyone noticed that these fuel surcharges are leveied, yet no explanation of how much fuel is left in the tanks at the end of a flight.
Granted, the travelling public isn't really interested in such detail, however, if one were to apply the same dogmatic ignorance as displayed by CEO Gerard Arpey toward the travelling public. It would make a rather interesting finding.
It wouldn't take a rocket scientist to sit down with a calculator and work out fuel useage versus weather conditions/payload etc for any passenger carrying aircraft. Then apply the findings to the surcharges being applied, and a rather interesting picture would emerge.
Some entrepreneur will materialise and utilise the fuel problem to make a healthy profit from air travel. Southwest is a good example.
only. That would eliminate most of the time waiting to go thru security and speeding up the whole process from check in thru to boarding.
I'm always looking to circumvent the guidelines.
Or will this be just another gimmick to get more money like When they started the " No refund Tickets" Which you and only you own and must use or lose, Or pay to change your schedule. I find it hard to believe that a Schedule change by a person in this age of computers cost $50 to $100 or more when an AIRLINE does it wholesale when they cancel a flight for whatever reason.
1. "Flavored water" @ Starbucks (16 oz for > $5) AND
2. Checked airline bags. The entire fee could be avoided by being practical and planning ahead.
The whole idea will get worked out based on whether the free market will tolerate this fee. If people keep paying it, apparently the idea will go over.
Another way to enforce this is to charge more $$ if bags are checked at the gate.