The Trader Harbor
  • Business
  • Politics
  • World News
  • Stocks
  • Business
  • Politics
  • World News
  • Stocks

The Trader Harbor

World News

Spirit Airlines gets rid of change and cancellation fees, joining Frontier

by admin May 22, 2024
May 22, 2024
Spirit Airlines gets rid of change and cancellation fees, joining Frontier

Spirit Airlines is doing away with both change and cancellation fees, effective immediately, days after Frontier’s similar announcement, part of an overhaul of the country’s biggest discount carriers’ longtime strategy.

Prior to the new rule, Spirit used to charge anywhere between $69 and $119 for ticket changes and cancellations, depending on how close to departure the customer made the change.

“This new policy is among the best in the industry because it applies to each and every guest,” Spirit said in a statement to CNBC. “We have many other enhancements in the works and look forward to sharing more soon.”

The changes mark a shift for budget airlines’ longtime pricing approach, which includes low base fares to attract customers and add-on fees for advanced seating assignments, bottled water and cabin baggage. Ancillary revenue routinely surpasses those airlines’ ticket prices.

“As we continue to see the demand and competitive environments develop, we know that we must also change with the times,” Spirit’s Chief Commercial Officer Matt Klein said on an earnings call earlier this month. “We will continue to test out new merchandising strategies, which we anticipate will change how we think about the components of total revenue generation.”

Both Spirit and Frontier are trying to return to profitability in the wake of the Covid-19 pandemic, while larger airlines that offer both bare-bones fares to domestic destinations and big international networks have posted profits.

Most larger rivals such as Delta, American, Alaska and United got rid of change fees during the pandemic except for the cheapest, most restrictive tickets. Southwest Airlines does not charge customers a flight-change fee.

Along with getting rid of change fees, Frontier also announced Friday that it will start offering bundles that include add-on options such as early boarding and checked baggage that they previously offered a la carte. 

Spirit is also offering bundled packages with varying prices that include perks such as checked bags.

President Joe Biden and the Department of Transportation have been cracking down on what they deem “junk fees.” As part of that push, the DOT issued a new rule requiring airlines to be upfront about add-on fees such as those for checked or carry-on baggage, which was subsequently challenged by a slew of airlines.

Spirit said the end of cancellation fees were not tied to the new rules.

The Biden administration also recently issued a new rule requiring airlines to offer automatic cash refunds for cancellations rather than in response to a customer’s request.

This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Hims & Hers Health says it will offer compounded GLP-1 injections
next post
Pixar is laying off 14% of its workforce as Disney scales back content

Related Posts

Bissell recalls 3.2 million handheld steam cleaners after...

July 24, 2024

Kohl’s CEO Tom Kingsbury to step down and...

November 27, 2024

A U.S. construction boom is sending rents lower...

August 15, 2024

There’s been a ‘meaningful shift’ in CEO confidence...

January 16, 2025

U.S. added 275,000 jobs in February, more than...

March 10, 2024

Disney to limit Marvel movie releases each year...

May 9, 2024

Protesters stage sit-in outside New York Stock Exchange...

October 16, 2024

Gold bars are selling like hot cakes in...

May 10, 2024

Judge allows lawsuit over Burger King’s Whopper ads...

May 8, 2025

Home prices hit record high in June on...

August 31, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • LimeWire acquires Fyre Festival, asking ‘What Could Possibly Go Wrong?’

      September 17, 2025
    • The Real Drivers of This Market: AI, Semis & Robotics

      September 17, 2025
    • S&P 500 Breaking Out Again: What This Means for Your Portfolio

      September 17, 2025
    • Trump appeals order blocking him from firing Fed governor Cook as crucial central bank meeting starts

      September 17, 2025
    • FBI’s Trump probe ‘Arctic Frost’ also investigated Charlie Kirk’s TPUSA, Grassley reveals

      September 17, 2025
    • Bill Barr transcript flies in face of Democrat claims on Epstein-Trump connection

      September 17, 2025

    Categories

    • Business (1,384)
    • Politics (4,504)
    • Stocks (1,653)
    • Uncategorized (45)
    • World News (1,377)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: TheTraderHarbor, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 thetraderharbor.com | All Rights Reserved