PLANET TRAVEL INSIDER

We are still standing. Back in business after a crazy 2020

noreply@blogger.com (Don Fuener) — Tue, 26 Oct 2021 01:37:00 +0000

Today we sold a $2000 trip for a family traveling to Las Vegas over the holidays. After a year and half of very spotty sales, our phone has started to ring again. This month the ARC, the behind the scenes folks who facilitate airline ticket sales for travel agents, reported that travel agency sales are up 175% from last year.

People are traveling again.

It is no secret that things went very south in March of 2020. In fact backwards was the rule of things last year. We refunded more sales than sold travel in 2020.

We survived the great pandemic.

We know you are itching to visit friends, family, and discover new places and things.

We are here to help.

Why we love Southwest Airlines.

noreply@blogger.com (Don Fuener) — Mon, 30 Jan 2017 03:28:00 +0000

The Consumerist blog has recently posted a report that Southwest Airlines has no plans to follow other airlines implementation of "no frills basic economy" fares. Typical of Southwest's contrarian approach to the business, it wrote:

"Not that long ago, Southwest Airlines was considered a relatively no-frills airline, at least when compared to the other major carriers. Then all the competition started charging for checked bags, while Southwest says it’s given “no thought whatsoever” to the idea. The new trend among the big airlines is to offer “Basic Economy” fares that won’t even let you use the overhead storage bin, but Southwest says it won’t go this route either.

USA Today reports that Southwest CEO Gary Kelly told investors on Thursday that the airline won’t follow in rivals’ footsteps in the offering, as it would just cause confusion.

“There is a huge value in offering all of our customers – 100% of them – a great product,” Kelly said. “We like to say at Southwest, there is no second class.”

Currently, Southwest doesn’t section off parts of its plane for different fare classes like other airlines. Instead, customers can choose from different fare rates to board sooner, but that doesn’t guarantee they’ll get more leg room or better access to overhead bins.

Under most Basic Economy fares, airlines — like American and United — offer passengers a less expensive ticket, that doesn’t come with an assigned seat or overhead bin space.
Such an offering at Southwest would likely cause confusion for customers.

“Any time we contemplate offering customers a choice, we debate that heavily because complexity drives confusion and it clouds the brand,” Kelly said, noting that the company’s policies of no checked bag fees and no change fees are what the company is known for."

Read more by clicking on this link.

Greetings from Detroit

noreply@blogger.com (Don Fuener) — Sat, 26 Sep 2015 11:59:00 +0000

Best summer family travel deals to snag now

noreply@blogger.com (Don Fuener) — Tue, 23 Jun 2015 01:50:00 +0000

From Fox News.com:

"Summer has arrived and schools will be closing their doors for the next three months. Have you made your summer travel plans yet?

If not, it’s not too late to snag a great family travel deal and jet off to a well deserved family vacation.

All-inclusive resorts are a great choice for families traveling together. The price is set in advance and there are no surprise charges when you check out. Another plus are the many activities that can keep the kids busy, giving adults a chance to enjoy some free time throughout the day. "

Read more by clicking on this link.

Why are airline fares going up while fuel prices are dropping?

noreply@blogger.com (Don Fuener) — Tue, 18 Nov 2014 00:55:00 +0000

Despite dropping fuel prices, airfares continue rise. Something doesn't see right. Airlines appear to have no incentive to lower fares. Call it lack of competition perhaps.

From USA Today online:

U.S. airlines are saving tens of millions of dollars every week because of lower prices for jet fuel, their largest expense. So why don't they share some of the savings with passengers?
Simply put: Airlines have no compelling reason to offer any breaks. Planes are full. Investors want a payout. And new planes are on order.

In fact, fares are going higher. And those bag fees that airlines instituted in 2008 when fuel prices spiked aren't going away either.

In the 12 months ended in September, U.S. airlines saved $1.6 billion on jet fuel. That helped them post a 5.7% profit margin in the first three quarters of this year, robust for the industry but lagging behind the 10% average for the Standard & Poor's 500.

In the past six years, airlines have done a great job of adjusting the number of flights to fall just short of demand. As a result, those who want to fly will pay a premium to do so. Airlines are selling a record 85.1% of their domestic seats. Thanks to several mega-mergers, four big airlines control the vast majority of flights, leaving very little room for another airline to undercut fares.

Read more by clicking on this link.

The new travel world of extra fees land on hotels' doorsteps.

noreply@blogger.com (Don Fuener) — Mon, 25 Aug 2014 18:02:00 +0000

From Business Insider

Forget bad weather, traffic jams, and kids asking, "Are we there yet?" The real headache for many travelers is a quickly growing list of hotel surcharges, even for items they never use.

Guaranteeing two queen beds or one king bed will cost you, as will checking in early or checking out late. Don't need the in-room safe? You're most likely still paying. And the overpriced can of soda may be the least of your issues with the hotel minibar.

Vacationers are finding it harder to anticipate the true cost of their stay, especially because many of these charges vary from hotel to hotel, even within the same chain.

Coming out of the recession, the travel industry grew fee-happy. Car rental companies charged extra for services such as electronic toll collection devices and navigation systems. And airlines gained notoriety for adding fees for checking luggage, picking seats in advance, skipping lines at security, and boarding early. Hotel surcharges predate the recession, but recently properties have been catching up to the rest of the industry.

"The airlines have done a really nice job of making hotel fees and surcharges seem reasonable," says Bjorn Hanson, a professor at New York University's hospitality school.

Read more by clicking on this link.

Chasing comps part one

noreply@blogger.com (Don Fuener) — Mon, 10 Feb 2014 05:49:00 +0000

If you a regular casino visitor and gamble with a players card you know that comps are part of the system. Lately though with the nationwide drop in overall casino revenue the bean counters have seemed to take control of the whole thing and we like many other regulars have seemed their comps fall dramatically.

Boyd Casinos, who are currently embroiled in a sales tax issue with the the state of Nevada over comped meals, used to be known for its liberal comp policy. Today things are much different. We have seen offers dwindle and dwindle to nothing.

No free play or five dollar in free play just doesn't hack it today Boyd. Despite what your revenue management software tells you. Sam Boyd must be turning in his grave. But I digress.

I ran across this posting in the Vegas Adventures concerning chasing comps:

complicating the Chasing Comps threads

I got into a discussion on Chasing Comps and wrote so much, I thought I'd save it here as my boilerplate for other such discussions.
One thing became crystal clear. Most often the "Don't chase comps talk" really means : Don't "bet over your head" and many folks don't want to expand into the complexities of chasing comps at all.
Here is the complete discussion:

http://www.vegasmessageboard.com/forums/showthread.php?t=74425

Here are my comments:

Most of the examples here are of high rollers.
Those who might get stuck gambling more than they should, do need to take the advice, "Don't chase comps."

But it is more complex than that for the low rollers.
The simple rule "Don't chase comps" does what most simple rules do, errs because it ignores complexities

I basically spend my entire time in Vegas chasing comps and promos. The affect of comps on the mathematics of my EV is huge.

In fact, I won't play unless I am playing with comps or a promo included.

Jean Scott suggested that the only real way to see gambling as lucrative was to include the comps. We were not going to make money. At best we were going to get a free vacation. Well, that is pretty good.

I was just figuring out the expenses of my last trip to Vegas. It cost me $35 a day (air, room, food, transportation - everything except tips) because I used comps. To play local live poker costs me more whether it is in Vegas or here in Florida. Gas is the biggest expense. I don't have that in Vegas.
That trip I paid for my air fare.
Next trip it will be free, because I start chasing comps when I charge everything, every day, on my Southwest card. All my trips used to be free, but the new way of figuring free flights makes it easier to use some points for shorter flights. The kids end up getting that benefit when they come home to visit.
But I still get a share, even if my airfare comps need to be shared. So I gamble more than I would normally gamble to chase comps. I will run $1000 through the Main Street Station 10/7 DB VP once every trip because at the end of it I can get a free buffet (no points deducted) for that amount of play. I would not "normally" do that. I won't do it at all unless there is something to gain besides just the slight mathematical advantage for perfect play.
I'll gamble a couple $20 at the 9/6 JOB at the Boards Head bar because I can get a couple free Black Chip Porters that add to my EV. Once the comps are gone (two is enough for my pleasure) I'll stop gambling. If I can, I'll gamble first for the beer and then move to 10/7 to get the rest of the buffet credit.

Last trip I chased the newbie promo at the Cosmo. Played right this meant I was going to gamble in a loose manner in machines way over my normal gambling. My first $100 was going to rushed through a VP playing 15 rows at a time, full play on a quarter machine. I usually play one row. But that was what the promo ( a sort of comp) called for: Volatile play for the first $100, then the opposite if I lost. I never got to plan B because I stopped at $300. Nice. $200 profit in less than twenty minutes and still time to get to Sin City Comedy with a ticket from Groupon (anther sort of come on, like a comp)

I played at the poker tables that delivered the comp of free or reduced rate rooms and a weekly free play. I played longer at certain casinos (IP and Flamingo) because I wanted to get in my hours for the free play.
Yesterday at Tampa Hard rock was the last day to qualify for the free $150 gas card, a comp for players who played 20 hours from Sunday to Thursday. All night at my table in came players chasing their gas comps. Some were no limit players who came for the 2-4 limit just to chase that $150 gas card.
I did hear a guy in the bathroom complaining that he had qualified but lost $70 so now he had to get that money back before he would allow himself to go home. It seemed to me he was in some danger.

However, my mathematics is much different because the 10/7 DB is a game in my favor. I am expected if I am smart enough to grind the casino down rather than the reverse as is true in negative expectation games.
And the live poker can be a positive EV game. The casino there is just paid for the service. The opponents determine winning potential.

So the good advice for the negative expectation games is not good advice for the positive expectation games. I play way over my normal budget at the Four Queens 10/7 DB progressive because the mathematics are in my favor and they reward me with generous free play. I would not play as much otherwise. I chase those comps (free weekend night rooms and freeplay and free play)

We often think that the high rollers get the best comps.
Well, maybe that is true.
But the way I play MSS for two free beers, the value of the beer, figured into the money I put at risk, gives me a positive EV. If I were a high roller, the beer would be just pennies on the dollar.
It is the same with food comps.

I'll play the Golden Nugget poker late a night because I am chasing the $10 coupon for free breakfast the next morning. I start with an ACG coupon for $10 in free chips. If I am playing 2-4 limit, adding a value of $20 to my night of play is huge. If I were playing no limit, well.... twenty bucks is twenty bucks, but I had better not stay over the time I would normally leave tired or bored or uncomfortable just to get in my hours for that $10 promo.

So, in some cases "chasing comps" is the good advice. We can't get the best mathematical advantage in gambling without chasing comps. And if we can start the chasing by chasing positive expectation games, well that is the best advice. Grind the casino down whenever possible, whenever possible. Avoid letting the casino take advantage of you. That is the challenge.

More soon.

Our latest Podcast is up and ready.

noreply@blogger.com (Don Fuener) — Wed, 08 Jan 2014 20:05:00 +0000

Bob, Derek and Don talk travel. A heinz 57 bunch of information this time including new TSA fees, Derek is now certified with Disney, and Bob talks about just completed trip to Viet Nam.

You can hear it by clicking on the link below>>>

http://www.buzzsprout.com/16952.rss

noreply@blogger.com (Don Fuener) — Fri, 03 Jan 2014 18:59:00 +0000

Hello, I am Derek a travel agent with Planet Travel. I am working with Don Fuener with a Facebook approach to friends and customers. Please LIKE US. Check us out on FaceBook at Planet Travel in Springfield, IL

Travel season is approaching fast. Have you thought about a cruise to the warm weather of the Bahamas or the Caribbean? We can help with your planning, maybe air and hotel/resorts? Give us a call at 217-241-0180 or stop by at 2060 West Monroe in Springfield, IL

We will soon have a New Planet Travel Website, please check back often at www.planetravelonline.com

From Russia with love and other exotic destinations

noreply@blogger.com (Don Fuener) — Thu, 26 Dec 2013 19:24:00 +0000

Our latest podcast feature Bob Rech talking about some off the beaten path destinations and non conventional cruising with National Geographic.

To listen to our podcast click on this link

Planet Travel Podcast for November 6, 2013

noreply@blogger.com (Don Fuener) — Wed, 06 Nov 2013 19:11:00 +0000

Bob, Alice and Don from Planet Travel talk about the TSA know before you board program, where are clients are going, some exotic and some not so exotic and why we like Sandals.

Now is the time to book last minute travel.

Click here to listen to our podcast.

Planet Travel Insider Podcast

noreply@blogger.com (Don Fuener) — Thu, 03 Oct 2013 20:14:00 +0000

Hello world. We are up and running. Sorry about that rather annoying buzz. Our technical wizard took the day off. But here is some good information from your friendly Planet Travel Travel Geeks.

Click here to listen to this episode

Wash Your Hands Often and Drink Lots of Water

noreply@blogger.com (Don Fuener) — Tue, 03 Sep 2013 01:12:00 +0000

Marketwatch recently published a list of "Ten Things Cruise Lines Won't Tell You."

Including:

3. “We’ve got a drinking problem.”

As the abundance of phrases like “three sheets to the wind” (meaning very drunk) and “splice the main brace” (an order to drink, delivered by a commanding officer) suggests, drinking and sailing have long gone together. And they continue to do so today. “Cruising is vacation,” says Colleen McDaniel, managing editor of consumer site CruiseCritic.com. “People like to relax, try the drink of the day, sample some wines or enjoy some celebratory champagne.

While some small luxury cruise lines like Regent Seven Seas, Seabourn and Chrystal Cruises are essentially open bar, mass market lines treat booze as big business. Since on most cruise lines, food and some nonalcoholic beverages are included in the ticket price, it’s that much more urgent that they make some profit off the booze. Ships sell drinks with restaurant-style mark-ups or through all-you-can-drink packages. (Carnival’s Cheers program costs $42.95 a day, although they do cut people off after drink number 15.) When CruiseCritic polled readers in 2011, more than a fourth of respondents said they typically spend more than $200 on drinks per cruise. (The average cruise lasts seven days.)

The trouble with drinking on a ship, some say, is that many cruises have instituted policies that prohibit passengers from bringing aboard bottles (either from home or purchased ashore). That means passengers are stuck paying the ship’s prices. Royal Caribbean, for instance, does not allow guests to pack beer or liquor. While it does permit two bottles of wine per room, a $25 corkage fee applies for each bottle consumed in a public area. Experts say some passengers have responded to the policies by trying to sneak past them. But when contraband is found, typically when bags go through the security screener, it’s confiscated.

Royal Caribbean didn’t respond to requests for comment. The Cruise Lines International Association says such policies help crews make sure overzealous passengers don’t end up too drunk.

We miss the peanuts

noreply@blogger.com (Don Fuener) — Wed, 28 Aug 2013 15:36:00 +0000

Yahoo just listed this Readers Digest/ABC report: "13 Secrets Airline Pilots Won't Tell You"

The safest and most comfortable seats are over the wings. Turbulence won't cause a plane to crash. And you should try to fly early in the morning.

Read more by clicking on this link.

When it the best time to buy domestic air ticket? 49 days in advance

noreply@blogger.com (Don Fuener) — Sun, 27 Jan 2013 00:07:00 +0000

From Yahoo finance.

Bargain-conscious travelers have been trying to answer the question for years and are still stymied: How far in advance do you have to book to get the best airfare?

According to new research by CheapAir.com based on the travel site's review of 560 million airfares, the optimal time to book a domestic flight is 49 days in advance. If you're flying overseas, you should book almost three months -- 81 days, to be precise -- before you travel.

Read more by clicking on this link.

A Quick Review of the New Hollywood Casino St. Louis

noreply@blogger.com (Don Fuener) — Wed, 14 Nov 2012 04:55:00 +0000

In October 2012 Penn National closed on its purchase of Harrahs in Maryland Heights. We recently spent a Sunday evening checking out the new owners of the newly renamed Hollywood Casino St. Louis. It was no secret that the Harrahs now Caesar's corporation has been hit with some hard times. Evidence of Harrah's deferred maintenance is in abundance. Penn National has it work cut out if it is going to upgrade this property to the 21st Century. This casino is still in transition with banks of slot machines labeled to be replaced. The non-smoking section has been reduced by half. Although Harrahs marketed itself as having the largest non smoking slot section in St. Louis our visits found that this section was an empty wasteland most the time. Even on a busy Saturday night. Smoking and gambling still go hand in hand.

Missouri Casinos have always maintained a larger slot hold than their neighbors. And Hollywood Casino is no exception. Expect tight slots. Midwest players love their penny machines and majority of the slots are pennies at Hollywood. Competitor Ameristar Casino, across the river, has had a policy of upgrading their slot floor with newer slot machines for the last few years. We believe that "new" is another word for tight. We thought the Hollywood Casino slots were tighter then Ameristar and that is saying something. With the casino noticeably missing patrons, and those that were gambling noticeably complaining about their losses, Hollywood really failed to make a good impression during our visit checking out the new owners. We have never seen so many slot machines were the players quit with payouts of less than a dollar in a very long time. 90.6 aggregate pay out is not going to crack it with competitors such as River City, Casino Queen, and their sister property the Alton Belle offering higher slot paybacks. We know that Harrahs always ran neck and neck with Ameristar as the casino with the tightest hold in St. Louis but it doesn't seem to be the ideal business model for competition of the local's dollar. Especially when you are the new kid on the block.

Hollywood Casino has more than 90 table games. We have dabbled at the craps table with no luck. $5.00 minimum tables are available throughout the week. Young son swears by the blackjack tables. Have not seen any 6-5 tables, though. We assume that $15.00 minimum bet will be the norm on Saturdays. Like Ameristar, Hollywood offered gimmick versions of blackjack. 21 plus 3 handed poker for example.

Hollywood players club transferred Harrahs comp balance to their system. A very good thing. Apparently you can redeem comps for cash but the system wouldn't let us do it during our visit.

Hollywood has kept the Eat Up! Buffet. With out a doubt still the premier buffet in the St.Louis area. However we couldn't help but notice during our lunch that the lines to get the food were longer than ever for some reason. And frankly some of the food was cold and some of the dishes were empty with no replacement during our visit. They sat there empty the entire time we were dining. If they kept the same Harrah's employees it has to be the management that needs to work out the kinks

Charlie Gitto's. Hollywood's version of the venerable Hill restaurant offers an extremely attractive early dining special menu. Most entrees are under $15.00.

Fall's Incredible Cruise Sale

noreply@blogger.com (Don Fuener) — Thu, 20 Sep 2012 02:11:00 +0000

Cruise deals are plentiful this fall. It is a great time to book a cruise. We encourage you to call our office for the best deals. For example here are three deals we found just today>>>

Carnival Ecstasy, Carnival Cruises

5nt Bahamas from Pt Canaveral

Prices include all taxes for an inside category 4A with a king sized bed. Based on low season dates. Summer, holidays and peak season dates may be higher. All prices are subject to availability and to change by the cruise line until booked. Please advise if military, retired military with at least 2 years service, or interline employee for possible additional discounts.

Rates from: $349

Caribbean Princess, Princess Cruises

7nt Canada New England

Price is per person based on double occupancy for a minimum inside cabin with two lower beds that can convert to a Queen. Prices subject to availability at the time of booking. Prices include all taxes. Other dates may be slightly higher........We cannot check for past guest fares without your past guest number......Some dates offer free shipboard credit or wine.

Only available to residents of the US and Canada

Rates from: $742

Freedom of the Seas, Royal Caribbean

$25 off All Categories

Discount offer on rates for all Categories.

Only available to residents of the US and Canada

Rates from: $549

All rates are per person and subject to availability. Taxes and other fees are not included.

When I travel to Europe where is the best place to exchange money

noreply@blogger.com (Don Fuener) — Mon, 10 Sep 2012 19:08:00 +0000

At an ATM.

See this discussion from Rick Steves

Free Copy of the the latest On The Go Magazine

noreply@blogger.com (Don Fuener) — Wed, 05 Sep 2012 01:53:00 +0000

Click this link to read the most recent issue of On The Go Magazine from GOGO Vacations.

Price Beat Promise If we can book it, we will beat it!

noreply@blogger.com (Don Fuener) — Wed, 05 Sep 2012 01:47:00 +0000

Our partner GOGO Vacations, the inventor of the package vacations, recently announced their price beat promise. And it is very good news for travelers booking through Planet Travel.

We no longer match on price, we go one better – we beat it! We pledge to beat any verified quote by $10.00 per paying adult and $5.00 per paying child.

Who will GOGO price beat?
If you find a vacation package from another US travel provider at a lower price (wholesalers, major on - line retailers or hotel direct), GOGO Worldwide Vacations will beat the same package and price upon verification.*

When will GOGO price beat?

Anytime prior to full payment, if the price is available and GOGO can book it will beat it.

What do I need?
All you need are the details of the quote, and the competitor’s name. Wherever possible a written quote will expedite the verification.

Do I have to wait?
You’ll never have to wait because your Planet Travel/GOGO consultant is empowered to beat the price on the spot.No waiting. No authorization.

The fine print:

*GOGO price beat policy does not apply to companies outside the United States, online auction/bid websites, military, friends and family discounts and senior discounts. Groups and third party products will be handled on an individual basis. Wholesalers price beat policy: US wholesalers only, contracted commissions are paid, least expensive air will be booked and paid for using applicable payment policies and cancellation penalties. Major Online Retailer price beat policy: US online retail travel companies only, service fees cannot be added to the booking, must follow online travel companies payment/cancellation policies. Hotel Direct price beat policy: we price beat on hotels

Consumer Reports Offers Six Tips For Saving Money On Airfare

noreply@blogger.com (Don Fuener) — Mon, 23 Jan 2012 02:00:00 +0000

Consumer Reports Offers Six Tips For Saving On Airfare

Consumer Reports has some tips that can help cut the cost of flying, plus help organize your search for the best deal. In addition to setting up alerts to track fares and searching for domestic flights three and a half months prior to booking (five and a half for international), you should also buy your ticket early—you'll pay a premium if you wait to within 14 days of travel.

Click the above link to read more.

One other point about the lunacy of checked baggage fees

noreply@blogger.com (Don Fuener) — Wed, 30 Nov 2011 03:14:00 +0000

Portfolio.com wrote a rather insightful article in 2009 about the truth in charging airline baggage fees>>>

Here's an indisputable fact: During the second quarter of the year, the nation's largest airlines collected $669.5 million worth of baggage fees from the nation's hapless passengers. That's an attention-grabbing 275 percent increase from the second quarter of 2008.
But here's an indisputable truth: The more baggage fees that the big airlines pile on their customers, the faster their overall revenue is collapsing. In fact, the only carriers that escaped a double-digit revenue decline in the second quarter were the two that still allow all passengers to check at least one bag for free.

That you heard about the indisputable fact last week from airline executives, self-important industry analysts, and the myopic general media but weren't told about the indisputable truth is an indication of exactly how badly business travelers are served these days. Not only are the big airlines flying blindly toward a fiscal precipice, their supposed watchdogs are blithely going along for the ride.

"Baggage fees are the kind of shortsighted things that are killing us," the top U.S. executive of a European airline told me recently. "The accountants we have are great at tracking the 'ancillary' revenue we generate whenever we invent something like a baggage charge. But they have absolutely no way to match that against our potential overall revenue exposure if travelers book away from us.
And no one holds them accountable for their one-way accounting. It's a scandal."

"Scandal" may be a little strong, but there's no arguing this airline executive's basic point. Ever since airlines began hiving off traditional services like in-flight meals, seat assignments, and checked baggage from the basic airfare, the carriers have carefully tracked the growth of this secondary revenue. But they never correlate it against their overall revenue picture. And U.S. legacy carriers have studiously ignored the fact that Southwest and JetBlue, which generally avoid what is now called as a la carte pricing, have gained market share, won the most customer kudos, and, not coincidentally, been the most consistently profitable.

.Consider the odd, but entirely trackable, evolution of baggage fees. For decades, most carriers on domestic routes permitted customers to check at least two bags free. That changed during the first quarter of 2008, when United Airlines introduced a $25 fee for most coach passengers checking a second bag. The other legacy carriers—American, Continental, US Airways, and the now-merged Delta and Northwest—quickly matched. By 2008’s second quarter, American Airlines announced a $15 fee for checking the first bag. That fee was quickly matched too, not only by the legacy lines, but also by smaller carriers such as Alaska Airlines and AirTran Airways. The only holdouts: Southwest Airlines, which has clung tenaciously to its two-free-bags policy, and JetBlue Airways, which still permits all passengers one gratis checked bag.

By the time the airlines had released their 2009 first-quarter results, a pattern was obvious: The carriers that had most quickly embraced checked-bag fees had suffered a massive decline in revenue, anywhere from 9 to 21 percent compared with the first quarter of 2008. As I reported contemporaneously on my own website, the airlines that didn't ding customers for bag fees had much more modest declines. The pattern was there for anyone to see

Read more: http://www.portfolio.com/views/columns/seat-2B/2009/09/29/baggage-fees-hurting-airlines-bottom-line/#ixzz1f9eggcvq

The Airline That Originated The Baggage Fee Files Bankruptcy

noreply@blogger.com (Don Fuener) — Wed, 30 Nov 2011 03:09:00 +0000

We have been blogging for awhile about the lunacy of airline baggage fee. By now you have read about the bankruptcy filing of American Airlines. American Airlines was the first major airline to impose a fee on the first bag checked.

We now turn to the way back machine to discover why the airlines turned to this most anti passenger nickle and dime business model.

The LA Times reported in May 2008>>>>>

Starting June 15 most American passengers must pay $15 for checking a single bag. That comes on top of the airline's decision two weeks ago to charge $25 for a second bag.
American, the largest carrier at Los Angeles International Airport, said it was compelled to take the actions in what it called an "extraordinary" environment.

Other airlines are expected to take additional steps to fight the twin curses of rising oil prices and a weak economy, increasing prospects for higher fares and crowded planes as the busy summer travel season kicks into gear with the upcoming Memorial Day weekend.

Already, domestic airfares for summer travel are up 20% compared with a year ago, according to Farecast.com, an online travel search service. American said rising oil prices had increased its expected annual fuel costs by nearly $3 billion since the start of the year.

"There is no sugar-coating the fact we are facing an extraordinarily difficult economic environment," Gerard Arpey, the just fired on November 29, 2011 chief executive of American's parent, AMR Corp., said during a conference call with reporters Wednesday. "The industry cannot continue in the current state."

The fee is the first imposed by a major airline for checking in the first bag, a service that has previously been included in the price of the ticket. The fee does not apply to "elite" level frequent-flier club members, those paying full fare and some others.

The airline began charging $25 for a second checked bag earlier this month, and has imposed even higher charges for additional luggage. The airline said it also would raise fees for services including reservation help and the handling of oversized bags.

The moves to generate new revenue came on the heels of another record-breaking day in the petroleum market and raised the prospect of another round of airline bankruptcies if oil prices continued to rise unabated.

The Elliot.org website reveals the paniful truth about airlines and their baggage fees.

For the last few years, the airline industry has made a variety of dishonest claims related to fees. First, it said it was adding a surcharge for the first checked bag to cover higher fuel costs, but when fuel prices dropped, it kept the fee. It also said that by unbundling prices, it wanted to give customers more “options” and lower fares. Problem is, they never actually lowered fares when they added fees for services that used to be included in the ticket price. They just started charging more for something that used to be included in the ticket price.

That upsets some passengers.

“It leaves such a bad taste in my mouth,” says Diane Olivier, who recently paid more than $60 to get seat assignments on a British Airways flight. “One assumes when you are paying over $1,600 for a ticket and you book early it comes with a seat of your choice.”

The second problem is the way in which these extras are revealed. Airlines routinely broadside their customers with fees, either informing them of the extras immediately after their ticket purchase or when they arrive at the airport.

When Mayer Nudell recently tried to check his bag curbside in Long Beach, Calif., for example, he was told there’d be a fee for the privilege. Had his airline, JetBlue, bothered to tell him about the surcharge? No. “I discovered it at the airport,” he says.

Of course, Nudell could have said “no” and checked his luggage at the ticket counter. But others aren’t so fortunate. They find they must either pay hundreds of dollars for their bags or abandon their personal belongings at the airport. And they feel the airline has them over a barrel.

Ansar Shrine 2012 Las Vegas Blog

noreply@blogger.com (Don Fuener) — Fri, 23 Sep 2011 01:31:00 +0000

Click the above link to read our latest blog "Ansar Shrine 2012 Las Vegas Trip." We are putting together the final details of the trip and will post them first at this blog. More details, as well as sign up information will be available at our web site www.planetravelonline.com next week. Thanks for traveling with us.

Where is my refund?

noreply@blogger.com (Don Fuener) — Wed, 27 Jul 2011 01:13:00 +0000

From CNN online:

Airlines benefiting from a unplanned federal tax holiday should save the money for the government or pass it along to the passengers, but should not pocket the money themselves, key congressional leaders said Tuesday.

Two Democratic lawmakers said the airlines' actions belied the industry's frequent lament that government taxes and fees hurt air travel.

"As we have heard from airlines for many years, these fees, all of which are passed on to the consumer, depress the demand for air travel, hurting the industry's bottom line. We are left to conclude that your previous assertions were incorrect about the impact of taxes and fees on the industry," Sens. John D. Rockefeller IV, D-West Virginia; and Maria Cantwell, D-Washington, wrote in a letter to Delta Air Lines CEO Richard Anderson, chairman of the board of the Air Transport Association, an industry group.
Rockefeller and Cantwell urged the airlines to "put all of the profits that they are making" from the tax lapse into an escrow account so they can transfer it to the Airport and Airway Trust Fund (AATF) when Congress reinstates the taxes.

"If the industry is unwilling to protect the integrity of the AATF, at a minimum, it should pass the savings onto the consumers," the senators said.

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