TRAVELCONSUMERDAILY.COM
FRIDAY, JULY 8, 2010

THE INCREASING number of extra charges being introduced by some airlines can easily triple the cost of a budget ticket, an analysis of low-cost carriers by Australia’s biggest retail travel chain has found.

Melbourne’s Herald Sun newspaper reports travellers are increasingly being asked to pay extra fees for a range of features that were traditionally provided for free including airport check-in, assigned seats, check baggage and sporting equipment, food and drinks and in-flight entertainment.

The overall price of a ticket then becomes comparable to or even more expensive than that of a full service airline, warns Flight Centre marketing manager Colin Bowman warns.

"Eye-catching deals are being advertised in Australia, but the reality is that the headline prices will be irrelevant for travellers who require more than just a basic seat," Bowman told the Herald Sun.

"In many cases, travellers will have to pay extra for services they require or have traditionally come to expect. Families, for example, may need to pay extra for assigned seats, checked luggage and in-flight refreshments or entertainment.

"Together, these ancillary charges can dwarf the cost of the actual air ticket and make it difficult for travellers to understand exactly what they are getting for their money when they compare the various airlines’ offerings."

Flight Centre's analysis shows that a no-frills $A28.95 one-way fare from Melbourne to Adelaide on low cost carrier Tiger ends up being comparable to a $A95 Qantas fare on the same route when factoring in commonly requested "extras".

One example is a passenger who requests a pre-assigned seat, travels with a checked suitcase weighing 20 kilograms and checks in at the airport.

The passenger would have to pay $50 in checked luggage charges, $8 for a standard pre-assigned seat, at least $10 for airport check-in and $3.50 for in-flight tea or coffee.

Factoring in these "extras" the $28.95 Tiger fare more than triples in price and becomes slightly more expensive than the $95 Qantas fare.

Bowman says travellers need to be aware of what they are paying for in order to make the best choice.

"Obviously, you can avoid these charges if you don’t need the service, but for many people that is simply not an option," Bowman said.

"The message for travellers is to understand exactly what you’re getting for your money."

He said moves towards user-pays airfares in Australia mirrored developments overseas, where low-cost carriers such as Ireland’s Ryanair earned millions of dollars from ancillary revenue.