What are the net costs to airlines for moving passengers to earlier flights?

What are the net costs to airlines for moving passengers to earlier flights? - Black Suv Beside Grey Auv Crossing the Pedestrian Line during Daytime

Sometimes, if you are very early for a flight and have no checked bags, and there is another flight on the same airline going to the same destination with empty seats available, you can politely ask the gate agent and they can add you to a standby list for those empty seats.

In general, I tend to think of this as being helpful for the airline. If they wind up having other passengers coming in late, missing connections, etc. they then have more flexibility to use that vacated seat on the later flight, to meet their obligations and/or increase customer satisfaction. Also, it sometimes happens that the original itinerary flight winds up delayed causing missed meetings, connections etc. while having the customer on the earlier flight means that they are more likely to be successful in that journey. Maybe the passenger can't rely on arriving at the airport early enough to take that earlier flight and so did not book it, but if conditions change and they did arrive (past security) in plenty of time (this may be because the first flight was delayed), and room is available and there are no checked bags, it seems that putting the passenger on the earlier flight (with the passenger's permission/request) would be mutually beneficial.

Some airlines allow this without any extra fees; some charge significant fees for it unless the passenger has elite frequent-flyer status. Those that charge significant fees indicate that the change causes significant extra costs for the airline. What are those costs? How do they compare to the potential benefits to the airline?

(For this question, assume that the ticket was booked in Economy class and the earlier flight has seats available in Economy class).



Best Answer

The actual monetary cost to the airline of putting you on a different flight, later or earlier is, let's just say not really a factor.

This is more a case of revenue management or enhancement over anything else.

Because the value of the earlier flight is higher to the customer than the airline, the airline has determined, correctly, that passengers are willing to pay for the privilege. If the customer is willing to pay, no reason to leave that money on the table.

It also serves as form of price protection. If the earlier, or later, flight is generally more desirable, the ticket price will be higher. They don't want passengers paying for the lower fare flight, then taking the higher fare flight without paying something for that privilege. Otherwise, it's lost revenue.

Waiving those fees for frequent travelers is a benefit designed to keep you flying with them. The 'lost' revenue for that benefit is more than recouped through additional ticket purchases.

A prominent outlier in the Standby model is Southwest. But, that has more to do with them having no change fee. They will happily change your flight to anything you want, you just pay the difference. Essentially, they don't have traditional Standby at all. For clarity, they do offer fare protection in a 2 hour windows for A-List members.

Finally, staff do have some flexibility to waive any fees if there's operational justification for doing so. If flight B is significantly delayed, pax can be moved to flight A. Yes, this is mutually beneficial since the passenger is underway sooner and downstream effects, missed connections etc, are mitigated.




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What are the net costs to airlines for moving passengers to earlier flights? - Aircraft on airfield on winter day



Does it cost money to switch to an earlier flight?

During normal airline operations, changing to an earlier flight will cost you, unless you're an elite level frequent flyer or purchased a full-fare ticket. Arguing that it's in the airline's best interest to allow you on an earlier flight because it opens a seat that could be sold to others just won't cut it.

Can a flight be moved to an earlier time?

Can flight times change after booking? When you book a flight, you agree on its schedule. However, all airlines reserve themselves the right to change the time (and sometimes even the date) of the flight, as per their terms and conditions.

What is one way to lower the price of a flight?

Consider booking multiple 1-way tickets While booking round-trip airfare is usually a surefire way to nail down cheaper fares, every now and then the one-way option is more cost effective, particularly when departing from a major international hub airport.

Why is it legal for airlines to overbook flights?

Empty seats are not profitable, so overbooking allows the airline to ensure that every seat on the airplane is making money for them. The \u201cno-show rate,\u201d which helps airlines determine how many extra tickets to sell, is determined by data from past flights connecting the same points.



HOW TO FIND CHEAP FLIGHTS - My Best Tips After Booking 500+ Flights




More answers regarding what are the net costs to airlines for moving passengers to earlier flights?

Answer 2

It's primarily lost revenue. A few people will actual pay the change fee and if the airlines would do it for free, they would lose these fees.

It's also a marketing tool to advertise premier member benefits that actually doesn't cost the airline anything.

On the other hand, giving away the benefit for free and make the customer happy could also be counted as a marketing benefit.

It's all part of the frightfully complicated revenue optimization systems that the airlines use.

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