Global
Managing the Unmanageable
Ancillary Airline Fees
With a slumping economy and resulting decrease in air travel demand throughout 2009, the global airline industry incurred a mounting loss that totaled $9.4 billion by year end, according to the International Air Transport Association (IATA). Airlines across the globe tackled the downturn in varying ways, but the principal tactic used was the introduction of new ancillary fees, which has also been referred to as airline merchandising, à la carte pricing, and attribute-based pricing.
