Airline Fares
Airline fares seem to be a mystical phenomenon. Every time I get on an airplane I take a survey of people around me to find out what airline fare they paid for their seat on the flight. Every person I ask paid a different price than everyone else for their airline fares.
Sometimes the difference is as much as a couple hundred dollars and we're talking about two seats right next to each other in the same aisle.
I find it all very humorous and amusing that airline fares can be so very different for seats in the same class on the same flight. In once case, I remember two gentlemen getting into a very heated argument over the prices they paid and the cabin crew had to break it up. Really, if you think about it, airline fares are really unfair in the way they are decided.
There have been times that I've booked my flight months in advance in an attempt to get lower airline fares and times, especially for business trips, that I've had to buy a ticket at the very last minute.
Actually, there have been times when I paid more expensive airline fares by booking it well in advance than times when I bought at the last minute. What sense does that make?
You'd think booking in advance would result in the cheapest airline fares because the airline knows how many seats will be sold. But a friend of mine in the airline industry revealed to me how the system really works. An airline has basic costs that it needs to cover to make each flight profitable.
This cost, which is much lower than the airline fares we pay, includes the cost of fuel, service charges, salaries and equipment.
These costs form the baseline of the airline fares you and I pay, but to them are added the profit margin of the airlines, taxes and surcharges from the airport, and commissions charged by the tourist agency or booking agent that you buy the ticket through.
The end airline fares you pay is extremely dependent on the premium that your travel agent charges. If you develop a relationship with an agent and frequently buy airline fares through him, he may be willing to decrease his commission to give you more affordable airline fares.
But the first time you buy airline fares through an agent, it is unlikely he or she will reduce their commission.
Nonetheless, they may be willing to bargain and agree to pay for your visa costs on an international flight or give you some vouchers for future flights or hotel bookings on domestic flights.
This is particularly true if you purchase hotel or car rental bookings through the agent at the same time. Travel agents are generally well connected and can put together a nice, affordable package for you if you ask.
Sometimes the difference is as much as a couple hundred dollars and we're talking about two seats right next to each other in the same aisle.
I find it all very humorous and amusing that airline fares can be so very different for seats in the same class on the same flight. In once case, I remember two gentlemen getting into a very heated argument over the prices they paid and the cabin crew had to break it up. Really, if you think about it, airline fares are really unfair in the way they are decided.
There have been times that I've booked my flight months in advance in an attempt to get lower airline fares and times, especially for business trips, that I've had to buy a ticket at the very last minute.
Actually, there have been times when I paid more expensive airline fares by booking it well in advance than times when I bought at the last minute. What sense does that make?
You'd think booking in advance would result in the cheapest airline fares because the airline knows how many seats will be sold. But a friend of mine in the airline industry revealed to me how the system really works. An airline has basic costs that it needs to cover to make each flight profitable.
This cost, which is much lower than the airline fares we pay, includes the cost of fuel, service charges, salaries and equipment.
These costs form the baseline of the airline fares you and I pay, but to them are added the profit margin of the airlines, taxes and surcharges from the airport, and commissions charged by the tourist agency or booking agent that you buy the ticket through.
The end airline fares you pay is extremely dependent on the premium that your travel agent charges. If you develop a relationship with an agent and frequently buy airline fares through him, he may be willing to decrease his commission to give you more affordable airline fares.
But the first time you buy airline fares through an agent, it is unlikely he or she will reduce their commission.
Nonetheless, they may be willing to bargain and agree to pay for your visa costs on an international flight or give you some vouchers for future flights or hotel bookings on domestic flights.
This is particularly true if you purchase hotel or car rental bookings through the agent at the same time. Travel agents are generally well connected and can put together a nice, affordable package for you if you ask.