Reportedly, United Airlines announced to permanently waive off the fees required to change domestic flights. The pandemic has caused negative impact on air travel, hence such big bet by the company on making flexible policy is likely to attract customers looking for affordable travel options.
As per the trusted reports, the announcement of scarping off USD 200 fee is an attempt to find new ways to revive the business which has been impacted due to the pandemic. Transportation Security Administration screenings at the U.S. airports accounts for 30% of previous year levels as the airlines couldn’t garner the much-needed revenue during summer which is a peak travel season.
According to the credible sources, customers that hold premium-class tickets or standard economy tickets only need to pay for the fare difference if they change their flights, and not the change fee. This policy is not applicable for basic economy tickets that does not allow flight changes, but the airline has offered its change-fee waiver on all tickets through 2020.
United Airlines CEO, Scott Kirby stated that amid the difficult times, the airline has taken a tough call to sustain. He further added that United Airlines would not follow the previously used playbook after resuming operations. Instead they are planning to take a different approach and seeking new ways to improve customer service, Kirby added.
Incidentally, the termination of the ticket change fees is withdrawal of myriad add-ons and other fees that airlines charged its customers for years. According to the Department of Transportation, last year, U.S. carriers amassed a sum of USD 2.8 billion as ticket-change and cancellation fees.
As stated in reports, in January, the Chicago-based airline will also allow the passengers to depart on a different time on the same day without charging USD 75 as same-day change fee. These initiatives could pressurize the rival companies to adopt similar policies.
Source credits-
https://www.cnbc.com/2020/08/30/united-airlines-scraps-ticket-change-fees-for-domestic-flights.html