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May24
Does the Airline Industry Need a New Business Model?

The big news this past week was American Airline's announcement that they will start charging $15 for the first checked baggage in addition to raising fares up to $60.  

Of course, everyone is complaining about it.  I found myself complaining at first, but then I realized I was wasting energy on a company that I don't even use.  As long as Southwest doesn't follow suit, I think I'll be Ok.  According to this post on the Southwest Blog, it looks like I don't have anything to worry about - for the time being anyway. 
'American Airlines, the official airline of Latin America' Flickr Photo by Alexander Steffler
But all of this talk about rising airline fares and fees has me thinking about other options for airlines to bring in more revenue.  Do customers always have to get the bad end of the deal?  Are there indeed other ways for airlines to cover their costs?  Mary Schmidt thinks the airlines need a new business model.  What do you think?

Photo Credit:  Alexander Steffler


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« Another Quarterly Customer Service Survey, Results Not Surprising | Main | Customer Service Carnivale: The Inspiration Edition »

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