Comments on: Upgrades and Downgrades: BA miles, track suits, Expedia fees, no-show fees http://www.upgradetravelbetter.com/2009/11/05/upgrades-and-downgrades-ba-miles-track-suits-expedia-fees-no-show-fees/ Living the first class life -- at coach prices Fri, 10 Feb 2012 09:21:15 +0000 hourly 1 By: David M http://www.upgradetravelbetter.com/2009/11/05/upgrades-and-downgrades-ba-miles-track-suits-expedia-fees-no-show-fees/#comment-30598 David M Mon, 09 Nov 2009 23:23:40 +0000 http://www.upgradetravelbetter.com/?p=4189#comment-30598 Airlines don't charge a no-show fee, per se. Rather, since they already have your money, they simply deduct a change fee from the value of the ticket if you later want to reuse it. Assuming they do at all; many airlines will only let you reuse a ticket's value if you cancel it before the flight departs. So if you simply don't show up, you don't get to reuse it at all, and the entire cost of your ticket becomes the "no-show" fee. I tend to agree that with the current policies regarding no-shows, overbooking makes less sense. However, there is an opportunity cost associated with not overbooking. If there is a no-show on a high demand flight, there is a possible that the airline could have gotten extra revenue from selling the same seat twice (once to the passenger who didn't show up, and once to the passenger who did). Also, keep in mind that not all "no-shows" are due to the customer simply deciding not to show up. A delayed flight could mean that some passengers will miss their originally booked connecting flight, creating an opportunity to sell the seat again. Airlines don’t charge a no-show fee, per se. Rather, since they already have your money, they simply deduct a change fee from the value of the ticket if you later want to reuse it. Assuming they do at all; many airlines will only let you reuse a ticket’s value if you cancel it before the flight departs. So if you simply don’t show up, you don’t get to reuse it at all, and the entire cost of your ticket becomes the “no-show” fee.

I tend to agree that with the current policies regarding no-shows, overbooking makes less sense. However, there is an opportunity cost associated with not overbooking. If there is a no-show on a high demand flight, there is a possible that the airline could have gotten extra revenue from selling the same seat twice (once to the passenger who didn’t show up, and once to the passenger who did).

Also, keep in mind that not all “no-shows” are due to the customer simply deciding not to show up. A delayed flight could mean that some passengers will miss their originally booked connecting flight, creating an opportunity to sell the seat again.

]]> By: Bill http://www.upgradetravelbetter.com/2009/11/05/upgrades-and-downgrades-ba-miles-track-suits-expedia-fees-no-show-fees/#comment-30563 Bill Sun, 08 Nov 2009 11:03:42 +0000 http://www.upgradetravelbetter.com/?p=4189#comment-30563 About no show fees, here's something I don't understand. Airlines say that they overbook because they have so many no shows. But if they charge no show fees (i.e. the full price of the the ticket), what difference would it make if someone didn't show? In fact, it would be better for the airline because the plane would be lighter (and customers wouldn't be bumped). Which airlines charge (and enforce) no show fees? About no show fees, here’s something I don’t understand. Airlines say that they overbook because they have so many no shows. But if they charge no show fees (i.e. the full price of the the ticket), what difference would it make if someone didn’t show? In fact, it would be better for the airline because the plane would be lighter (and customers wouldn’t be bumped). Which airlines charge (and enforce) no show fees?

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