Airlines zap travelers with a ticket hike, just in time for summer
Airlines are starting off the busy travel season with a bang, raising ticket prices by up to $10 round-trip.
Who started it?
Difficult to say, partly because this hike has followed a strange pattern, like a bar brawl in slow-motion. Hiking activity was initially detected June 4 as JetBlue raised some prices, followed by a ten-day slug-fest in which various airlines jumped in and out to match, tweak, add or subtract routes. The ball really got rolling last week when Southwest joined in; by week's end, the carrier's pricing morphed into a full-blown, system-wide hike which was then matched by American and appears to be sticking.
What's different about this hike?
The pace, for one thing. Hikes are usually quick and decisive affairs in which one airline raises prices system-wide and competing carriers either jump in or not. If they do, one or more may quickly reconsider and roll back prices, and others follow. If the bigger carriers stand pat, the hike sticks. This one began in bits and pieces before slowly growing into an across-the-board increase.
Why raise prices now?
Toys "R" Us doesn't put its kiddie favorites on sale for the Christmas shopping season, does it? Airlines are businesses, too, and they know people want to fly in the summer. At the moment, demand remains high and the airlines believe travelers are willing to pay the extra ten bucks. If that changes, prices will roll back, but don't count on that.
How travelers can save on airfare
There are still two good ways to save money on airline tickets which I'll call Delay & Discomfort. Here's how it works:
• Delay: If you can wait to fly until Aug. 25 or beyond, you will see a significant price drop; in some cases, this will translate into savings of up to 20%.
• Discomfort I: Forget flying the most popular days, Friday or Sunday; they also happen to be (usually) the most expensive days to fly. Instead, travel Tuesday, Wednesday or Saturday and you will save money.
• Discomfort II: Forgo the convenient non-stop in favor of a connecting flight. You could save as much as 50% or more.
FareCompare CEO Rick Seaney is an airline industry insider and top media air travel resource. Follow Rick (@rickseaney) and never overpay for airfare again.