Passengers pay more for airline extras

first_imgAmerica’s expert consultancy on airline fare add-ons is expected to report next month that so-called ancillary revenue has grown by at least another 20 per cent in the past year as the air fare pricing revolution becomes a permanent feature of the travel landscape.IdeaWorks’ November update will follow its 2016 Ancillary Revenue Yearbook, published last month, which details, airline by airline, how dependent the air travel industry now is on so-called a la carte pricing, which travel consumers have taken to in the past decade.The numbers bluntly illustrate why there’s no going back to the era of fully inclusive air fare pricing: airlines globally are collecting around $US60 billion in air fare add-ons. But the global airline industry is collectively making less than $US40 billion profit – one of the best (or least worst) years for an industry which is said to have lost more money than it has ever made, but still a paltry return on an estimated $US717 billion in revenue.In other words, take away a la carte pricing and airlines are collectively losing $US20 billion a year.There’s no doubt that consumers reacted badly when airlines – having to devise new ways to recover their losses when fuel prices soared last decade – started to charge them for items that were previously “free”. Complaints against airlines soared.It wasn’t helped by the fact that the new extras pricing is for products and services that cost airlines next to nothing to provide – like preferred seating. Even the new baggage charges – once originally part of the ticket price – are based on steep markups on the cost actually incurred in airport ground-handling.But, as average air fares globally continue to fall, travellers have realised they’re not paying any more overall. In fact, a la carte pricing  has been most successful among price-sensitive travellers flying on low-cost airlines on holiday routes.”Low-cost carriers rely upon a la carte activity by aggressively seeking revenue from checked bags, assigned seats, and extra leg room seating,” says IdeaWorks’ 2016 Ancillary Revenue Yearbook. “Some of the best in this category have extensive holiday package business with route structures built upon leisure destinations.  Allegiant in the US and in the UK share the common bond of emphasizing leisure travel; the airlines essentially are holiday package companies that own an airline.”To that category you can add low-cost Asia Pacific carriers like Scoot, AirAsia and AirAsia X, Jetstar and Tigerair, all of which are focused on holiday routes and use add-on pricing options, though they lack the aggressiveness of the so-called ultra-low-cost carriers of North America.In the US, the fast-growing Spirit Airlines is the world leader in a la carte pricing, deriving 43.4 per cent – or $US51.80 per passenger – of its total revenue from optional extras. Spirit is one of the few airlines globally that charges for cabin luggage carried onto its planes by passengers – from $US35 to $100 per passenger, dearer even than its checked baggage fees that range from $30 to $50.The number two airline globally is also a US ultra-low-cost holiday airline, Allegiant, which derives 37.6 per cent of its totally revenue from extras, an average of $US49.94 per passenger.It’s not just on short-haul low-cost networks where a la carte pricing has taken over. Ideaworks’ yearbook notes that trans-Atlantic carriers Norwegian Air Shuttle and Icelandair, as well as Jetstar and Scoot in the Asia-Pacific are “dedicated to an a la carte mission on long haul flights”.”IdeaWorksCompany believes the outcome is very predictable –basic economy (without add-on extras) will eventually be offered on long haul markets by carriers with names like American, Lufthansa, KLM, and United,” the report says. “Some may mourn the passing of simpler times when a long-haul ticket price included the promise of a checked bag, seat assignment, and an oftentimes inedible meal. “But consumer behaviour supports the popularity of seat-only tickets that deliver a lower price.  The array of choices provided by a la carte methods allows these consumers to click and pay a premium for more comfort and convenience.  Ancillary revenue represents the safety net which determines whether low fares can coexist with airline profitability.”Air travel consumers can now add to their checklist their own survey of how hungry their chosen carrier is for extras. The alphabetical listing of airlines showing what percentage of revenue each derives from ancillaries begins on Page 20 of the 2016 IdeaWorks Ancillary Revenue Yearbook.last_img read more

SA one step away from mining accord

first_img5 July 2013 Deputy President Kgalema Motlanthe is confident that the Association of Mineworkers and Construction Union (Amcu), a key player in South African platinum, will join the other stakeholders in signing a groundbreaking pact to bring stability to the country’s mining industry. Amcu was the only party to this week’s industry talks – bringing together the government, organised labour and business – that did not sign the Framework Agreement for a Sustainable Mining Industry, saying that it needed to consult with its members. The agreement sets out key steps and processes that will see all parties working together to ensure the stability and sustainability of South Africa’s mining industry. As part of the agreement, parties will desist from provocation, violence and intimidation, and will actively discourage their members from taking the law into their own hands. The government, for its part, will act decisively to enforce the rule of law, maintain peace during strikes and other protests relating to labour disputes, and ensure the protection of life, property and the advancement of the rights of all. Amcu and the National Union of Mineworkers (NUM) have been at loggerheads over membership at the Lonmin Mine in North West province. Addressing the media after the signing of the agreement in Pretoria on Wednesday, Mothlanthe said he hoped it would bring about change for the better in the mining sector. Mothlanthe, who had been tasked with leading the talks by President Jacob Zuma, expressed confidence that Amcu would, after consulting with its members, come to the party and sign the agreement. “We are expecting Amcu to get back soon,” Mothlanthe said. Those that signed the agreement were the NUM, the Chamber of Mines, the Federation of Unions of SA, the Congress of SA Trade Unions, and Mineral Resources Minister Susan Shabangu. Also present at the meeting was Police Minister Nathi Mthethwa, Justice and Constitutional Development Minister Jeff Radebe, and Labour Minister Mildred Oliphant. SAinfo reporter and read more

Trev Talks – Kinder Morgan Court Decision

first_imgThis week on Trev Talks, we discuss the recent court decision that stopped construction of the Kinder Morgan pipeline.  Alan Yu of Fort St. John for LNG joins Trevor to talk about the decision and what it means for our region and the country.They also discussed LNG, Prime Minister Trudeau, Premier Notley and of course all things Energy.You can watch the Youtube version of the show above or watch it on Facebook below. Listen for Trev Talks every Friday at 10 a.m. on Moose FM and shared live on Facebook and Youtube.last_img

Samsung still has time to correct its foldable dream

first_imgNew Delhi: Just when the industry through innovation in the smartphone business had hit stagnation, Samsung wowed us with its first foldable device “Galaxy Fold,” worth a whopping $2,000. A super-premium phone that took almost a decade in the making and opens like a book when unfolded, shouted everything next-generation. However, the expectations took a beating when reports of the Galaxy Fold issues surfaced. The units given to international tech reviewers encountered display distortion and screen flickering issues, forcing the South Korean giant to postpone its launch in Hong Kong and Shanghai on April 23 and 24 respectively, and issue a recall of review units. The big question lingers: Will the “Foldgate” make a dent in Samsung’s image like the Galaxy Note 7 with exploding batteries did in 2016? According to CyberMedia Research (CMR), the smartphone major has been mature and pragmatic enough by postponing its launch and sorting out all the issues before its general availiability. “All said, for Samsung, there is no race for first past the post with its foldable smartphone. It is more imperative for the company to focus on not delivering a flawed product, but rather ensuring highest consumer experience when the device goes on sales,” Prabhu Ram, Head, Industry Intelligence Group (IIG), CMR, told IANS. Defending its devices just days before its roll-out, a Samsung spokesperson assured that the firm would “thoroughly inspect” the units. According to market research firm Gartner, foldable phones would make up 5 per cent of high-end phones sales by 2023 with around 30 million units. According to Faisal Kawoosa, Founder and Principal Analyst of market research firm techARC, from a technology-rich company like Samsung, “one would expect things out only after reliability of desired levels are achieved”. The Galaxy Fold is expected to be priced around Rs 1,40,790 in India. “Nevertheless, the lab and real-world conditions play differently. I don’t see it as a big issue as the product has not exchanged hands with consumers yet. They have time to correct this aberration,” Kawoosa told IANS. Some units of the Galaxy Fold, which became the first phone with a foldable OLED display, is encountering two primary issues: the foldable screen seems to have a layer of protective layer that is similar to a cheap screen film. Several units reportedly failed after the layer was taken off. Few other screens failed because the hinge exposed areas which allowed debris to get inside of the display, thus, damaging the unit. “We expect that users will use a foldable phone as they do their regular smartphone, picking it up hundreds of times a day, unfolding it sporadically and typing on its plastic screen, which may scratch quickly depending on the way it folds,” Roberta Cozza, Research Director at Gartner had earlier said. However, according to market research firm techARC, this is primarily a material issue than a design. “I think till the time it’s a plastic-based screen, the chances of such mishaps remain high. I would certainly like to see a glass display, that too from credible makers like Corning, to have a reliable foldable screen,” stressed Kawoosa. Moreover, there’s no denying that the second-generation of foldable devices would be better that the experimental and ambitious first generation iterations. “The first generation of an innovation is always experimental, and which over successive iterations achieves perfection. Let’s’face it. The Galaxy Fold was just a mistake in timing. It does not take away anything from its manufacturing capabilities,” Ram noted.last_img read more

McGinn delighted with international performance

first_imgNorthern Ireland’s Niall McGinn has revealed his delight at his performance during his country’s defeat to Bosnia & Herzegovina.Micheal O’Neill’s men lost their UEFA Nations League opener to Edin Dzeko and company but the performance of McGinn was a bright spark in an otherwise gloomy outing.The Aberdeen winger got the nod after an injury to Josh Magennis but did his best to make the most of it as he sent in a string of dangerous crosses and was the first to test Bosnia goalkeeper Ibrahim Sehic with a powerful shot after cutting inside.McGinn: We must take only the positives Henry Ikenna Ugwu – November 19, 2018 Niall McGinn says Northern Ireland must take the positives from their disappointing UEFA Nations League campaign.McGinn insists the team’s 2-1 defeat to Austria sums…“I was delighted from a personal point of view that Michael gave me the nod to play and it was my first start in a while,” the 31-year-old said, as quoted by Sky Sports.“When big Josh picked up a wee niggle I thought I might get a chance to get in from the start, as I trained well all week, he said that to me that I had looked sharp in training and thankfully he gave me the opportunity and I thought I did well in the game.“I just kicked on from obviously doing OK at Aberdeen and I have been playing plenty of football, so for Michael to give me the nod to go in and I knew my job was to get at the full-back, get crosses into the box and obviously create chances for the strikers. I thought I done that and I was really enjoying the game.”last_img read more

Troy Deeney praises camaraderie of basketball

first_imgWatford captain Troy Deeney has praised the camaraderie of basketball ahead of the NBA London Game.The 30-year-old took time after training, before the Hornets’ next game against Burnley this weekend, to support youngsters who were working with some basketball legends to improve their game.But Deeney’s involvement is far from done there, and he’s expected to attend the NBA London Game, where the New York Knicks face the Washington Wizards.He said, according to Ealing Times:Deeney: Let’s go out and try and make history Obinna Echi – May 17, 2019 Watford captain Troy Deeney has urged his teammates to seize the moment and make history for the club ahead of Saturday’s FA Cup final against Manchester…“I’m going down on Thursday and just want to enjoy the show. I appreciate the talents, it’s easy to look at the players and think I can do that. It’s the same as footballers.”“I appreciate the talent and the hard work form the players to get to the top. The players are so quick and agile.”“The best part for me when you watch is seeing the camaraderie. Every time a basket goes in there all involved.”“The team togetherness is a part of it I like. In any good sport or business, it’s about building a team.”last_img read more

Military Funeral Service Given to Late Assistant Superintendent of Police James Percival

first_imgFacebook Twitter Google+LinkedInPinterestWhatsApp Related Items:#jamescallenderfuneral, #magneticmedianews #magneticmedianews#jamescallenderfuneralcenter_img Facebook Twitter Google+LinkedInPinterestWhatsAppTurks and Caicos, June 15, 2017 – Grand Turk – On Wednesday 14th June 2017, The Royal Turks and Caicos Islands Police Force held a Full Military Funeral Service in Honor of the late Assistant Superintendent of Police James Percival Callender of St. Phillip Barbados at the  Salam Baptist Church in Grand Turk.The late James Percival Callender, a native of St Phillip Barbados migrated to the Turks and Caicos Islands during the era when Caribbean Nationals were being recruited to join our Police Force. He became a member of the Royal Turks and Caicos Islands Police Force on March 1st 1980 where he served for thirty seven years until his demise on May 2, 2017.The service was conducted by Pastor Chad Archibold and other members of the Clergy, while funeral arrangements were handled by A and S Funeral Home.last_img read more