Ryanair hikes travel surcharges
Posted on: May 6th, 2008 by Hannah WestfieldRyanair is the latest major carrier to increase travel-related surcharges, thus making the price of airfare noticeably more expensive than it had been before. Passengers will now be charged an extra £8 per bag, as well as another surcharge of £4 per passenger. Travellers who will be unhappy with these newest fees, however, are being offered some straightforward advice by one of Europe’s largest low cost carriers, namely that they should not check any bags and always check-in online.
Ryanair is experiencing the same turbulent skies that have also caused problems for discount carriers on both sides of the Atlantic. The economy is slowing down, which will likely result in stagnation, or even decline in passenger figures, while oil hovers close to $120 per barrel, and may reach up to $150 this summer. As such, Ryanair’s profitability may eventually be in jeopardy, unless it can find a way to raise more funds. Yet higher ticket prices-due to increased surcharges-may spell trouble for low-cost carriers, which have based their business success on rock bottom prices. It remains to be seen if they will be able to convince passengers to settle for no-frills service, if their prices start to go up.
Ryanair, however, emphasized that those who check-in online can avoid the £4 fee, and nearly 40 percent of all passengers already do just that. Yet Ryanair made it clear that further increases are imminent, as the carrier aims to get at leasthalf of all travellers to use the carrier’s online check-in capabilities.
www.ryanair.com







