Travel analyst: Airlines chasing profits, investing billions in product

06/30/2013 | Tulsa World (Okla.)

Carriers today operate more flights at full capacity and are coming up with more ways to encourage spending and boost profits. "Whereas in the past, airlines would chase market share, they are now chasing profits," said Henry Harteveldt, a travel industry consultant. Airlines now offer a la carte services to passengers designed to have them pay only for the services they want. Harteveldt added: "Those of us that travel on discount fares, we are money-losing customers for the airlines. That's one reason why we have these fees. Airlines are trying to at least break even in the domestic market." He called the airlines’ billion-dollar investment in new aircraft, designs and technology good news for customers. “There is an important thing for travelers. As airlines begin to make money, they have more money to invest in their product. That should start to show."

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Tulsa World (Okla.)

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