With the cost of all items going up all over the world, it may come as no surprise that baggage fees have also gone up.
In this article:
- Baggage Fees Are Up 15%
- Baggage Fees Made Up 4.1% of Global Airline Revenue
- American Airlines Raising Baggage Fees Has Sparked a Controversy
- Baggage Fees Have Been Raised Due to Dwindling Airline Revenue
- Baggage Fees Previously Went Over $30 Billion in 2019
- Airlines Ancillary Revenue Was at $117.9 Billion in 2023
- Airlines Began Charging Baggage Fees Due to a Rise in Oil Prices
- Baggage Fees Are Up by Over 50% Since They First Started
- Baggage Fees Remained Despite Fuel Going Down in Cost
- Some Airlines Don't Have Baggage Fees
- Customers Prefer to Use Carry-On Bags
- Baggage Fees Could Be a Part of History
Baggage fees have gone up so much that in 2023, airlines were able to make a staggering $33 billion from this fee alone.
Baggage Fees Are Up 15%
Since 2022, airline baggage fees have gone up by 15%, the highest since before the COVID-19 pandemic.
Baggage Fees Made Up 4.1% of Global Airline Revenue
Baggage fees are one way for airlines to make more revenue after the decline they faced during the COVID-19 pandemic.
American Airlines Raising Baggage Fees Has Sparked a Controversy
In February 2024, American Airlines increased their baggage fees for the first time in six years, from $30 to $35 online or $40 at the airport.
Baggage Fees Have Been Raised Due to Dwindling Airline Revenue
Airlines say the higher costs help with rising fuel and labor expenses.
Baggage Fees Previously Went Over $30 Billion in 2019
The last time airlines saw yearly baggage fees go over $30 billion was 2019, at $32.9 billion, before dropping to $16.9 billion in 2020.
Airlines Ancillary Revenue Was at $117.9 Billion in 2023
Baggage revenue was a share of the estimated $117.9 billion airlines made in ancillary revenue in 2023.
Airlines Began Charging Baggage Fees Due to a Rise in Oil Prices
When fuel prices dramatically rose in 2007 and 2008, airlines began charging extra for each checked bag.
Baggage Fees Are Up by Over 50% Since They First Started
When baggage fees were first introduced, American Airlines charged $15 for the first checked bag.
Baggage Fees Remained Despite Fuel Going Down in Cost
Airlines decided to keep the fees because they helped keep profits up even as fuel costs fell.
Some Airlines Don't Have Baggage Fees
The big three airlines — Delta, American, and United — now offer basic economy fares that can avoid baggage fees.
Customers Prefer to Use Carry-On Bags
Rising baggage fees are causing passengers to prefer carry-on bags over checked baggage.
Baggage Fees Could Be a Part of History
Regulators want the total cost of mandatory fees to be made clearer to customers, though the fees themselves aren't likely to go away.