Raise Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: PRICE THE SAME, REDUCE PERFORMANCE AND COST

CHOICE 2 ISOLATE SEGMENTS: CUSTOMER SEGMENTS WITH HIGH SERVICING COSTS

CHOICE 3 COMPONENT: ADD AN EXTRA FEE ON TOP OF VARIABLE CHARGE

No. Industry SIC Year Notes
1 4512 2009 Spirit Airlines, an ultra-low-cost carrier that has pioneered many fees, says it started charging for the privilege of buying a ticket anyplace other than at Spirit's airport ticket counters. Rival airlines aren't expected to follow Spirit's new fee, unless it proves to be a successful revenue generator. Most airlines already charge to book through telephone reservation center and will be watching closely to see if consumers acquiesce to broader booking fees.

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