Raise Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: RAISE PRICE, REDUCE PERFORMANCE AND ITS COST

CHOICE 2 ISOLATE SEGMENTS: CUSTOMER SEGMENTS WHO PURCHASE A SPECIFIC PRODUCT SYSTEM COMPONENT

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

No. SIC Year Notes
1 4512 2006 As part of an attempt to increase revenues, many airlines have begun charging for food and drinks, skycap services and phone reservations. The newest trend is seating. United Airlines started selling upgrades to Economy Plus seating to non-elite members of its frequent flier plans. Placement in the roomier seating area ranges from $24 to $99 each way, depending on the distance. Elite fliers were placed there without charge.

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