Credit crunch gives Americans the flying blues for Thanksgiving

IT APPEARS that the Grinch has stolen Thanksgiving, too. ‘Tis the holiday season but Americans have a limited mood to party in these days of the credit crunch.
Data from the Air Transport Asso­ciation of America (ATA) showed that US flights, though 90% full throughout this Thanksgiving weekend, were serving 10% fewer passengers compared to last year’s holiday period.
This was the first decline in seven years during the Thanksgiving season, the ATA said in a statement.
The mood was captured well by a New York Post headline last week: “Airsick for the holidays”.
Delta Air Lines, for instance, will be the latest carrier to charge passengers US$15 (RM54) for checking in their first bag; US$25 (RM90) for the second one. This will start on Dec 5.
Most US airlines have had this practice in place much earlier. Ame­rican Airlines initiated such costs since June for all passengers except those who fly business or first class.
There are restrictions on the size and weight of luggage, too. The US$15 fee is applicable for bags that weigh less than 23kg. For those that are between 23kg and 32kg, the fee is US$65 (RM235).
“Most air travellers complain about crowded flights and a lack of leg room,” said Air Travelers Asso­ciation president David Stempler.
“But the fee for checked bags is what irritates them the most,” he said in a telephone interview from Washing­ton DC, where the ATA is based.
Airline scales have been scrutinised lately following all these charges for extra and overweight bags, according to the US media.
In New York, for example, the Department of Consumer Affairs has verified that most of the 810 scales in the two airports here were accurate; allaying fears of passengers that they might be overcharged unnecessarily.
Stemplar said airlines had not been profitable for some time mainly due to rising fuel cost.
“Here in the United States, there will soon be less domestic flying although international flights will increase,” he said.
He advised travellers seeking a good deal to look beyond a low-fare ticket.
“The ticket price may seem cheap but you would need to add up the baggage fee, drinks and so on,” he said.
At the end of the day, the total price would be different story altogether.
Airlines such as US Airways and United Airlines also charge between US$25 and US$30 (RM90 and RM108) more for tickets bought through call centres, reservation agents or airport counters.
The intention here was to drive customers to their websites, said George Hobica, the founder of Airfarewatchdog.com, a site for bargain-hunters.
“Airline websites are a marketplace where they want to sell you hotel stay, credit cards or whatever,” he said in an interview.
“That’s why they discourage customers from dealing with their agents. It’s not so much about cost-cutting there.”
Hobica, a travel writer who specialises in consumer issues, started Airfarewatchdog three years ago. Its slogan is “when fares are low, we’ll let you know.” Incidentally, a Penangite works there as a senior airfare analyst.
Hobica said airfares had been low for many years now.
“The average price has been going down. It’s just like LCD TVs; when you factor in the inflation rate, its cost remains low,” he said.
But with the US economy going off the cliff, Hobica said the airline industry would go through consolidation where the smaller players would be swallowed up by the big brothers.
“When that happens,” he said, “the price will go up.”
For now, there is almost no complimentary services offered by most US airlines except for fizzy beverages served onboard.
In fact, US Airways charges US$2 (RM7.20) for non-alcoholic beverages such as Coca-Cola and bottled water for those flying coach in domestic flights. Coffee or tea? US$1 (RM3.60), please.
If you prefer an aisle or window seat in the first few rows, that will be US$5 (RM18) for the airline whose slogan is “Fly with Us”.
Another US$5 will get you the headset to indulge in the inflight entertainment. At Continental Airlines, it’s US$1.
However, passengers are free to bring their own headphones.
Frequent fliers who want to redeem their reward points are not in for a good time either. Some airlines have begun to charge them a fee for these so-called free flights.
JetBlue Airways brought a little cheer this Thanksgiving when it announced last week that customers could check in one bag free during the Thanksgiving period, besides enjoying complimentary snacks on board.
But the airline has what it calls “no more dirty pillow talk”. For flights over two hours, a blanket and pillow kit is sold for US$7 (RM25).
It isn’t just the middle-income Americans who are not reaching for their wallet.
American designer Marc Jacobs, according to The New York Times,had thrown an annual holiday party for the past 18 years.
Last year’s was themed Arabian Nights where “bare-chested women bedecked in gold necklaces” and contortionists were available at the event at Rockefeller Centre.
However, there would be no such party this year “due to the financial climate”, the NYT quoted his business partner.
The only people hearing “ka-ching!” these days are perhaps the cobblers and tailors as Americans seek them out to mend their shoes or clothes that, in the good old days not so long ago, would have been tossed out.