DOT keeps false ‘each-way’ airfare ads

The media was full of stories last week about the Department of Transportation’s (DOT) requirement that advertised airfares include all taxes and fees, which goes into effect Jan. 26. But most stories missed the detail that promoting each-way fares “based on a required round-trip purchase” will still be allowed.

This means that a $220 fare you see advertised may not be the actual final price, after all — despite DOT’s much trumpeted pursuit of transparency and consumer protection. In its ruling last April that finalized the new requirements, it only demanded that the fine print be more prominent. “The department is codifying existing enforcement policy, allowing sellers of air transportation to advertise an each-way price that is contingent on a round-trip ticket purchase, so long as the round-trip purchase requirement is clearly and conspicuously disclosed in a location that is prominent and proximate to the advertised fare,” the final ruling said…

Airlines still think customers are stupid

While most U.S. airlines have learned to be relatively honest with their best customers, many of their foreign peers have not yet realized that travelers are not as stupid as to fall for their PR spin and questionable practices.

It’s time for those carriers to wake up to the fact that it’s the end of 2011, and much in the airline industry is rather transparent to those of us who pay attention. Trying to persuade customers that bad news is actually good may be an essential PR trick, but in today’s hyper-connected world, it’s not hard to figure out someone’s true intentions. Among the airlines still using the old playbook is British Airways, which is surprising for such a major and quite good global carrier…

U.S. fares now filed four times a day

North American airfares are now published four times a day during the week, after the Airline Tariff Publishing Company (ATPCO) added earlier this month a filing feed at 4 p.m. Eastern time to the already-existing feeds at 10 a.m., 1 p.m. and 8 p.m.

This means that, at any of those times, a certain fare can be put on the market, changed or pulled off the market. It also means that a fare’s entire lifespan can be as short as three hours. The 4 p.m. feed had been planned for months, as I wrote in my book “Decoding Air Travel.” Although the airlines update their data 24 hours a day, ATPCO sends that data out to Global Distribution Systems (GDS), which are used by airlines and travel agencies to book flights, four times a day during the week. On weekends, there is only one feed at 5 p.m. ET…

DOT cracks down on airfare advertising

The U.S. Department of Transportation (DOT) seems semi-serious about false airfare advertising. It fined several airlines this week for violating its rules of disclosing taxes and fees, but it still tolerates the disgraceful “one way based on a required round-trip purchase” manipulation practiced by some carriers.

Continental Airlines was fined $120,000 for failing to include fuel surcharges in fares listed on its website. US Airways and TACA, the Central American company, must pay $45,000 and $55,000, respectively, for the same wrongdoing — indicating that fares didn’t include taxes and surcharges, but not disclosing actual amounts…

Proper airfare advertising comes to U.S.

This should not be news, but it is: U.S. airlines have finally begun advertising some airfares properly, meaning they now show round-trip prices instead of the longtime marketing ploy of “each way based on a required round-trip purchase.” But those are just baby steps, as some taxes and fees are still being excluded.

When I wrote about false fare advertising in 2008, my copy editor at the Washington Times put this headline on my column: “Fare sales often lost in translation.” I compared the deliberately misleading airline practice to the mysterious “Twin Peaks” revelation “The owls are not what they seem.” I also wondered, If a round trip is required, why on earth is only half of the actual fare being advertised?…

Is India going too far in curbing airfares?

The Indian government has done what authorities in most market economies would rarely dare to try — it has forced Indian carriers to slash domestic airfares by as much as a quarter, and to publish fare ranges on every route on their websites regardless of travel dates. While helping consumers is admirable, is New Delhi crossing a line?

Angered by the pricing policies of India’s airlines, including low-cost carriers IndiGo, SpiceJet and GoAir, the Directorate General of Civil Aviation (DGCA) gave them an ultimatum last weekend to lower fares or face severe consequences, the Indian press reported. Within hours, fares dropped between 20 and 25 percent…