Spirit Airlines CEO stuffs himself in an overhead bin to justify paid carry-on fees


Spirit Airlines president and CEO, Ben Baldanza took some time out of his busy schedule to try and calm the masses about their upcoming paid carry-on baggage fees.

In his video clip, he claims passengers are annoyed by full overhead bins, and long lines to board the plane. He tells people that Spirit has lowered ticket prices, and lowered checked bag fees. In his logic, by introducing these new carry-on bag fees, the entire experience of flying Spirit Airlines will improve.

Now, lets take a look at his logic – too many people bring too much stuff on the plane. They crowd the overhead bins, and they create long lines for boarding. Why do people bring stuff on the plane? Because Spirit Airlines is one of a long list of airlines that charges for checked luggage ($25 for the first two bags when paid at the airport).

So, instead of removing that fee, and making the experience nicer for everyone, the airline earned itself the ridicule of the airline world by introducing the carry-on bag fee.

And seriously, even though the CEO thought he could be cool by trying to spin this with a funny video, the fact remains that the move to paid carry-on bags will probably cause the airline more than they’ll ever make off their new scheme.
Assuming Mr. Baldanza reads Gadling, I’ll explain why his scheme sucks from the perspective of a traveler:

  • People carry bags on board because they don’t want to pay the checked bag fee – they also want to prevent the airline from losing their bag, setting it on fire or having someone steal the contents.
  • Telling people that their carry-on bag fee is offset by really low price of their ticket doesn’t make the situation any better – people have a built in distrust of anything an airline tells them. A family of three may be forced to pay for three carry-on bags (each way). I suspect Spirit Airlines won’t be able to show that these tickets will be $270 cheaper when the carry-on fee is introduced.
  • People will vote with their wallets – there are still airlines out there that don’t charge for checked bags, and as of right now, Spirit is the only one with a carry-on bag fee.

In a Reuters interview, Ben Baldanza sated the following:

Sprit has reduced fares “by at least as much, or even more than the amount of the carry-on fee”, says Baldanza. “Southwest makes you pay for checked bags even if you don’t check bags, since they have to cover those costs but give you no break if you don’t use the infrastructure. At Spirit, you spend only for what you use and don’t pay for what you don’t use.”

We did an entirely non scientific test to check that. On a Boston Detroit-Tampa ticket, we found the following cheapest prices:

Spirit Airlines: $195.40 total

Southwest Airlines: $220.80

Both flights are priced after the new carry-on fee goes into effect. As you can see – Spirit really is cheaper (by just over $25). This means that a passenger on Southwest Airlines will pay more than on Spirit Airlines.

Assuming of course that the passenger on Spirit is able to pack a weeks worth of luggage into a bag that will fit under their seat.

In reality, nobody is able to do that (unless they ship their bags), so a family of three will end up saving $76.20 on the ticket, but will have to pay a minimum of $90 for three carry-on bags (if they pre-pay online, $135 if paid at the airport).

Goodbye savings.

To me, the fact that the CEO of the airline had to resort to filming a stupid video means the PR backlash from this idea has hit them a little harder than they expected. At least Ben Baldanza is no stranger to bad PR (though he is no Michael O’Leary).

In the end, I’m sure the new measure will take place no matter how much we complain, though I doubt it’ll create the “soaring sales” claimed by Mr. Baldanza, as I really can’t think of a single kind of traveler that saw the new fee and thought “hey, that is really smart – let me start flying this low cost carrier with all the fees”.

What is your opinion? Do you think the idea is smart? Or more importantly – why do you think it is smart (or not)?

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UPDATE: See the results of the poll here. A surprising number of folks actually like the new fee.

BREAKING: Spirit Airlines to charge up to $45 fee for carry-on bags

There’s big news in the airline industry today, as Spirit Airlines announced the addition of carry-on baggage fees to their already healthy roster of post-ticketing charges.

For those paying online, each carry on bag will cost an additional $30 unless you’re in Spirit’s subscription-based $9 Fare Club. Those lucky members will only be charged $20 per bag. If paying for the service in-person at the airport, the fee jumps to $45 per bag. Personal items such as purses or briefcases will continue to be free as long as they fit underneath the seat.

Although Spirit Airlines is the first carrier to initiate such a fee, there’s broad speculation among the travel community on whether it will be picked up by other carriers — checked baggage fees, paid snacks and seat selection, after all, have all been nearly universally adopted over the last three years. Perhaps this is the beginning of the end of free carry-on luggage industry wide.

On the bright side, however, there should be plenty more overhead bin space after August 1.

New baggage fees will go into effect on August 1st. You can check out more details and see whether your bag qualifies as a “carry-on” or a “personal item” over at spiritair.com.%Gallery-76818%

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Spirit Airlines credit card comes with three free roundtrip tickets

We don’t always cover frequent flier promotions or airline credit card bonus perks – but when we run into generous ones, we’ll always try to share the news.

The newest promo from Spirit Airlines rewards you with three free roundtrip tickets, just for signing up and making one purchase on their card.

Of course, the promotion isn’t as impressive as the recent 100,000 mile bonus British Airways handed out to people who applied for their credit card, but in this economy, snagging free airline tickets can be a pretty rewarding hobby.

The “Free Spirit” credit card also offers priority boarding, priority check-in, first year free, additional bonus miles for balance transfers and a free fare club membership.

To apply for the Free Spirit card, click here and click here for an overview of all award ticket destinations. The free tickets are based on off-peak availability, so please do keep an eye on the fineprint for any other “gotchas” – which is of course applicable to anything an airline offers you.

Spirit Airlines announces another raunchy marketing stunt

Ah, Spirit Airlines – the airline equivalent of a Beavis and Butthead episode.

After annoying their own staff with their “MILF” promotion back in 2007, the marketing minds at this low cost carrier have decided to ignore all the previous criticism, and launched yet another raunchy promo.

Dubbed “MUFF DIVING“, the promo promises “Many Unbelievably Fantastic Fares to Diving Destinations”. Yeah, we get the joke (and it made me chuckle).

Still – you can’t blame them for trying; their stunt has already caught the attention of many Internet sites (this one included).

So, even if they don’t sell a single ticket, and even when they’ll make their own staff madder than ever — they have created the kind of buzz only smart marketing people manage to create. Kudos Spirit.

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Spirit Airlines receives record fine for mistreating passengers

A quick search for past posts about Spirit Airlines here on Gadling shows not much more than negative news.

Sadly for Spirit, today’s news is no different. The low cost carrier was handed a $375,000 fine by the Department of Transportation for the way it treats its passengers.

The fine is a record, but the violations also appear to be pretty nasty. They include:

  • False fare advertising
  • Failure to provide compensation on oversold flights
  • Failure to provide baggage compensation claims in a reasonable time frame
  • Failure to accept liability for missing baggage items
  • Failure to retain copies of customer complaints
  • Failure to file customer complaint reports

Spirit Airlines blames their “growing pains” for all these issues, and insists that they are a thing of the past. Of course, when you are selling $9 tickets, you are bound to have cut some corners here and there.

As the lowest cost carriers move towards the “service not included” methodology, customers are always going to find something worth complaining about. Whether or not the issues are indeed a thing of the past remains to be seen, and I’m sure the DOT will be keeping a close eye on their operations.

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