Spirit Airlines Looks to Allegiant For Ideas on Increasing Fee Revenue
Skift Take
All things must pass, but Spirit Airlines looks fairly unstoppable for now. Travelers who know how to play the game can take advantage of Spirit's low fares to get to their vacation destination, a little more rumpled perhaps, but carrying a heavier wallet or purse.
Spirit Airlines CEO Ben Baldanza envisions the day when ancillary revenue could account for half of the airline's total revenue, and he's looking to Allegiant Air for a little fee inspiration.
Spirit already charges fees for carry-on bags, checked bags, snacks, drinks, boarding passes printed at the airport and certain seat assignments, and fee revenue makes up more than 40% of total revenue. It's in the "low 40s," Baldanza said.
Baldanza, speaking during the company's fourth quarter earnings call today, said the airline is "bullish" about growing ancillary revenue, and lauded Allegiant Air for selling more type
