Word: discounting
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American insists that it merely wants to bring order to a chaotic fare system that discouraged air travel and encouraged ruinous price wars. Under its old system, American and other carriers offered as many as 200 types of fares and discount plans for any given route, a system that most travelers * found confusing and unfair. "Everybody will benefit from this new plan," says Robert Crandall, the company's aggressive chairman, who pioneered innovations like frequent-flyer programs and supersaver fares...
...unrestricted coach rates on American's flights and realize similar savings on other carriers. "The business traveler was getting ripped off," says the Airline Monitor's Greenslet. "It's just not fair when the price of a full- fare ticket is three times that of a deep-discount ticket." The new fares will be no more than 49% higher than American's discount rates. That should be particularly helpful to self-employed travelers and to small businessmen who didn't qualify for volume discounts under the previous rate structure...
...fewer overall savings. While rates will drop on most of American's flights, they will rise a bit on certain lightly traveled routes. Passengers between New York City and Wichita, for example, will pay a 3% higher fare. (American and other carriers are also clinging through April to special discounts that are even lower than many of the new reduced rates.) Senior citizens, meanwhile, will pay 20% more starting May 9 for their discount travel on domestic flights...
Many Harvard students from the New York andWashington, D.C. areas use the Trump Shuttle orits competitor, the Delta Shuttle, when travelinghome. The Trump shuttle offered a five-ticketstudents discount pack...
...place of the multiple-ticket discount packs,USAir Shuttle will have a uniform $60 student fareand $120 adult fare, which are the current fullprice fares for the Trump Shuttle, Young said...