JetBlue increases the fees for checked baggage

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Passengers must pay $ 35 for their first checked bag instead of $ 30. A second checked bag costs $ 45 instead of $ 40.

JetBlue (JBLU) announced the changes on its website, saying that travelers booking flights starting Thursday will have to pay the new prices. Flights booked prior to this date will pay $ 30 and $ 40 for the first and second checked baggage, respectively.

JetBlue offers a $ 5 discount for passengers who add checked baggage online or through the app at least 24 hours before the flight. Passengers who check in their luggage after opening the check-in window, i.e. 24 hours before departure, will pay the new prices.

"By offering customers an incentive to pre-select their checked baggage option through our website or award-winning mobile app, we can reduce airport lobby transactions and improve the customer experience," said the airline's statement.

JetBlue introduces cheaper tariffs. But there is a catch

Baggage fees do not apply to all JetBlue passengers. Checked baggage is included in the price for airline credit card holders and passengers paying more expensive fares.

The airline launched new fare classes in November and introduced a new basic economy fare, forcing low-paid passengers to get in last and choose their seats when checking in. The airline is expecting additional revenue of $ 150 million from this tariff class, that is, Blue Basic.
JetBlue raised baggage fees of $ 270 million in the first nine months of 2019, according to statistics from the Bureau of Transportation. That was 14% more than in the same period last year. The fourth quarter figures have not yet been released.

Overall, the U.S. aerospace industry raised $ 4.3 billion in baggage fees in the first nine months of 2019.

As a rule, the airlines base each other on the fees for luggage. Large US airlines like Delta Airlines (DAL). United Airlines (UAL) and American Airlines (EEL)recently increased the price of the first checked bag from $ 25 to $ 30 in 2018. Your fees will remain the same.
The increase in baggage fees is due to the fact that the aviation industry has been profitable for ten consecutive years. The International Air Transport Association, a global industry group, predicts that airlines will post total profits of $ 29.3 billion in 2020 – more than $ 5 billion forecast for 2019, trade wars, and Brexit uncertainty.