Continental Announces FareLock Scheme To Hike Revenue

December 14th, 2010 - 9:44 pm ICT by GD  

By Ranjan Bhaduri
storycontinentalgiDec 14, (THAINDIAN NEWS) Continental Airlines has said that it will offer the passengers a scheme to hold a reservation and lock it for a quoted price for a period of one week. The airline is launching scheme named FareLock that lets the buyers make up their mind to purchase a ticket and evade a hike in fare. The passengers will be charged $5 to lock a reservation for three days and if someone holds it for a week he has to churn out an amount of $9. The amount will depend on factors like the duration of the hold, the distance etc. The airline is yet to come out with the list of the destinations the scheme will be applicable on. However, it has said that the scheme is applicable for both international and domestic flights.

The airlines in USA added a number of new taxes and fees from 2008. As per the data obtained from U.S. Department of Transportation the airlines in USA raised over $4.3 billion in the first 3 quarters of this year from fees imposed on bag checking and altering ticket reservations. The Continental airline officials said “FareLock is an innovative option for customers who need extra time to plan their travel before purchasing a ticket”. The officials added that the airline is offering the customers with alternatives on trips.

However, Continental airlines is not dropping its prevalent 24 hour booking window which enables the passengers to alter and cancel reservations without paying extra. There is no doubt that the newly announced scheme is meant for increasing the revenue. The fees for the new scheme are non refundable.

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