Is Emirates Airline reporting declining yield? Seems so! The airline wants to raise more cash and is all set to introduce ancillary fees for seat selection. The airline is resorting to this as its yield (revenue per seat) is depleting.
Media reports said that Emirates Airline would start charging extra fee for advance seat selection on its Economy Class Special and Saver fares before check-in. This would be effective from October 3, 2016. However, the reports at the same time stated that the airline would continue to offer complimentary seat selection when check-in opens 48 hours before departure.
The customers booking First Class, Business Class, Economy Class Flex Plus and Economy Class Flex fares wouldn’t be required to pay any additional charges for advance seat selection. However, child discount of 50 percent would be applicable on the above fares. The reservation charges for advance seat are per passenger per sector and would be in the same currency as the ticket.
The current trend among many international airlines is that the passengers are now being charged for availing desired amenities, which were however at one time complimentary. Emirates Airline had so far refrained from burdening its customers, but seems to be toeing the line of its rivals by deciding to charge extra fees for advance seat selection.
According to the reports, Emirates Airline transported eight percent more passengers during financial year 2015/2016, thus reporting a capacity increase by 11 percent. The reports further stated that the yield of Emirates Airline was not keeping pace with the rapid increase in its passenger numbers, some of them whom were actually paying less than what the airline would have charged as normal rate. The airline had therefore been forced to devise a strategy in order to increase its yield, which could also be possibly compensated by launching premium economy cabins being presently offered by many of its rivals.