US airlines increase change fees as corporate demand softens. Consumer advocates unimpressed

All the major US airlines have followed United Airlines' lead in raising change fees on their lowest non-refundable fares at a time when higher-yielding close-in bookings remain soft and the checklist for product unbundling (and charging) is close to completion.

The positive for the airlines is in driving business travellers looking for lower-cost travel into higher fare buckets. The revenue potential is significant, but carriers now face a growing backlash against the fees amongst consumer advocates.

Close to the same time as United Airlines reported a USD325 million loss during 1Q2013 the carrier increased its booking change fees from USD150 to USD200. All of United's legacy counterparts - American, US Airways and Delta - have followed suit and matched the increase, which has not unsurprisingly spurred customer ill will as the start of the busy summer season in the northern hemisphere is just weeks away.