The Weekly Travel Alert

Why Your Airline Ticket Costs More Than You Think – Fees & Add-Ons Explained

Steve Glenn

Airlines worldwide earned $148 billion in ancillary revenue in 2024—breaking records with baggage fees, seat charges, and add-ons. Low-cost carriers like Frontier and Spirit now make more money from extras than tickets, while legacy airlines adopt “basic economy” strategies to compete.

In this video, we break down:

How low-cost carriers turned fees into gold

Why United, Delta, and American are mimicking budget airlines

Southwest’s upcoming change to charge for checked bags & assigned seating

What this all means for travelers in 2025 and beyond

✈️ Whether you’re planning your next trip or just curious about how airline pricing works, this breakdown will help you avoid surprise costs.

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Keywords: airline fees 2025, ancillary revenue, baggage fees, seat selection, basic economy, low cost carriers, ticket pricing explained, airline changes 2025