ARC Figures Show Airlines Managing to Maintain Fares
By Kate Rice
March 08, 2012 4:13 PM
ARC’s latest figures for airline transactions indicate that while the number of transactions are falling, fares are falling by less, showing that airlines are managing to increase fares, particularly on the domestic front. Total sales in February were down just 0.43 percent to $6.9 billion year-over-year and were actually up by 4.97 percent year-to-date to $14.2 billion. Total transactions, on the other hand, were down 4.5 percent to 11.7 million year-over-year and down 0.67 percent year-to-date to 24.5 million. Domestic fares were down 1.59 percent year-over-year and were actually up 4.47 percent year-to-date to $6.1 billion. This illustrates the success U.S. airlines are having at managing capacity in order to keep fares — and yields — up.
Airlines were less successful in maintaining international fares, according to ARC’s statistics. International fares were down 7.16 percent to $2.6 billion year-over-year and were down 1.93 percent to $5.3 billion year-to-date. International transactions were down 2.94 percent to 3.4 million year-over-year and down 0.93 percent to 7.1 million year-to-date. Total fares were down 4.29 percent to $5.5 billion year-over-year and down 1.37 percent year-to-date to $11.5 billion. In February, these airline tickets were sold out of 13,992 retail locations, down from 14,014 in January. ARC processes up to $80 billion annually for airlines, travel agencies, corporate travel departments, railroads, and other travel suppliers.