As Irma continues her destructive rampage through the Caribbean, Florida residents are preparing for the worst.
Evacuation orders are in effect for much of southern Florida, including the Florida Keys and Miami. But getting out of Dodge is no easy task. Hotels in southern Georgia are booked solid, and there is precious little inventory left on flights serving the region.
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Many took to Twitter, calling out airlines for selling domestic routes at astronomical prices. One Twitter user, Leigh Dow, complained that Delta had increased her ticket price from $547 to more than $3,200 for the same flight.
Check any OTA and the fares are incredibly high for flights departing from Florida over the next few days. The issue is causing a massive PR headache for airlines at a time when they can hardly afford more bad press.
Especially since the airlines say that the accusations are unjust.
"We have not changed our fare structures, and, in fact, have added capacity to help get customers out of the affected areas," said a spokeswoman for American Airlines in a statement to Yahoo Finance. "We have added several extra flights-from St. Maarten (SXM), St. Kitts (SKB), Providenciales, Turks and Caicos (PLS); and San Juan, Puerto Rico (SJU)-in addition to upgrading aircraft when possible."
JetBlue even set a cap of $99 on all flights from Florida early on Wednesday. The airline also capped fares at Charleston International and Savannah/Hilton Head International domestically, as well as airports in the Bahamas, Cuba, the Dominican Republic, Haiti and Turks and Caicos. As of press time, most of those seats were sold out, but JetBlue said it would add more flights as aircraft become available.
So, what's the deal with the high online rates? There are a few things at work here.
First, last-minute fares typically cost more than those fares booked with advance notice.
You can also blame the "Uber Surge Pricing" effect. With technology controlling airline pricing, computer algorithms saw a surge in demand and made a few mathematical assumptions.
"With limited supply and a computer in control of pricing, the algorithm didn't have any context for adding compassion, charity or fairness into the model," write Elisabeth Ponsot and David Yanofsky of Quartz.com.
It's also important to note that most of the graphics being shared on social media by enraged passengers are screenshots of bookings made (or sought) at online travel agents like Expedia.com or Priceline.com. The mechanics are complicated, but essentially each OTA is layering its own fees and high-demand pricing on top of those set by the airlines, essentially amplifying rates.
In most cases, users would have been better served by booking directly at the airline websites. Especially during a high-demand period.
Most importantly, however, there is very little inventory available. Probably none. Seats are sold out. So what people are buying is not a seat, but rather a chance to fill a slot on an overbooked flight in case someone with a prior reservation doesn't show up.
There have been plenty of discussions about over bookings in the past six months, but some amped up pricing is to be expected during surge periods as it provides airlines with some cover in case they have to pay to voluntarily bump passengers from flights.
As for Leigh Dow? She later tweeted that Delta reached out to her "and helped tremendously."
While it speaks highly of Delta's customer service team that they are working with their customers, a trusted travel agent in Leigh Dow's corner might also have been an asset during this time.
Still, if customers really think they've been a victim of a price gouging scam, they are also encouraged to call Florida's newly initiated price gouging hotline at 866-9-NO-SCAM.
More Hurricane Irma Coverage
Airlines
As a result of the major storm, airlines in Florida and throughout the Caribbean are watching the warnings from the National Hurricane Center in order to keep passengers safe through delays and cancellations. Plus, read TravelPulse's thoughts on accusations of airline price gouging.
Cruise Itineraries
For cruise passengers wondering if their voyages have been impacted, all major cruise lines with itineraries in the Caribbean have modified schedules and/or canceled cruises.
Travel Insurance
Wondering if your travel insurance will cover you in the case of Hurricane Irma? TravelPulse has all the information you need.
Theme Parks
What you need to know if you have a Florida theme park vacation planned during Hurricane Irma.
Mark Murphy Talks Irma
President and CEO of travAlliancemedia Mark Murphy was a guest on FOX 29 Philadelphia Wednesday and provided travelers with some helpful insight regarding what to expect and how to prepare for a storm as massive as the category five Hurricane Irma.
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