In a move designed to promote transparency in the airline industry, Manx2 has removed all fees and extra charges from its prices, including credit card bookings. It hopes that other players in the industry would follow its lead and make pricing more legitimate for its customers, which would benefit all tourism operators.
Extra charges throughout the industry were starting to have a negative impact on the traveling public, says Chairman Noel Hayes. He stressed that his board believed recent industry moves towards recouping costs from additional charges were not justified.
The move from Manx2 means its customers only pay the advertised price with no extra taxes, fuel levies or other fees. The company also provides free car parking facilities at Gloucestershire and Blackpool airports but does charge a £3 fee for priority boarding and £9.99 for luggage storage.
Mr. Hayes added there was no plan for increased fares to cover the lost income from surcharges and the company would absorb the cost. Manx2 was relaxed about its position and was sure the policy would result in increased passenger numbers.
Manx2 previous charges included a booking fee of £4.50 per journey with a maximum of £20 from multiple bookings and recouped costs from credit card purchases by adding a surcharge.
A complaint from consumer watchdog Which? prompted a number of companies to review their credit card transaction fees. The government announced moves to make credit card surcharges illegal, but many firms simply recouped the cost by moving the charges onto increased fees instead.
The move from Manx2.com is likely to be watched closely by a number of companies, especially in the airline industry. While a more transparent pricing regime may cost businesses revenue, it is hoped customer satisfaction may result in increased profits in the long term.