Monday 4 November 2013

Ryanair's solution to ending the scramble for seats? Airline to CHARGE passengers almost £5 to reserve a place on plane

Ryanair has announced it will begin to allocate seats from next year - but it will still cost almost £5 if you want to choose it yourself.
The budget airline, which has been criticised for treating passengers ‘like the enemy’, says it has listened to customers who dislike the scramble to get on board.
From February travellers can pay five euros - £4.23 - to choose their seat while the rest will be allocated in the 24 hours prior to departure.
The airline's shares have dropped more than 11 per cent after it issued today a second profit warning in as many months after forecasting they would be hammered by downward pressure on fares.
Take a seat - for £5: Ryanair today announced it would allocate seats from February, but you can choose in advance if you pay
Take a seat - for £5: Ryanair today announced it would allocate seats from February, but you can choose in advance if you pay

Finances: Ryanair, run by Michael O'Leary, today issued a second profit warning in as many months after forecasting they would be hammered by downward pressure on fares
Finances: Ryanair, run by Michael O'Leary, today issued a second profit warning in as many months after forecasting they would be hammered by downward pressure on fares

The low-cost airline expects average fares to drop by nine per cent in the three months to Christmas and possibly decline by a further 10 per cent in the first three months of next year.

 

Change of tune: The airline, which has developed a reputation for poor service and high fees, also announced last month a change in other rules to keep customers on side
Change of tune: The airline, which has developed a reputation for poor service and high fees, also announced last month a change in other rules to keep customers on side

Ryanair said its surplus for the year to March 31 may dip to as low as 500million euros - £423.3 million - from the 569million euros - £486.9million - achieved last year.
For the period to September 30 - a period when airlines make most of their money - Ryanair recorded profits growth of one per cent to 602million euros - £509.7million.
The airline was among the biggest fallers on the FTSE 100 this morning following the warning, down nearly 12 per cent at 5.40p.
Average fares fell by two per cent in the half year, although revenues from areas such as the roll out of reserved seating, priority boarding and higher credit debit card fees grew by 22 per cent to 713million euros - £603.7 million.
Boss Michael O'Leary, who has been at the airline for 19 years, is also believed to be considering leaving the company.
 
Last month he was bombarded on Twitter after agreeing to host a question-and-answer session from customers.
The boss posted a picture of himself on the social networking site dressed as a leprechaun before fielding tweets.
He was using the stunt as part of a drive to improve the public image of the airline, which was recently voted worst of 100 biggest brands by Which? readers.
One Twitter user, Matt Trilby asked him: 'Does anyone in your organisation have any experience of running an airline?'
Andy McGeady joked: 'How much will Michael charge per reply? And are you charging me to send this tweet?'
It forced him to announce that Ryanair would introduce ‘family-friendly’ deals and discounts as it tries to win back passengers put off by its ‘mistakes’ and reputation for poor customer service.
The airline’s flamboyant boss apologised for his airline’s ‘over-abrupt culture’ and pledged to stop 'p****** off' customers.
Having fun: Ryanair boss Michael O'Leary poses in a leprechaun hat and beard as he fields questions on Twitter last month, but later got a hammering off customers
Having fun: Ryanair boss Michael O'Leary poses in a leprechaun hat and beard as he fields questions on Twitter last month, but later got a hammering off customers
Anger: Some Twitter users took the opportunity to vent their frustrations about the company
Anger: Some Twitter users took the opportunity to vent their frustrations about the company
He said strict hand-luggage restrictions would be relaxed to allow ‘small ladies’ handbags’ and airport shopping to be carried onto the plane in addition to the stated allowance.
Mr O’Leary also pledged not to overly penalise passengers who make a ‘genuine mistake’ – such as forgetting to bring their boarding card, which often results in a £70 charge to reprint them.
He said that Ryanair was ‘evolving’ and becoming more ‘sophisticated’.
He added: ‘In the past we have said, “That’s the policy – go to hell”. That culture needs  to evolve.’


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