AIBU to be stunned how Wizz Air can do this?

[KateW1989]

Hi all,
I’m quite interested in hearing for anyone who knows how airport service charges work.

I purchased a return flight between Gatwick and Athens from Wizz Air for just £31 RETURN.

Now what I just cannot understand is this.

I searched for the same route on the on British Airways Fare Calculator, and was presented with the following information.

“
Adult 1
Item Price of item
Fare £82.00
Carrier imposed charge £18.00
Air Passenger Duty - United Kingdom £13.00
Passenger Service Charge - United Kingdom £21.79
Airport Development Charge - Greece £10.30
Passenger Terminal Facility Charge - Greece £13.70
Passenger Security Charge - Greece £4.30”

The fare BA would charge was over £163

Now, I assume that BA can’t just be the only airline that has to pass these charges onto their passengers.

Yet I just DO NOT understand how on earth Wizz Air can make a profit based on charging £31 for a return flight?!?

The Air Passenger Duty is surely mandatory, so that’s £13 + €12. Let’s say that’s about £22.

Do Wizz Air passengers also have to pay the £21.79 ‘Pssenger Servive Charge’ to Gatwick Airport? Or the Greek (Athens) Airport charges (totalling over £28). If so, Wizz Air would be LOSING £40 on taking me to Athens and back.

It just does not make sense to me.

Are budget airlines exempt from the same airport charges as legacy carriers such as BA, or have they negotiated a lower rate? Do budget airlines pay the same level of Air Passenger Duty as airlines such as BA?

If so, how can they survive?

Ah well, it certainly was true at one point.
I take your point too though.

Dynamic pricing - there will be other people on your flight who pay significantly more.

(I love the knowledge on this thread! Every so often one stumbles across this kind of thing on MN - deep but modestly offered information on a relatively niche subject - and I love it!)

They don't sell all the seats at that price. It's a loss leader to suck people in. They can advertise London to Greece for 31 pounds !!!!!!!! Exclamation marks and snazzy font.
There might be 4 or 5 seats on the plane at that price. Once people start booking the price goes up. The last seats on the place will be very expensive, possibly even more than BA. If you've ever had to book flights last minute for a funeral as I have you'll have been faced with extortionate prices.
They also make money by all the add ons - paying for checked baggage, paying for a cabin bag, paying to reserve seats so that you can sit together, paying for check in at the airport and so on and so forth.
If you need to take a suitcase to Greece your flight will cost a lot more than 31 quid.

Often the flight arrives at some remote gate because it's cheaper. There's steps down from the aircraft and then you get loaded on a bus which often takes ages to get to the terminal itself. Arriving right at the terminal with an air bridge costs a lot more.

It’s just a loss leader. If you imagine a plane full of passengers who have all paid different amounts, those who paid below break even rate (you) have been subsidised by those who paid more.

Does it help if you visualise it like that?

@hsapposhit

The last seats on the place will be very expensive, possibly even more than BA. If you've ever had to book flights last minute for a funeral as I have you'll have been faced with extortionate prices.

Yep… my record ever on a shorthaul ticket was just over £400 for a single 90 minute flight, mid winter, mid week off season.

That was with Easyjet and due circumstances I had to buy it about three hours prior to the flight’s departure.

The likes of wizz charge a fortune for booked seats together, luggage etc most people will pay far more than that even if they paid a similar fare for the actual seat.

but many others will have paid far more for the actual seat.
you got a bargain, enjoy!

Your flight may be £31 return.
Better flight time may be £85 return
Peak flights (Xmas eve) may be £300 return.
It evens out.

Booking your seat will cost you extra
Booking luggage will cost you luggage
If you try and squish your luggage on the plane and they deem it too big, that will cost you even more.