Air Canada plans to impose a seat selection fee for its lowest-fare customers in the new year, as discount carrier tactics increasingly enter the mainstream.
The country’s largest airline said that as of Jan. 21, lower-tier customers will have to pay if they want to change the seat assigned to them at check-in — a policy it had suspended just two days after implementation earlier this year amid backlash from travellers.
The moves mark a shift toward a budget airline-style offering from Canada’s flag carrier, which along with rivals has relied increasingly on ancillary fees for formerly bundled services that range from checked bags to on-board snacks and Wi-Fi access.
Air Canada says the changes align its fare structure with similar ticket options from other Canadian carriers and “better distinguish its fare brands.”
Air Canada took in nearly US$2 billion in so-called ancillary revenue in 2022, up by nearly 50 per cent from five years earlier, according to airline consulting firm IdeaWorksCompany.
The category’s share of total revenue for the company grew to more than 15 per cent from below 11 per cent in the same five-year period.
