SlumTodd_Millionaire
Most Hated Member
So it's more like what happend at United with their Allegis corporation then with Midwest?
No, Allegis was a whole different animal. The concept behind Allegis was combining a bunch of different travel companies under one holding company, and integrating an entire travel network. It didn't work out too well.
The ancillary revenue schemes being developed in the industry today are completely different. The idea is to extract extra revenue from passengers for things besides their fare, but doing so without having to have additional subsidiaries. Checked bag fees are the biggest example, with in-flight entertainment a close second.
On the other hand, you do have Allegiant, which is a little bit closer to the Allegis model, but still not the same. Allegiant makes a huge portion of their revenue (and profits) not only from the airline, but from bundling travel packages for rental cars, hotels, travel insurance, etc. However, Allegiant doesn't own the rental car companies or hotels as Allegis did, which is a key difference. Allegiant merely bundles them into a convenient package.