
Air travel demand is expected to grow through September despite higher ticket prices. Airline ticket costs increased 20.7% over the past 12 months, with airfare rising 21.6% over the past four months. Summer round-trip domestic economy prices are about 27% higher than last year, and summer award pricing for domestic flights is up nearly 25%. Airlines are adding new nonstop routes, including United from San Francisco to Japan and new service from LAX to Egypt. Low-cost carriers are expanding at southern California airports. United and JetBlue loyalty members receive reciprocal perks. Korean Air and Asiana finalize their merger, reducing the number of U.S. low-cost airline companies. San Jose Mineta introduces a “frequent parker” rewards program for flyers making online reservations.
"Major U.S. airlines are expecting a boom in passenger numbers through September even though the cost of air travel is sharply higher than it was a year ago, thanks to soaring jet fuel prices and the demise of the low-cost carrier Sprit Airlines earlier this month. According to One Mile at a Time, the latest numbers from the U.S. Bureau of Labor Statistics show that the cost of airline tickets has jumped 20.7% over the past 12 months - "the single biggest year-over-year increase" among the various goods and services covered in the consumer price index."
""The situation is actually worse than the 20.7% increase over 12 months, as airfare has actually increased 21.6% over the past four months," One Mile at a Time noted. The Points Guy, citing data from its partners at Points Path, said summer round-trip domestic economy prices are about 27% higher than last year. "Travelers hoping to use miles aren't spared, either: Summer award pricing is up nearly 25% for domestic flights, per Points Path," The Points Guy said."
"United adds a new nonstop route from San Francisco to Japan; LAX gets a new nonstop to Egypt; three low-cost carriers expand service at southern California airports; qualifying United and JetBlue loyalty program members now get reciprocal perks and benefits on both airlines; after a five-year effort, Korean Air and Asiana finalize their merger; the number of U.S. low-cost airline companies is reduced again as a key merger takes effect; San Jose Mineta introduces a "frequent parker" rewards program for flyers who make online reservations."
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