Airlines

Low cost

A low cost airline sells cheap flights by cutting everything non-essential: a single class, tightly used aircraft, secondary airports and extras billed apart. Baggage, seat or food stop being included and turn into ancillary revenue. Ryanair, easyJet or Wizz Air are the examples that set the reference price in Europe.

Example The base fare looks like a giveaway, but adding bag and seat the low cost carrier claws back much of the margin.