Los Angeles Times

JetBlue rolls out no-frills airfares

- Bloomberg

Fliers who pay low Blue Basic rates will face more restrictio­ns and board last.

JetBlue Airways Corp., bowing to rising competitiv­e pressures, began offering a no-frills option Tuesday in the first revamp of its fare categories since they were introduced in 2015.

Customers buying a reduced Blue Basic fare won’t get a refund if they have to cancel, can’t make changes to the reservatio­n and will have to board last — standards that match other airlines for the category. There are no extra fees for a carryon bag and one personal item.

JetBlue is feeling pressure from ultra-discounter­s such as Spirit Airlines Inc. and Frontier Airlines, as well as from larger carriers like Delta Air Lines Inc. and American Airlines Group Inc. that adopted the reduced, no-extras basic fares several years ago to keep from losing customers to less expensive rivals.

“Over the last few years, it’s become very clear this no-frills basic economy segment has become a larger and larger set of customers,” Dave Clark, JetBlue’s vice president of sales and revenue management, said in an interview. “Not having that offering, we couldn’t compete effectivel­y.”

Blue Basic also will give

JetBlue the tools to “more aggressive­ly” drive fares lower, said JetBlue President Joanna Geraghty. The carrier, which plans to begin transatlan­tic flights in 2021, hasn’t decided whether to offer Blue Basic on that service, she said.

In contrast to competitor­s, the Blue Basic fare will allow passengers to select a seat 24 hours before a flight at no charge. They also will receive the normal on-board amenities such as seat-back entertainm­ent screens and Wi-Fi access.

JetBlue offers “bundled” fare categories in which the price rises along with the number of options it includes, such as free carry-on bags, loyalty points, boarding position and more legroom. The airline will retain its existing Blue fare category, and a new option named Blue Extra will replace Blue Flex, with lower fares, more flexibilit­y to change or cancel reservatio­ns and early boarding. A category dubbed Blue Plus will be offered only in limited internatio­nal markets.

Blue Basic fares went on sale Tuesday on a few routes, including Fort Lauderdale, Fla., to Nassau, Bahamas, while Blue Extra debuted on most of JetBlue’s network. Availabili­ty will be expanded over the next two months, Geraghty said.

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