I applaud Frontier Airlines for its clever free baggage promotion to woo disgruntled Southwest Airlines flyers, but it seems to turn the “ultra-low-cost” carrier’s business model upside down. Teasing a “permanent” change to allow free bags would require a fundamental change in the very identity of the carrier.
Frontier Offers Disgruntled Southwest Airlines Customers Free Checked Bags
To be sure, Frontier Airlines has suffered while full-service network carriers have prospered. Frontier used to be full-service as well way back in the day, but for many years has offered an “unbundled” approach to airfare, enticing customers with low base fares but charging extra for everything from carry-on bags to checked bags to printing boarding passes to seat assignments to beverages or snacks.
It’s a business model that has worked remarkably well in Europe for carriers like Ryanair and EasyJet, but as legacy US carriers like American, Delta, and United have become agile in competing with their own basic economy fares, customer demand for the budget carriers has softened.
To further exacerbate matters for Frontier, its customer base has become more adept at packing lighter and bringing their own snacks and drinks, trimming the ancillary revenue that Frontier relies on to turn a profit.
More recently, Frontier has added a “business class” cabin with blocked middle seats and loosened up change fees in an effort to win more business. The problem is that by sacrificing more ancillary revenue, base fares must go up in order to turn a profit and when base fares go up, buying on a full-service airline becomes more attractive.
Free Bags For Everyone On Frontier!
In its latest salvo, Frontier is offering a free carry-on bag and a free checked bag on all nonstop flights through August 18, 2025 (with the limitations I note below). Frontier frames it as a fresh start:
Some airlines have changed. They’ve raised fees, taken away perks, and made travel feel like a one-sided relationship. If your airline is treating you like an afterthought, maybe it’s time to file for divorce. Frontier is here for the rebound – offering a fresh start with an unbeatable deal.
For all bookings for nonstop travel made between March 18th and August 18th, customers will receive the “Economy Bundle” at no extra cost (an upgrade from the cheapest “Basic Economy” fare category), with perks including a free carry-on bag, free seat selection, and free flight changes. On top of that, Frontier is also offering a free checked bag for flights departing May 28th through August 18th when you use the promo code FREEBAG during check-out.
Note that the promo code will only be valid for bookings made on or before March 24, 2025.
Frontier CEO Barry Biffle explained:
“We’ve always had heart. Some airlines are walking away from what travelers love, but we’re running towards it. Think of this as the ultimate ‘divorce your old airline’ deal. If travelers show us the love, we’ll make these perks permanent.
“At the end of the day, travelers just want to be valued. We’re bringing back the things people love about flying – free bags, free seat selection, and flexibility – without the extra fees. No games, just great value.”
Again, kudos to Frontier. It’s a cute promotion and I hope it receives a lot of positive press.
But it simply is unsustainable.
Why This Move Is Unsustainable
When Frontier teases that it will “make these perks permanent,” I cannot help but shake my head.
See, I want Frontier to succeed. I want Spirit to succeed. Both offer a unique product in North America that is good for consumers who travel light and good for all consumers because it tends to place downward pressure on airfare in competitive markets.
Of course, one problem in the USA is that when Frontier flies to major airports like Los Angeles, Chicago, or New York, the airport fees are high and those must be passed on to customers. The base fares are so low that it is impossible to make money from flying airplanes (heck, even Delta Air Lines cannot do that).
While Breeze and Avelo have made a point of trying to fly out of “secondary” airports, budget carriers in Europe have a very different prospect by avoiding some of the major airports that have costly fees attached. Is Beauvais really Paris? Is Hahn really Frankfurt? What about Charleroi “near” Brussels?
Yet Frontier flies to LAX, DEN, ORD, MIA, and JFK…all high-cost airports.
CONCLUSION
Kudos to Frontier for the cute initiative of free bags to poach customers from Southwest Airlines.
But I just don’t see any scenario in which this is sustainable and even as Frontier struggles to find its identity, I hope it is not by trying to be a full-service carrier, because we have enough of those already in the USA, and Frontier lacks the network to compete.
We need a nationwide budget carrier, which is why I support the merger of Frontier and Spirit. But that business model must find a way to squeeze more ancillary revenue out of customers to be sustainable and offering free checked and carry-on bags will not help the bottom line: you don’t make up for losing money on every customer by volume….
image: Frontier Airlines
Southwest is mistaken by charging for check-in bags , because now they will be packed by customers’ carry-ons .
Southwest had a good deal going , yet they became greedy for the fees .
Europe is doing well with 3 budget carriers, but airline geeks in the United States believe 2 can’t succeed here.
Different markets – look at the numbers. I”d love 2-4 here…but I at least want one. There won’t be any if these carriers like NK and F9 keep losing money…
aren’t ALL the airlines in europe now “budget” carriers?
I swear I just saw aerolopa.com say that Swiss, BA, and Lufthansa are at like a 29″ seat pitch in Y now??
Frontier is doing this to alleviate strain on their operation during the peak summer period. Reducing the amount of outbursts at the gate and having customers check more bags will allow help keep departures on time in a period when flights are full and rebooking options are very limited.
It’s good timing for them with Southwest making these changes, but it’s not purely altruistic.
Well this might put a dent in the bounty paid to frontier employees for enforcing the bag rules. I can’t see frontier being the free bag Santa Claus very long.
What is the real cost of checked bags? If it’s not that high, Frontier can offer it as a marketing tool. However, it must be permanent for people to remember it.
Checked luggage insurance against bag damage is an untouched frontier! Also a coat fee if you put your coat overhead.
Nobody says that this has to be sustainable; it’s a promotion and a timely and clever one at that. Get butts in seats and get some WN flier to try Frontier. It’s really that simple.
@Emily: Europe actually has more than 3 budget carriers (because of players like Vueling, Transavia, etc) but I get the point. Thing is, that’s an entirely different market. The big national carriers usually charge confiscatory fares for a lousy intra-Europe product. Pitch as tight as the budget carriers and an absolute joke/insult of a business class product. Makes the likes of EasyJet/Ryanair/Wizz look *not so bad*. Not to mention that this is a region where people think nothing of paying to go pee in a public restroom. Our domestic “first class” is what you’re used to; their intra-Europe “business” class features the same stiff seats and 29″ pitch. But hey, your extra $400 gets you lounge access and a simple meal. Different expectations.
It is reasonable to talk about sustainability when Biffle is teasing that it will be permanent.
Just good ole competition (from a much crappier ‘competitor’, if that) . The insulting hyperbole from the CEO is counterproductive, disingenuous & ironic. Wish the US geography/history was different such that train travel would
be a realistic option for travel.
I think F9 can stay afloat and keep some WN flyers if it starts charging $20/bag after promotion period
“It’s a business model that has worked remarkably well in Europe for carriers like Ryanair and EasyJet, but as legacy US carriers like American, Delta, and United have become agile in competing with their own basic economy fares, customer demand for the budget carriers has softened.”
You’re surely aware that, like their US counterparts, European ‘incumbent carriers have also unbundled fares. So, that does not explain why LCCs in Europe are generally successful and profitable whilst the likes of Spirit certainly are not. Perhaps it’s because FR and EZY managed to grow strongly after deregulation and so before the incumbents had the opportunity to squeeze out low cost competition?
I don’t see Lufthansa Lite or British Airways Basic fares competing with Ryanair or EasyJet.
But in the USA, American, Delta, and United all often offer cheap fares within striking range of Frontier or Spirit, especially if bringing a bag.