April 3 (Reuters) – United Airlines said on Friday that it plans to introduce a new tiered fare structure in premium cabins starting this year.
United said it would offer base, standard and flexible fare options in premium cabins for customers traveling on long-haul international, transcontinental U.S. and select Hawaii flights, joining the existing basic, standard and flexible fares in United’s economy cabins.
According to the new tiered fare structure, the base category in premium cabins offers customers the lowest price point, the standard category offers perks such as free seat selection and additional checked bags, and tickets in the flexible category are fully refundable and offer all the benefits included in standard tickets.
United Airlines last month unveiled a broad aircraft and cabin overhaul centered on higher-end seating, pressing ahead with its long-term growth plan after warning that oil could stay above $100 a barrel through 2027 and outlining plans to trim some flights in response.
Big U.S. carriers have increasingly built their business around premium travelers, corporate accounts and loyalty-program members since the COVID pandemic, betting those customers are slower to pull back when fares rise.
United said it expected to launch the new categories in select markets this month and would expand to additional long-haul international, transcontinental U.S. and longer Hawaii flights later this year.
“These new tiered options give customers more choice and make it easier to find a fare that includes the benefits they want most – whether that’s a great value, added perks, or maximum flexibility,” said Andrew Nocella, United’s chief commercial officer.
(Reporting by Sneha S K in Bengaluru; Editing by Alison Williams)
