Urban Sky
Senior Member
By that flawed logic, VIA would not be allowed to charge more than the marginal fuel costs of transporting the body weight of each individual passenger. Marginal costs incurred per additional passenger are mostly nonexistent in the transportation industry and thus almost irrelevant for pricing, which must generate enough revenues to not just recover variable costs, but also fixed costs.What savings or expenses is VIA incurring if one does or does not reserve a seat? There should be no extra charge unless VIA is incurring an extra cost.
The entire point of „price discrimination“ is to restrict certain perks to higher fare options, so that customers can decide by their own whether they are prepared to pay extra for them or not, which leads to much better outcomes for the customers than offering a single fare at a single price, as price-conscious customers end up paying lower prices wheress value-conscious customers get to enjoy the perks they desire (and value)…
And just to add another point: given that customers generally pay more the later they book, why should the customers who pay the least have the best seats (because they book and therefore can chose their seats before everyone else)?
This is the same principle as with Netflix: if you can’t stand watching ads, just don‘t buy the basic plan!
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