Spirit Airlines becomes latest budget airline to drop change, cancellation fees

Spirit Airlines is making a key change to a budget airline barrier long bemoaned by customers. Going forward, the airline will no longer charge travelers change or cancellation fees.

The news comes just days after Frontier Airlines announced a slew of changes to how it presents and sells tickets and add-on elements — and likewise did away with change and cancellation fees for most travelers.

"This new policy is among the best in the industry because it applies to each and every guest," a Spirit spokesperson said in a statement to TPG on Monday.

Change fees becoming less common

Change fees used to be nearly ubiquitous across the airline industry before the pandemic, with Southwest Airlines being a key exception. But they've become far less common over the last several years, with none of the network carriers charging for itinerary changes on full-fare economy tickets — including the "Big Three" legacy carriers (American Airlines, Delta Air Lines and United Airlines).

Budget airlines have largely remained an exception, though: On Spirit, for instance, travelers could previously make a free itinerary change if completed two months before departure. Otherwise, travelers changing a trip could end up paying $69, $99 or $119 — depending on how close the change was to their trip.

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With Spirit facing an uphill climb to profitability, though — its failed merger with JetBlue behind it and a $142 million net loss in the first quarter to boot — company executives recently acknowledged changes could be on the horizon.

"We have been listening to our guests, and general airline passengers, and have been reviewing the competitive set of products in the industry," Spirit CEO Ted Christie told analysts on the company's May 6 earnings call.

More changes for customers likely

Notably, Spirit hasn't gone as far as Frontier did last week in presenting the cost of a fare and ancillary bundle upfront.

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But, it's possible — and, in fact, likely — the Dania Beach, Florida-based carrier may have further-reaching changes on the horizon.

In his May 6 remarks, Christie teased forthcoming changes to Spirit's merchandising and pricing strategy.

"It is clear we need to introduce some changes to reflect the new dynamics in the industry, and make Spirit a more compelling option for the traveling public," Christie said.

Indeed, the airline has "many other enhancements in the works," a company spokesperson said Monday, teasing further announcements "soon."

These consumer-facing moves come as the airline has also revamped its network as part of its push for profitability.

In the meantime, Spirit's end to change and cancellation fees is already in effect — it actually went live Friday, the company said — which means you'll have far more latitude to adjust your next Spirit itinerary if you need to change your plans.

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