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 Players may soon be gambling on the cost of their plane tickets. Allegiant Air, a Nevada-based carrier has expressed an interest in offering "variable tickets" which rise or fall according to jet fuel prices. These tickets would be sold alongside traditional fixed-cost options and there exact cost would not be determined until the day of take off. Customers would pay an estimated rate and if the price of fuel falls before takeoff they will receive cash back but if the cost of fuel soars they would be forced to pay more money before taking their seats. Current consumer protection rules prohibits airlines from raising ticket costs after purchase but Allegiant has already requested that the U.S. Department of Transportation allow "variable tickets" to become an exception to the rules.
"It would provide (consumers) another option for potential substantial savings on their trip costs and would be clearly disclosed and explained prior to any purchase," the airline said in the letter.
An Allegiant representative said that it is still "too premature" to seriously discuss what the tickets would entail but did say that the airline will remain "flexible" in the event of future developments.
Raymond Kollau of Airlinetrends.com showed approval for the idea telling reporters, "This is an innovative way for (Allegiant) to pass some of its risk in fuel cost to its customers, since the airline does not hedge its fuel.Many consumers wouldn't want to incorporate this kind of insecurity in their ticket, especially since hardly anyone can make an educated guess about the development of oil prices. Although for some, it may be a way to start their Las Vegas trip in style."
As always, stay tuned to Casinofan for more news and updates.
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