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Booking flight tickets can be one of the most stressful parts of travel! Airfare is expensive and, with variations in flight prices, we often worry that if we buy right now, prices could drop and we would be the person who paid the most money. Or, you may think that you should wait a little longer, maybe prices will drop. But, what if you have already bought your flight tickets and the prices dropped down after that? Don’t worry! Here we’ll walk you through why flight prices decrease after booking and how you can get a refund for the same.
Why Do The Airline Ticket Price Drop After Purchase?
Have you ever thought about the science behind the high fluctuation of flight prices? Flight prices can be volatile, at one instance you would have found a great price for your favorite airline and you made up your mind to buy it. But, after a few hours, you are surprised to find that the prices have doubled or decreased. So, what drives this constant fluctuation in flight prices? The exact answer to this question depends on the airline’s commercial department i.e. Revenue Management. All the airlines use revenue management to sell the right ticket, to the right person, at the right time and at the right price. Let’s know some reasons why flight prices actually fluctuate –
- Demand – When demand increases and supply decreases, the airline revenue management algorithm automatically increases the ticket prices of the remaining seats on the aircraft. Airlines use a variable pricing strategy to sell the same seat at different prices to different customers at different times to maximize revenue.
- Time of the booking – Prices for flight tickets might change drastically in the weeks and the months before a journey. Airlines use historical data to forecast prices and determine the optimal balance of seats and earnings at a particular time. Last-minute flights may be more expensive than you think. But, you could also get lucky and grab a last-minute flight with a good discount as the airline was desperate to fill up its aircraft. But, not all the time! So, a general rule of thumb is that flight tickets are cheapest 2-3 months before the scheduled date of departure.
- Competition – Airlines keep their friends close and their enemies closer. They closely monitor the flight prices of their competitors on similar routes. For example – if one airline drops the prices of San Francisco to Bangalore flights, the competitors also drop the prices of the same route. This practice is called price matching.
- Season – Peak travel times such as Christmas & New Year, summer holidays, etc. will always have higher flight prices than normal days. Airlines often increase their fares for these busy seasons. And, in the off-season, tickets are always sold for cheaper prices as airlines try to stimulate demand and try to sell their perishable inventory.
- Day of the week – You may have heard the claim that Tuesdays are the cheapest days of the week to fly. There’s a truth to it. Business travelers tend to make up much of the demand during the weekdays and they often want to fly out on Monday and return on Thursdays and Fridays. That’s why, Mondays, Thursdays, and Fridays are considered the most expensive travel days, while Tuesdays and Wednesdays are often the cheapest days of the week to fly both domestically and internationally.
These are some of the reasons why airfare drops. So, the next you experience high fluctuation in flight prices you know what can be the reason and when to book your flight tickets. To save more on your flight bookings, you can check our guide to the best tips to book the cheapest flights here.
How To Get A Refund If Flight Price Goes Down After Booking?
If you’re flying anywhere, it’s likely that you’ve heard about the airlines’ 24 hours price-drop policies. The airlines want to make sure that their customers are happy, so they try to keep prices as low as possible. But what happens if airfare drops after purchase? Let’s know some of the ways that airlines can help out their customers when their prices drop — and why sometimes it’s not so simple.
If you booked on the airline’s website, though, you may be able to find some luck in their fare rules. Some airlines will let you cancel and rebook at a lower price. Others will refund the difference in airfare or give you a credit toward a future flight if your price drops within a certain amount of time.
But, there are also plenty of reasons why not every airline will give you money back:
- Some airlines only offer refunds when someone cancels their reservation (and not just if it’s cheaper)
- Some airlines don’t offer refunds at all
Note – Remember that airlines don’t necessarily have to help you out if your flight’s price drops after you’ve booked. You may want to call the airline directly and speak with an agent but be prepared for them to say no. If the price drop doesn’t meet certain criteria, they won’t issue a refund.
If You Find A Lower Fare & You Are Within 24 Hours Of Booking
Firstly, check that you are inside the 24-hour window. Then, book the new air ticket promptly to ensure you get that lower fare and drop the first (most extravagant) flight ticket. Always ensure you book the new ticket before you drop the old one. That way you will not be left with no ticket at all if the price rises once more.
If Airfare Drops On A Flight Booked Over 24 Hours Prior
The arrangement will change by fare type in this case. For example, most fundamental economy charges are not qualified for changes or refunds at all once the 24-hours window has passed. On the off chance that you booked a fundamental economy or higher admission, you might get a refund when your flight prices decrease after booking.
Airfare Price Drop Refund Policy VIA Airlines
Every airline has its own refund policy for price drops, so in case you are outside the 24-hour window or your flight is not covered by the 24-hour airline rule in any case, you need to discover what the particular requirements are for the airline with which you have booked and for your particular flight class.
American Airlines
If you booked a refundable American Airlines ticket for Main Cabin Economy class or above, you can drop your flight and get a full refund. Essential Economy admissions can’t be changed over 24 hours subsequent to booking. Expenses or changes assumed before movement praise are $200 for homegrown travel and up to $750 for international travel. Since the expenses are so high, you will infrequently see any refund except if there is an extreme value dorp.
Spirit Airlines
Spirit Airlines mentions that if another admission is not exactly the first passage, a future travel credit will be given to be utilized within 60 days. Charges assumed before movement acknowledgment are $90 per client for alteration or crossing out made online and $100 per client whenever made via telephone or at the air terminal.
Alaska Airlines
In the case of Main Class charges or more, if a lower charge is accessible over 24 hours subsequent to booking, a movement credit is given if there is any leftover incentive after expenses. Saver admissions can’t be changed after 24 hours in the wake of booking. Expenses assumed before movement praise are no charges for flights operating inside the province of Alaska and a $125 change/abrogation charge on any remaining courses.
Southwest Airlines
You just need to rebook your charge and a movement credit will be given at any distinction in cost to be utilized around one year from the date of the first buy. Southwest Airlines is the solitary carrier that genuinely gives full refund credit any time a passage drops in cost as long as 10 minutes before the flight.
Delta Airlines
Booked your ticket with Delta Airlines? Wondering ‘will Delta refund if price drops’? Delta Airlines will not refund if the flight prices drop. This airline will not refund anything if the airfare drops even after requesting the same within 24 hours of booking your air ticket.
United Airlines
If your flight price decreases within a certain amount of time after you book it, there are ways for airlines to refund some of the difference. United Airlines will refund the difference between what you paid and what the airline originally advertised as its lowest fare if it drops within 24 hours of booking your ticket.
Hawaiian Airlines
Hawaiian Airlines’ price adjustment policy only covers “the difference between what you paid for tickets at the time of purchase,” according to their website’s terms page — which means they won’t pay up if prices drop after purchasing tickets online or over the phone lines during business hours (which are typically 8 am–5 pm PST Monday through Thursday; 9 am–4 pm PST Friday; 1 pm–8 pm EDT Saturday).
Conclusion
The best thing to do is to keep an eye on your airline’s website, especially if you booked through them. If you find that your flight’s price has dropped, make sure to call the airline and ask about their policies. If there are any options available for refunds or credits toward future travel, then by all means use them! But if not, then hold tight because it may be time for some shopping around.
To book your flight tickets at the cheapest rates, you can check our complete guide on how to find cheap flights here.
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