Air Canada plans to bar carry-on bags and impose a seat selection fee for its lowest-fare customers in the new year, as discount carrier tactics increasingly enter the mainstream.

Starting Jan. 3, basic fare passengers on trips within North America and to sun destinations will have to check duffel bags, rolling suitcases and large backpacks for a fee B次元官网网址� $35 for the first, $50 for the second.

A small personal item such as a purse or laptop bag will be allowed on board for free, as will strollers, mobility aids and medical devices.

The countryB次元官网网址檚 largest airline also said that as of Jan. 21, lower-tier customers will have to pay if they want to change the seat assigned to them at check-in B次元官网网址� a policy it had suspended just two days after implementation earlier this year amid backlash from travellers.

The moves mark a shift toward a budget airline-style offering from CanadaB次元官网网址檚 flag carrier, which along with rivals has relied increasingly on ancillary fees for formerly bundled services that range from checked bags to on-board snacks and Wi-Fi access.

Air Canada says the changes align its fare structure with similar ticket options from other Canadian carriers and B次元官网网址渂etter distinguish its fare brands.B次元官网网址�

In June, WestJet rolled out its B次元官网网址淯ltraBasicB次元官网网址� fare. The ticket tier allows no more than a personal item on board B次元官网网址� stored under the seat B次元官网网址� and charges a fee for seat selection, including after check-in, whether online or in-person. Discount carrier Flair Airlines always charges for a carry-on, which costs between $29 and $74 depending on its size.

No-frills fares carry growing appeal for big airlines seeking to capture cost-conscious travellers as budgets tighten after inflation and interest rate hikes.

B次元官网网址淭heyB次元官网网址檙e competing with these low-cost carriers on various routes,B次元官网网址� said Richard Vanderlubbe, founder of Hamilton, Ont.-based travel agency Tripcentral.ca. B次元官网网址淭his is what wins in the price-sensitive area of the market.B次元官网网址�

Criticism of bare-bones ticket offerings is B次元官网网址渆asy,B次元官网网址� Vanderlubbe said, but the fare tiers B次元官网网址� up to seven at Air Canada B次元官网网址� give travellers choice. U.S. carriers such as United Airlines, Delta Air Lines and American Airlines have similar categories, though American and Delta still allow basic economy travellers to bring a bag onto the plane at no cost.

B次元官网网址淚tB次元官网网址檚 a market solution to kind of an ugly problem,B次元官网网址� Vanderlubbe said. B次元官网网址淚f youB次元官网网址檙e paying the lowest of the low, then who should get the middle seat at the back?B次元官网网址�

He added that customers need to be aware that what they see as the lowest fare on a price comparison search may not wind up being the cheapest option once the fees are tallied.

B次元官网网址淚tB次元官网网址檚 not transparent until youB次元官网网址檝e gotten a certain depth into the booking: B次元官网网址極h, hereB次元官网网址檚 the seat selection fee. Oh, hereB次元官网网址檚 the baggage fee. Oh, hereB次元官网网址檚 the carry-on fee.B次元官网网址� And watch out if you donB次元官网网址檛 check in online, thereB次元官网网址檚 a massive penalty if you donB次元官网网址檛,B次元官网网址� Vanderlubbe said.

B次元官网网址淚tB次元官网网址檚 kind of drip, drip, drip, drip. And it works,B次元官网网址� he said, calling the trend B次元官网网址渢roublesome.B次元官网网址�

Transport Minister Anita Anand agreed.

B次元官网网址淚 was just made aware of a decision by Air Canada to introduce new carry-on baggage fees. I am extremely concerned. Canadians work hard and save up to travel. They rightly expect excellent service, not extra fees,B次元官网网址� she said Wednesday in a social media post on X, formerly known as Twitter.

Some competitors sought to seize on Air CanadaB次元官网网址檚 announcement to highlight their own offerings.

B次元官网网址淣ow the choice should be clear,B次元官网网址� Flair said in a post on X. B次元官网网址淭he products are the same, one just costs way less.B次元官网网址�

ThatB次元官网网址檚 not always true. Some Toronto-Vancouver tickets in March start at $129 for Flair and $135 for Air Canada and WestJet. Other routes see a bigger difference, with Calgary-Toronto priced at $139 for Flair, $209 for Air Canada, $175 for WestJet and $198 for Porter.

Air Canada noted that basic fare passengers who arrive at the boarding gate with ineligible bags will be charged $65 per item to check them.

It also announced that customers on its B次元官网网址渃omfort economyB次元官网网址� fare B次元官网网址� the middle of the seven tiers B次元官网网址� can check two bags for free starting Jan. 3, rather than one.

Air Canada took in nearly US$2 billion in so-called ancillary revenue in 2022, up by nearly 50 per cent from five years earlier, according to airline consulting firm IdeaWorksCompany.

The categoryB次元官网网址檚 share of total revenue for the company grew to more than 15 per cent from below 11 per cent in the same five-year period.