In theory this type of price differentiation is good since it allows extremely budget conscious folks to travel for very cheap with no-frills options while allowing others to travel with the same amenities for the same price except certain things are add-ons rather than built in to the price of the ticket.
The problem is that the universal implementation is that the "no-frills" tickets end up being the same price as they were before when they included things like carry on bags while tickets that include such "luxuries" end up even more expensive, leaving every single passenger feeling ripped off.
I feel like I'm missing something in this space since every airline is doing it but it makes no real sense from a consumer perspective. Price differentiation on extremely low-cost options makes sense, but only if it actually feels like a deal rather than paying the same price for a worse product, which is almost always what seems to happen.
The problem is that the universal implementation is that the "no-frills" tickets end up being the same price as they were before when they included things like carry on bags while tickets that include such "luxuries" end up even more expensive, leaving every single passenger feeling ripped off.
I feel like I'm missing something in this space since every airline is doing it but it makes no real sense from a consumer perspective. Price differentiation on extremely low-cost options makes sense, but only if it actually feels like a deal rather than paying the same price for a worse product, which is almost always what seems to happen.