El Al (Facebook photo / El Al-David Daniel)
El Al Airlines announced yesterday (Tuesday) a new service it is offering to passengers, in which it will allow customers to participate in a tender that will determine how much to pay for an upgrade to seats in the premium class or business class. “From today, customers decide how much to pay for an upgrade!” El-Al wrote in a statement.
In addition, it reads: “Customers who purchased a flight ticket to one of El Al’s direct destinations will receive an option on selected flights at the end of the booking.
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According to the company’s announcement, customers are the ones to choose the amount the upgrade will cost them, starting from the minimum price set by the company, and in a price range that varies depending on the flight destination and seat availability. Hours before the flight, the customer knew if he had won the center and would transfer his flight in the upgraded class.
This method of upgrading by a not-so-central center in airlines around the world, and also at El Al, is not new – YouTube has a video from 2012, about a decade ago, showing the service that allows you to submit a quote to upgrade your flight to business class.
The company told the ice website that the service was indeed offered from a decade ago until the start of the Corona plague (March 2020), when it was stopped. Now, with the departure from the severe restrictions and the return to more flights, he is back to life.
The reason for returning the service may be the company’s difficult year – remember, about a month ago, El Al’s annual reports were published, which showed that its revenues in 2021 amounted to $ 857.2 million, but the airline recorded a gross loss of $ 103 million due to expenses of 960 million In doing so, El Al completed a year with large losses of $ 413 million, but with optimistic news: this is an improvement over a loss of $ 531 in the previous year, 2020.
On the one hand in the last quarter the company recorded losses of $ 110 million, which is an improvement over the loss from the last quarter in 2020 when it lost $ 136 million. But on the other hand, the loss was probably supposed to be greater than the state aid aid received after the negotiations between Kenny Rosenberg – the controlling shareholders of El Al – and the Ministry of Finance.
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