Airfare is on the rise. (photo via alfexe /iStock / Getty Images Plus)
Data from the United States government showed that airfares rose over 40 percent in September compared to the same month in 2021, the fastest rate on record.
According to The Hill, the Bureau of Labor Statistics’ Consumer Price Index (CPI) showed that airfares climbed to 42.9 percent due in part to airlines cutting down on flight schedules and rising fuel costs.
The CPI found that prices climbed 8.2 percent over the past 12 months and 0.4 percent in September, with the limited number of seats driving up airfares. The increase in prices and the return of travel demand are helping the carriers gradually return to profitability.
Data shows that prices will remain higher than normal heading into the Thanksgiving and winter holiday travel periods, with Christmas airfares up 55 percent from 2021 and 19 percent higher than 2019.
Hopper estimates the average price of a domestic ticket will be $350 roundtrip for Thanksgiving and $463 for Christmas. That’s 22 percent higher than it was in 2019, the last year of pre-pandemic travel, and 43 percent more than the 2021 holiday travel season.
Delta Air Lines released its third quarter business update on Thursday with an earnings report higher than pre-pandemic levels, as the carrier’s adjusted operating revenue was $12.8 billion in its third quarter, three percent higher than its same quarter in 2019.
“We reached a major milestone this quarter, with adjusted revenue three percent higher and unit revenues up 23 percent compared to 2019, marking the highest revenue and unit revenue quarter in Delta’s history,” president Glen Hauenstein said.
“With corporate travel improving and robust domestic and international demand, we expect December quarter revenue to be up five to nine percent compared to December quarter 2019.” Hauenstein continued.
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