Airlines continue to expand basic economy, a host of restrictions still apply

American Airlines, along with its oneworld partners British Airways, Finnair and Iberia, unveiled plans to bring Basic Economy fares to select transatlantic routes starting in April.

The Basic Economy product, which is aimed at customers who are very price conscience, was first launched a few years ago as a way for legacy airlines to compete with low-cost carriers. Similar to restrictions imposed by the budget airlines, the basic fare program offered by the major airlines comes with several important caveats. These restrictions vary a bit by carrier but typically are non-refundable and non-changeable, don’t allow for advanced seating, restrict boarding to the lowest priority clusters, and those traveling in groups, including families, are not guaranteed to be seated together. Often these fares are not eligible for complimentary or paid upgrades and some don’t allow for use of the overhead bin.

The launch of Basic Economy fares in the transatlantic market by oneworld airlines comes after Delta again expanded its Basic Economy offerings in more international markets. In December, Delta said it had increased its Basic Economy to be available on more than 50 percent of its transatlantic routes. That announcement came at the same time that Air France-KLM and Alitalia launched their similar basic fare program. Since then, Delta also expanded its Basic Economy product to more than 50 percent of its flights between the United States and Mexico as its partner AeroMexio launches its new suite of branded fares on U.S.-Mexico routes.