Delta, United Are Winning Airline Price War With Basic Economy (1)

To both the delight and dismay of many travelers, basic economy fares have become a fixture of America’s airline landscape, offering lower prices to flyers willing to forgo checked baggage or airborne amenities such as a free assigned seat or even a soft drink at 30,000 feet. The cheap but highly restrictive fares are an innovative pricing tool, originally adopted by Delta Air Lines Inc. about a decade ago to slap down aggressive expansion by discounters including Spirit Airlines Inc. and Frontier Group Holdings Inc.

Rather than just a defensive move, they’re increasingly being used by the largest US carriers ...