In a bid to stay price-competitive in the evolving budget airlines industry, Scoot has announced that effective today, September 23, it will be scrapping its payment processing fee for all its flights. This is a week earlier than AirAsia’s official implementation of removing the processing fees for its flights.
For travellers, this move is seen to be a positive one as processing fees can often be hefty, especially when traveling as a group. For example, a family of five could save S$100 on payment fees for a return flight
Similar to how Scoot followed suit with AirAsia’s move, to remain price competitive, other airlines may also consider removing their processing fees as well. Such a move will allow travellers alike to save on overall travel. Jetstar currently charges S$10 for its processing fee while other budget airlines including CebuPacific, Scoot, Thai LionAir and AirAsia do not charge fees (or will soon stop charging).
With Scoot previously allowing the AXS payment mode, this change will allow their bookings to be processed and confirmed quicker, a definite plus for them. The AXS payment mode previously allowed travellers to make their payment via AXS machines located across Singapore within a 24-hour period, and it was cheaper than the credit card processing fee. This means that ticket purchases could be delayed for up to 24 hours, or in some instances, not completed at all. I, personally, have missed an AXS payment before because I forgot to take down the booking reference number (they did not email it to us).
As the airline industry continues to evolve, it will be interesting to see what other incentives airlines can bring to travellers.