Five airlines are at the center of a newly opened federal investigation into price-gouging for their actions in allegedly raising airfares following the May derailment of an Amtrak train in Philadelphia that killed eight people and injured 200 others. [More]
Movie and game rental kiosk company Redbox is considering another price change to its DVD and Blu-Ray rentals. They’re testing out new pricing schemes in different markets, presumably to figure out which pricing scheme consumers hate the least. In the market where reader Dave is, in Salt Lake City, Utah, they’re trying the price points of $1.50 for DVDs and $2 for Blu-Rays, a price hike of 30¢ and 50¢ respectively. [More]
Well, we’ve been saying it would be more honest to just raise prices instead of shrinking the product, and Hershey has taken us up on that. On Friday, only months after a 13% hike back in February, Hershey announced a price increase of 10-11% across the product line, citing higher costs for ingredients.
[It is] definitely on the table. That is something we’re looking at . . . in the future for us. We’re looking at doing some experiments. Obviously one way [is that] you can start selling things for $1.05, $1.09, $1.15 and other ways. You could have more of a break between your 99 cents price point and the next price point.”
Delta announced today that it’s doubling the fee for a second checked bag from $25 to $50, effective on new bookings starting July 31st for all travel after August 5th. Got a third, fourth, or fifth bag and a lot of money to burn? Fees for those will rise from $80 per bag to $125 each.
Reuters has a wrap-up of some of the wackier gas-related stories of recent weeks, including the Nevada Brothel’s free-gas-card offer, a church that’s holding a weekly $50 gas card drawing during mass, and an Orlando father who pledged to name his baby after local radio hosts in order to collect a $100 gas card. There’s also some gas thieves in Mesquite, Texas, who are siphoning from church vehicles, but that’s not so much a “wacky stunt” as a type of criminal “preemptive charity.” (“”All he had to do was come and ask us and we would have bought him a tank of gas,” said the pastor of one church.)
Brian writes in to let us know that Southern Skyways has fallen partially victim to soaring fuel costs: