Spirit Airlines So many issues have surfaced from customers who fly with Spirit Airlines. Of course, consumers love airlines that are cheap or have good deals, but most customers who fly with Spirit are generally disappointed with the service and all the extra fees they MESH. pay which makes for a higher priced ticket anyway. The tickets, plus the extra fees, would be equivalent to flying with another airline but with all those costs included. These are some of the key problems that consumers have with flying Spirit and customers are very frustrated with its ouestiona ble policies and hidden fees. According to Fox News, "Spirit Airlines is the most hated airline in the US.\" (Fox News, 2015i. Other key issues with Spirit include a lack of customer service, oversold boarding, a high cost of carry-ons, whether a customer is part of the "Spirit Fare Club" program or not. The only way to avoid bag fees is to either carry a backpack or small purse that ts underneath the seat in front of you. Also, seat selections can cost up to 5200, there is no in-flight entertainment, drinks and snacks come at a cost as well, and il a customer is a "frequent flyer," those miles expire very quickly with Spirits \"use 'grp or lose Herp' policy (W, 2015]. According to the Department of Transportation, Spirit Airlines had the worst on time arrival record bl13 U.S. carriers and the highest rate of consumer complaints over that time span. The transportation department's data showed that 11.3 out of every 100,000 customers who flew Spirit in 2015 complained about some aspect of their experience [LeBeau, 201E]. Spirit's latest "Contract of Carriage,\" updated on February 20, 2018, includes the customer service plan and the tarmac delay plan. Baggage charges will all be nonrefundable and certain countries may require other applicable charges to be collected by Spirit,- ifthere is a modication of the itinerary, the customer 13th pay another increased fee in baggage charges. Under this contract, one small carryon bag will be permitted, with an extra charge, of course. Ifthe small item cannot be safely stowed, there will be an additional charge.As far as its customer service is concerned, Spirit still offers the lowest fares available, ensures responsiveness to complaints, provides refunds, deliver baggage on time, etc. [Spirit Airlines, 2018}. Although Spirit has put forth this new contract plan, nowhere in it does it state how it will resolve the specic current issues that its customers are complaining about each time they fly with Spirit. The airline gives general statements about what it will continue to do, but not a plan of execution of how it will deal with disappointed customers. According to its annual report, the only aspect that Spirit is focusing on is price-sensitive travelers. It believes that its growing customer base is more resilient than the customer bases of most other airlines because of low fares and unbundled service offering appeal to pricesensitive passengers [Spirit Airlines, 2013]. Backgroundfcompany infon'nation history Spirit Airlines is an airline company providing both domestic and international ights. It is known for being an \"LillcaJthcost\" carrier in the U.S. Spirit Airlines started in 1964 as Clipper Trucking Company. In 1930, the airline service was established and known as Charter One. The airline service was based in Detroit, Michigan and provided travel to Las Vegas, the Bahamas, and Atlantic City. In 1992, the name Charter One was officially changed to Spirit Airlines. Currently, Spirit Airlines is headquartered in Miramar, Florida. The company continued to work on its overall expansion and added additional destinations. It began a Spanish-language customer service plan, the online website, and reservation line. In the early 2000s, the company announced its plans to purchase 30 additional aircraft. Spirit started to branch off into international countries such as Haiti, Costa Rica, Venezuela, and the Netherlands. The company's overall strategy was to provide "ultra low-cost" services. It started off this strategy by focusing on the baggage fee. Its new pricing was $10 for the first two bags and $5 for bags reserved 24 hours in advance. Lastly, it transitioned the drinks from being complementary to $1 for each drink. Later, it moved to changing the drink fee to $3. In 2007, Spirit revamped its branding strategy and its new aircrafts were updated. A year later the company began to advertise on the side of the aircraft, overhead bins, tray tables, and seatback tray tables. Around this time, it also had to lay off hundreds of pilots and flight attendants as it decided to close off two of its crew base. Currently, Spirit Airlines travels to 52 destinations in South America, Central America, and the Caribbean. It has the youngest Airbus fleet in America with 49 aircrafts in its fleet. The company is based in Miramar, Florida, with base sites in Chicago, Dallas, and Las Vegas (Spirit Airlines, 2011). Industry information The airline industry Airlines became more mainstream around the beginning of the twentieth century; however, things took a major turn in the sky in 1925 when the risk factor associated with flying became less. Shortly after, the Air Commerce Act allowed the Secretary of Commerce to ordinance a system of certifications and licensing for pilots. This Act also encouraged a system of establishing airways and traffic regulations. Years later, many of the "big players," such as United and American emerged as "heavy hitters" in the industry. Soon after the establishment of the Air Commerce Act, the Civil Aeronautics Act was established to regulate airline routes and passenger fares. The Air Commerce Act regulated airlines' costs. Since airlines were not able to compete in fares anymore, their points to differentiate would come from their service and offerings. As competition into the airline market increased, fare prices dropped to remain competitive in the industry. Airlines began focusing significantly on quality service and great associated products. The airline industry took a major hit in its market after the 9/11 tragedies. Business travel took a decline while fuel costs rose. Profitability in the airline industry returned nearly five years later, but only after major reductions. This brought to light the ultra low-cost airline industry, with heavy hitters such as Spirit Airlines (FAA.gov, 2017). The ultra low-cost airline industryMiramar, FL-based Spirit Airlines is one of a select few airline companies to offer "ultra low costs." Spirit Airlines' fares are generally lower than other competitors, but come with lots of stipulations that most other industry players do not mandate. This includes random seat selection, increased prices for onboard snacks, or even carry-on luggage. While this is the norm for other competitors such as rival Southwest Airlines, other larger airline companies have begun to explore this fare option. Recently, American Airlines announced its "Basic Economy" fare, which follows Spirit's traditional fare guidelines. Delta Airlines also offers something very similar. Could the Spirit Airlines of the world have been onto a new industry discovery? Competitors In such a highly competitive industry, Spirit competes against markets served by traditional network airlines, low-cost carriers, and at times, regional airlines. Despite the fierce competition, Spirit's main competitor is American Airlines with 51 percent market overlap, followed by Southwest Airlines and United Airlines. Additional competitors include Delta Airlines for domestic travel and JetBlue Airways for the Caribbean and Latin American markets (Spirit Airlines, 2015). American Airlines American Airlines was founded in 1930 and is now considered to be one of the largest airlines in the world. Together with its regional partner, American Eagle, it is able to offer an average of 6,700 flights per day to over 350 destinations in 50 countries across the globe (American Airlines, 2017). American Airlines is Spirit's single largest overlap with 51 percent of its markets, thus making American its main competitor. In addition, American Airlines is also one of Spirit's principal competitors in the Caribbean and Latin American markets for service from South Florida through its hub located in Miami, Florida (Spirit Airlines, 2015). Southwest Airlines Southwest Airlines was founded in 1967; since its inception, it has grown to become a major airline. Today, Southwest Airlines operates more than 3,900 daily flights to over 101 destinations across the United States as well as eight additional countries (Southwest Airlines, 2017). Southwest Airlines is considered to be one of Spirit's main competitors due to its domestic travel routes. United Airlines United Airlines was founded back in 1926, making it one of the oldest commercial airlines in the United States. Today, United has one of the "world's most comprehensive route networks" with an average of 4,523 daily departures to 339 destinations across 54 countries around the world (United Airlines, 2017). United Airlines is one of Spirit's main competitors within the domestic travel market. Delta AirlinesDelta Airlines was founded in 1924 as a small aerial crop dusting operation called "Huff Daland, Dusters" (Delta, 2017a), thus making Delta the oldest operating airline in the United States and the seventh oldest in the world. From then to today, it has grown to one of the world's largest global airlines offering an average of 15,000 daily flights to over 322 destinations in 58 countries on six continents (Delta, 2017b). Delta is one of Spirit's main competitors specifically within the domestic travel market. JetBlue Airways JetBlue Airways was founded in 1998 making it one of the youngest airlines in the United States as well as the youngest competitor to Spirit. With such great and rapid success, JetBlue became the fifth largest U.S. airline and now offers an average of "825 daily flights to 87 cities in 17 countries, with one-third of its route network in the Caribbean and Latin America" (JetBlue Airways, 2017). JetBlue is one of Spirit's main competitors within the Caribbean and Latin America markets through its operations in Fort Lauderdale, Florida. Customer/consumer The majority of Spirit Airlines customers believe in low-cost airfares; Spirit attracts these customers by reducing the service in the aircraft and charging high fees for items such as baggage. Spirit Airlines may offer very cheap airfare deals at times; however, when it comes to customer satisfaction, it does not get good ratings. Spirit gathered negative attention for its strict no-refund policy. According to the U.S. Department of Transportation's Bureau of Transportation Statistics, "Spirit Airlines has seven times more official complaints against them than any other airline operating in the United States" (SpiritAirlinesFacts.com, n.d.). Whenever there are customer complaints, Spirit Airlines does not respond professionally; company representatives are trained to find excuses and stand their ground. While booking, customers feel as if they've landed a good deal; however, there are numerous hidden costs customers end up paying that typically cost more than elsewhere. The way forward Spirit continues to face key issues with its customers' problems, such as low customer satisfaction rates and other charge fees to fly on the airline. Customers are not happy that they pay for every little thing: updating their tickets; luggage and carry-on fees; on-board water and snack fees; and increased baggage costs for traveling over the holidays. Spirit is looked at as taking a quick domestic flight to save money, especially if a customer is traveling by herself for a business or quick weekend trip. Consumers now tend to want the best value for their money, thus customers who fly Spirit should understand that a cheap flight comes at a high cost with no conveniences