Monday, June 16, 2008

Rising Fuel Costs, Declining Quality of Service: An Alarming Trend

Everywhere you look, from taxis to airlines to buses, passengers find themselves dealing with (read: being charged for) the rising cost of fuel.

US Airways just announced that in order to maintain profitability in the face of ever-rising fuel costs, they will now be charging for each checked bag ($15) and even for formerly complimentary drink service ($2 for a non-alcoholic drink!). All of that, of course, in addition to other measures already taken to reduce costs for the airlines (slowing down flights, cutting flights altogether, eliminating courtesy magazines…). See Treehugger's slightly more in-depth and less biased account of the news here.

At the end of May, DC cabs once again reinstated the “Emergency Gas Surcharge”, “Emergency” in this sense meaning “Permanent”(there was an initial surcharge over two years ago, and the current 'emergency surcharge' has been continuously extended since November 2007). What is frustrating about the gas surcharge is that it is the same regardless of distance, meaning someone who rides two blocks will pay the same as someone who rides 6 miles and uses significantly more gas. Since the rule is intended to offset fuel costs, this clearly is neither sensible nor fair. The DCist has more information here.

Even on the notoriously discounted Chinatown buses' customers have felt the sting of inflation due to rising fuel costs. What were once extremely affordable $10 one way fares have doubled in the last couple of years, with average fares now $20 one way.

Noticing a trend? No matter the industry, the rising cost of fuel doesn't mean companies make less money, only that consumers have to pay more. Customer service and convenience are being sacrificed at the altar of high fuel costs to the gods of profitability. With that said, I think now is an appropriate and tasteful opportunity to subtly and tactfully mention that the company I work for, because it uses only fuel-efficient hybrid vehicles, manages to keep costs to our customers down while still providing excellent service.

1 comment:

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