Hidden City Ticketing: The Controversial Strategy Airlines Banned
Hidden city ticketing, also known as “skiplagging,” exploits a fundamental inefficiency in airline pricing: sometimes flights with connections cost less than direct flights to the connection city. This counterintuitive pricing structure allows savvy travelers to book cheaper tickets by intentionally missing the final segment of their journey—a practice that airlines vehemently oppose and have taken legal action to prevent.
The strategy works due to airline route economics. Airlines price flights based on market demand and competition rather than distance traveled. A direct flight from New York to Chicago might cost $400 due to high demand on that route, while a connecting flight from New York to Denver with a Chicago layover might cost only $250 because the NYC-Denver route has more competition. Travelers can book the cheaper NYC-Denver ticket and simply exit in Chicago, saving $150.
Airlines hate hidden city ticketing for several reasons. First, it undermines their revenue optimization models, which assume passengers complete their entire ticketed journey. Second, it can disrupt their load balancing across different route segments. Third, it potentially violates the contract of carriage that passengers agree to when purchasing tickets.
The legal battles have been intense. In 2014, United Airlines and Orbitz sued Skiplagged.com, a website that specifically helps travelers find hidden city opportunities. The case was eventually dismissed, but airlines continue fighting through policy changes and passenger penalties rather than legal action. American Airlines has banned passengers who repeatedly engage in skiplagging, and other carriers have implemented similar policies.
Real-world consequences can be severe. Airlines can cancel return flights if you skip the outbound final segment, void frequent flyer accounts, and ban passengers from future travel. However, many travelers continue using this strategy for one-way trips where return flight cancellation isn’t a concern.
The practice requires careful execution. You cannot check bags (they’ll go to the final destination), must book one-way tickets (to avoid return flight cancellation), and should avoid frequent use with the same airline to prevent account penalties.
Despite airline opposition, hidden city ticketing remains legal for consumers, though it violates airline terms of service. The savings can be substantial—sometimes 40-70% off regular fares—making it attractive for cost-conscious travelers willing to accept the associated risks.
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