Airlines hate him: Skiplagged CEO says Gen Z is flooding the site looking for flight deals — and hardly anyone gets caught
Skiplagged.com helps people book cheaper fares through a practice airlines hate.
The website finds cheaper fares through a hack known as 'hidden-city' ticketing.
Its CEO says there is a low risk of getting caught and offers tips to avoid detection.
Young people are increasingly turning to a popular travel hack to fly cheaper this year, and the chances of you getting caught are practically nil — assuming you follow some simple rules.
That's according to the CEO of Skiplagged.com, a website that helps travellers find "hidden city" tickets. The practice usually involves buying a ticket with a layover, but instead using that stopover city as your destination without boarding the connecting flight.
It's often cheaper than a nonstop flight, comes with serious caveats, and makes airlines absolutely furious.
CEO Aktarer Zaman says the risk of your airline finding out is actually very low, even though some have threatened to ban passengers who are caught purposely skipping the second legs of their trips.
And as fears of an economic downturn grow, he says more Gen Zers and younger millennials are turning to the travel hack to save money.
Zaman told Business Insider in an interview that Skiplagged has seen hidden-city tickets increase 30% in March and April compared to February.
"I think it's due to the economic issues where money is uncertain," he said, noting that the average Skiplagged savings are $180. "People still want to travel, and some have to for reasons they can't avoid, so they're inclined to find discounts."
Despite at least three lawsuits from airlines accusing the company of facilitating what they consider a prohibited practice and copyright infringement for using their logos without permission, Zaman said there's little a carrier can do about his website's actual business and vowed to keep at it.
For future skiplaggers, he offered tips on how to stay incognito, like only taking a backpack, booking one-way, and paying attention to visa requirements for international itineraries.
Airline websites aren't designed to show you every possible flight from A to B. They want to sell you a ticket at a price you're willing to pay that also works for their operation. They see skiplagging as lost revenue and disrupting their schedules.
Sure, you could use a guess-and-check method on an airline's website to find a cheaper hidden-city fare, but Skiplagged says it aggregates flights from various sources to generate options that specifically indicate a hidden-city itinerary and the related fare savings.
For example, Skiplagged shows a nonstop one-way Delta Air Lines flight from Los Angeles to Atlanta in July for $299. A hidden-city ticket to Baltimore with a layover in Atlanta costs just $139, saving $160. You would simply not get on the second flight to Baltimore.
Zaman said most of Skiplagged's 10 million monthly users are between the ages of 18 and 34. Most use the website as a search engine and then book their desired flight via the airline directly or a third party like Kayak.
Only 30% of those customers who book through Skiplagged are actually buying hidden-city tickets, he said, or about 300,000 people in 2024.
Data shared with BI shows Atlanta, Los Angeles, New York, Chicago, and Dallas are the top five destination cities booked via Skiplagged.
"It's controversial, but it's a reason we are as big of a success as we are today because consumers have realized how much value [Skiplagged] provides to them," Zaman. He added that the site brings in more than $20 million in annual revenue from user fees and vendor kickbacks.
The company is currently fighting a lawsuit from American Airlines, which has had particularly harsh words about the practice of skiplagging.
In 2023, the carrier alleged copyright infringement, trademark infringement, breach of contract, and tortious interference. The latter means intentionally damaging another party's contract and causing harm.
Skiplagged lost the copyright infringement case and was ordered to pay $4.7 million in damages and another $4.7 million for repayment of "ill-gotten" revenue in October. However, Skiplagged can continue to display hidden-city fares on its website.
Zaman said American revealed in trial that it does not maintain a blacklist of passengers caught skiplagging. American did not respond to a request for comment.
United and Southwest have also previously sued the company for deceptive practices and violating their terms of service. United's suit was dismissed for jurisdictional reasons, and the other settled outside court. Skiplagged declined to reveal the terms of the settlement.
Airlines like Alaska and United specifically say they can punish travelers for skiplagging, including taking legal action or revoking miles or elite status.
However, Zaman said skiplagging is actually "not that risky" overall, with 99.7% of hidden-city bookings through Skiplagged going off without a hitch in 2024.
"Miles being revoked, and people being banned by airlines, it's so rare, and no one last year reported to us that that happened to them," he said.
He said the tiny percentage of people who do get caught typically did something that revealed their plans. Skiplagged outlines some tips on the website to help people know the dos and don'ts before flying.
For example, Zaman said some people have booked a skiplag fare with an international destination but a domestic layover and can't fly because they didn't bring a passport. The same goes for people who forget about visa requirements.
Other practices to reduce the risk of getting caught skiplagging or ending up somewhere you don't intend to include:
Don't skiplag often because it will create a pattern, and an airline may flag you
Only bring a backpack. A checked bag will go to your final destination, and a carry-on may be gate-checked
Book one-way because if you skiplag on the outbound, the return will likely be canceled
Don't associate your frequent flyer account to avoid the risk of miles being revoked
Be vigilant of itinerary changes to ensure your layover city hasn't changed before flying
Have proof of return travel already booked if you skiplag internationally; make it refundable if you don't plan to actually use it
These tips are not 100% foolproof (though they're close), and you could still face repercussions from the airline if they find you breached their contract of carriage.
"There are certain airlines where you're free to skiplag all you want; it's not against the rules to miss a flight on purpose," he said. "But, for some airlines, missing on purpose is against their policy, but the numbers show how rare it is to actually get in trouble."
Read the original article on Business Insider
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