Air France and KLM are joining the list of airlines that are offering “basic” business class fares. The way the airlines are going about it is quite interesting, though.

New Air France & KLM Business Light fares

Air France and KLM have just rolled out a new “Business Light” fare bundle, complementing the existing Business Standard and Business Flex fares. Business Light fares come with two additional restrictions compared to Business Standard fares:

• You don’t receive lounge access
• You receive one free checked bag weighing up to 32kg, rather than two free checked bags

Elite status perks still apply on these fares, so if you have SkyTeam Elite Plus status you can still take advantage of lounge access and an extra checked bag, essentially avoiding these added restrictions. Note that those booking Business Light and Business Standard fares also don’t receive free seat selection, which was a recent change.

These new fares have been rolled out for travel as of April 25, 2023, and apply for travel from Europe to all intercontinental destinations, excluding North America, China, Vietnam, and Mauritius (presumably due to the partnerships that are in place in those regions, which would complicate offering these kinds of fares).

For the time being, it would appear that Business Light fares are €100 cheaper than Business Standard fares per direction of travel. For example, take the below Copenhagen to Dubai via Amsterdam fare on KLM, where Business Light costs $1,081, while Business Standard costs $1,190.

My take on Air France & KLM basic business class fares

Air France and KLM justify these new Business Light fares by explaining that this allows the airlines to “offer customized fares at the best price,” and give customers “more choice and control.” That’s the justification that all airlines use for “basic” fares.

In reality, the primary intent of these kinds of fares is to generate more revenue by getting consumers to “buy up” to higher fare bundles to avoid these restrictions. Generally when airlines introduce new “basic” fares, they don’t suddenly discount the previous cheapest fares, but rather the previous cheapest fares become the new “basic” fares.

What are my thoughts on these new Business Light fares from Air France and KLM? A few things come to mind:

• It’s interesting that this comes just weeks after the airlines introduced seat assignment fees on most business class fares, and that those fees aren’t just limited to Business Light fares, but also apply to Business Standard fares
• For SkyTeam Elite Plus passengers, there’s not much downside to these fares (unless you want to check a third bag), while for other passengers, it’s generally going to be a question of whether you’re willing to pay €100 for lounge access
• I think we’re going to see more and more airlines increasingly segment premium fares, given that business travel demand seems to have permanently shifted; while there are a lot more leisure travelers springing for business class, it’s not at the same fares as we saw from business travelers pre-pandemic

Bottom line

Air France and KLM have introduced new Business Light fares in most long haul markets, which cost an extra €100 each way. These fares don’t offer lounge access and come with just one checked bag, but if you have SkyTeam Elite Plus status, you can still take advantage of elite perks.

We’re seeing more and more airlines introduce “basic” business class fares, and it’s hard to argue that this is good for consumers. At least those from Air France and KLM aren’t the most punitive of these kinds of fares, and the pricing premium to avoid Business Light is mild… for now.

What do you make of these Air France and KLM Business Light fares?

(Tip of the hat to Levi)