Saturday-night stay

Saturday-night stay is a rule used by airlines to separate business and leisure travelers.

In order to qualify for a low round-trip airfare, some of legacy carriers require Saturday night to be spent in travel. The airlines figure out that business travelers are more likely than leisure travelers to spend Saturday night at home. For example, a business traveler may depart on a Sunday or Monday and then return home that Friday or Saturday.

Business travelers' demand for travel is less elastic and airlines attempt to increase their profits by price discriminating business travelers and leisure travelers. Business travels are also more loyal to a particular airline, and therefore are more likely to accept higher price.

In early 2000s, the Saturday-night stay rule vanished due to competition from low-cost carriers, which commonly do not impose the rule. [Gilden, James. [http://travel.latimes.com/articles/la-tr-insider15aug15 The Saturday-night stay requirement is on its final approach] . "The Los Angeles Times". 2004-08-15.] However, the practice of pricing according to Saturday-night stay reappeared in 2008. [Reed, Ted. [http://www.thestreet.com/s/airlines-bring-back-saturday-night-stays/newsanalysis/transportation/10400659.html Airlines Bring Back Saturday-Night Stays] . "TheStreet.com". 2008-01-28.]

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