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Ryanair bends to customer demand

Ryanair goes soft The budget carrier has reached the conclusion that it has to do more to win business.  As a result, it announced that it will begin seat allocation starting in February 2014.

Its chief, Michael O’Leary, also confessed that the Ryanair website was "notoriously awful".

Reserved seating currently costs £10 each, but it is not known what the airline will charge for assigned seats.

EasyJet changed from free-for-all to allocated seating a year ago.

Analysts believe that Ryanair was forced to make the change as public opinion has moved sharply against the no-frills carrier leading it to issue its second profit warning within just two months.

Ryanair said profits would be €60 million lower than it planned after it was forced to cut fares by more than expected.

It also said that after 20 years of rapid growth, traffic numbers would remain flat over the coming 12 months, and there would be no growth above its current 80 million passengers. Its shares fell 11% in the City.

Previously, the airline had said it aimed to transport 110 million people a year by 2018.

Only two weeks ago, Ryanair announced other changes to make its flying experience more attractive, including the reduction of some of its punitive charges and a full 24 hour period in which customers could amend minor booking errors actually free of charge.

From mid-October has been carrying a suggestions form on its website.

Half year profits went up 1% to €602 million after tax. Passenger numbers for the first six months of the airline's financial year rose 2% to 49 million.

Average fares dropped 2% but so-called ancillary revenues - revenues from fees and charges - were up 22%.

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