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At American Airlines, drivers at several airports who ferry luggage between flights now have touch-screens that instantly alert them to gate changes. It's one of several innovations the airline says it has introduced to improve the baggage-handling process, from loading to transfers between flights to recovery.

"Right now we operate at about 40 per 10,000 in terms of bags that aren't immediately reconciled with the customer," says Andy Albert, the airline's managing director of baggage operations and special projects. "We don't find that acceptable at all. We strive for 100%, and that's what we're going to continue to strive for."

Alaska Airlines is one of the few airlines to directly tie extra fees to bag delivery. Alaska is offering passengers a $25 discount on a future trip or 2,500 frequent-flier bonus miles if their checked bags don't appear on the carousel within 25 minutes from the time their plane arrives at the gate. The guarantee, which also applies to Alaska's sister airline, Horizon Air, is good for travel through July 31.

"We're saying if we're going to charge you for this, you'll get something back -- our commitment to get your luggage to you on time," says spokeswoman Bobbie Egan.

Five years ago, delivery of a bag could sometimes take as long as 40 minutes, says Greg Latimer, the airline's managing director of marketing. It now takes 15 to 20 minutes for luggage to arrive.

Airlines may be taking these steps as much for their bottom lines as for their passengers. The industry spent $3.3 billion on mishandled luggage globally in 2008, says Steve Lott, spokesman for the International Air Transport Association. That figure includes paying claims for lost bags and delivery costs for delayed bags. "Airlines have a significant incentive to improve the mishandling rate as much as possible, because it's not only a customer service issue, it's a financial issue," he says.

Technology offers the prospect of improved baggage service down the line. Radio frequency identification bag tags, which have a higher accuracy rate than the current bar-code system, could usher in the next big dramatic shift. But industry watchers say that for now, they're too expensive to widely implement.