The still financially troubled airline industry is experimenting with selling more products and services to fliers, the New York Times reports.

The proposed merger between British Airways and Iberia would be bad for consumers as the flag-carrying airlines would raise ticket prices on their competing routes, Michael O'Leary, CEO of discount Irish carrier Ryanair, told CNBC Friday.

Low-cost airline Ryanair, which mulls making passengers carry their own bags to hold and asking for £1 for the use of in-flight toilets, is now looking into offering standing room for passengers on its planes.

Carry your own luggage to the plane, slide one pound ($1.65) into a slot to use the toilet while airborne, pay more charges for fuel, have staff working for free for one month.