Jul 12

July 13, 2015 – Press Release

2014 Airline Ancillary Revenue Leaps to $38.1 Billion – Up Nearly 21% in a Year
For the eighth consecutive year, 63 airlines tracked by IdeaWorksCompany reported substantial increases in revenue from retail activities and the sale of a la carte services and frequent flier miles.  The IdeaWorksCompany study, sponsored by CarTrawler, focused on 63 airlines which disclosed qualifying revenue activity, to reveal that ancillary revenue reported by these airlines was $38.1 billion for 2014.

Jun 02

June 2, 2015 – Report

Brussels Airlines, JetBlue, KLM, and United Rev Up Their Ancillary Revenue Engines
The most recent ancillary revenue report sponsored by CarTrawler celebrates retail and merchandising innovations that support ancillary revenue. It offers a collection of examples that rely upon technology and training to create a type of mercantile seduction that encourages consumers to open their wallets and spend.  Vendors were invited to share details of client success stories. These were included with other examples, such as JetBlue and Tuifly.com, to create a report filled with services and products that stimulate the imagination and a carrier’s income. The examples in this report demonstrate the revenue power harnessed when companies engage their customers with attractive storefronts, be they in the city center, online, or up in the air.

May 14

May 14, 2015 – Press Release

Southwest and airberlin Still Tops for Rewards, but Alaska Airlines and Avianca Jump in the Rankings
IdeaWorksCompany releases results from the 6th annual Switchfly Reward Seat Availability Survey.  Value-oriented airlines dominate the top tiers of the 6th annual Switchfly Reward Seat Availability Survey. Airberlin, Southwest, and Virgin Australia have placed within the top six in every edition of the reward survey since 2010. But global network carriers Air Canada (and the Aeroplan coalition loyalty program), Lufthansa, and Singapore are now in the top 5. Once again, airberlin and Southwest share first place with outstanding 100% scores; every flight queried in the survey provided reward seats at saver-style levels.
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Swithfly Reward Seat Availability Survey Graphic

 

Mar 08

March 9, 2015 – Report

Airlines Woo Members with Wild, Weird and Wonderful Rewards
IdeaWorksCompany recently reviewed the frequent flier programs of 160 airlines around the world to gather examples of alternative rewards such as unique experiences, event tickets, and retail goods. Beyond the benefit of reducing reward liability, alternative rewards can encourage members to interact more frequently and deeply with the program. In addition, a thoughtful selection of rewards can create a personality for the frequent flier program and ultimately the airline. Does the program wish to be playful, luxurious, or socially aware? Through its review of programs worldwide, IdeaWorksCompany offers examples of 25 alternative rewards ranging from the extravagant to everyday comforts.

Feb 01

February 2, 2015 – Report

Boost Ancillary Revenue Through Empathy, Competence, and Kindness
Michael O’Leary, the CEO of Ryanair, recently admitted “If I had known being nicer to our customers was going to work so well, I would have done it years ago.” As notable as O’Leary’s epiphany is to the airline industry, it’s worth pointing out that the proven value of empathy, competency, and kindness precedes his recent directives to be nice to customers. The latest report from IdeaWorksCompany explores how airline management teams can work together for the greater good of their customers, employees, and investors.  Call it a back-to-basics mantra, but sometimes in a technology riddled world, we all can benefit from a few therapeutic reminders to reset our moral compasses. By using the inherently human qualities of empathy, competence, and kindness, the report offers advice to airline management teams to boost ancillary revenue.

Dec 01

December 1, 2014 – Report

Profit From Innovation: Ancillary Revenue Examples From Around the World
Buckle up for a global tour featuring network carriers, LCCs, and companies outside the airline industry.  IdeaWorksCompany and CarTrawler offer a global a la carte buffet from 20 companies including Aer Lingus, Amazon, American Airlines, Lufthansa, and Tune Hotels  The latest IdeaWorksCompany report reviews innovations that rely upon consumer desire for more comfort, convenience, and certainty. A la carte places consumers in control of the travel process. The companies featured in this report know that when a service provides good retail value consumers will click to buy it.

Nov 03

November 3, 2014 – Press Release

Airline ancillary revenue projected to be $49.9 billion worldwide in 2014 IdeaWorksCompany, the foremost consultancy on airline ancillary revenues, and CarTrawler, the leading provider of online car rental distribution systems, project airline ancillary revenue will reach $49.9 billion worldwide in 2014.  The CarTrawler Worldwide Estimate of Ancillary Revenue represents a massive increase of 121% from the 2010 figure of $22.6 billion.  Earlier this year, CarTrawler and IdeaWorksCompany reported the ancillary revenue disclosed by 59 airlines for 2013. These statistics were applied to a larger list of 180 airlines to provide a truly global projection of ancillary revenue activity by the world’s airlines in 2014.
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Worldwide Estimate of Ancillary Revenue GRAPHIC

Sep 15

September 15, 2014 – Report

Revenue-Based Accrual as the New World Order
The latest IdeaWorksCompany report reviews how the frequent flier business is positioned for change due to moves made by key players and their desire to revolutionize accrual methods. For many fliers, gone forever as of 01 January 2015 is the notion an economy class fare accrues miles on the basis of distance flown. Instead, the almighty US dollar will determine the miles posted to member accounts.  “Revenue-Based Accrual as the New World Order” was released today as a free 15-page report and is available at the link above.  The 2014 Loyalty Marketing Report series is sponsored by Switchfly, a global technology company that powers travel commerce and loyalty redemption solutions for leading travel, financial services and ecommerce brands.

Jul 16

July 16, 2014 – Press Release

2013 Airline Ancillary Revenue Lifts to $31.5 Billion – Up Nearly 1200% Since 2007
The annual CarTrawler survey of global airline ancillary revenue shows growth to $31.5 billion for 2013 ─ an increase of 1200 percent since the first such survey in 2007. IdeaWorksCompany researched the financial filings made by 114 airlines all over the world, 59 of which disclose ancillary revenue activity, to reveal that ancillary revenue reported by airlines reached $16 per passenger in 2013, easily surpassing global figures for profit per passenger. This press release describes highlights from this research and a top 10 list of best performing carriers in three categories.
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CarTrawler Survey of Airline Ancillary Revenue GRAPHIC

 

May 08

May 8, 2014 – Press Release

Southwest, airberlin, Virgin Australia Still Tops For Rewards, But Delta and Turkish Airlines Make Big Leaps Upward
Value-oriented airlines dominate the results in the 5th annual Switchfly Reward Seat Availability Survey. Airberlin, Southwest, and Virgin Australia have placed within the top six slots for every edition of the reward survey since 2010. For 2014 airberlin and Southwest share first place with outstanding 100% scores; every flight queried in the survey provided reward seats at saver-style levels. The 25 carriers in the survey remained the same as 2013, except China Southern replaced AirTran as the latter continues to be absorbed by its parent Southwest Airlines.
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Switchfly Reward Seat Availability Survey GRAPHIC