News & Research

The latest from IdeaWorksCompany.

Listed below are the most recent posts to the website.  Click on any item (in blue font) to access our latest reports, press releases, and news items.  Or use the menu to the right to browse the library of reports, articles featuring IdeaWorksCompany research, and archive of press releases.
Dec 02

December 2, 2016

Airlines to charge for food, seats and other facilities to up ancillary income
The Star, Malaysia
EMIRATES, the world’s largest airline by international passenger traffic in 2015 which saw a 75% drop in profit for the six months to September this year, is now charging a seat assignment fee for its lowest price fares.  Come Jan 11, British Airways will start charging for snacks and drinks for its European flights on economy class, complimentary now, on short-haul flights defined as five hours or less.  This is part of the plan to grow ancillary income, which is non-ticket sources such as baggage fees, on-board food and services, seating, selling frequent flier miles to parties and even early boarding.  A recent report by ancillary revenue consultancy, IdeaWorks, and online car rental booking company, CarTrawler, predicts that ancillary incomes will reach US$67.4bil this year. This is a 200% increase from US$22.6bil in 2010. It based its projections on the ancillary revenue activity of 178 global airlines.

Dec 01

December 1, 2016

Airlines expected to rake in $US67.4b globally from extra lucrative services
National Business Review – New Zealand
The amount airlines make from charging travellers for extras such as in-flight food and drink or selecting a seat with more leg room, is forecast to rise by 13.8% this year to $US67.4 billion.  The projection, from airline ancillary revenue consultancy IdeaWorks and online car rental booking company CarTrawler, covers 178 airlines. They predict the additional lucrative income airlines worldwide make from travellers has risen nearly 200% since 2010 and now accounts for an estimated 9.1% of airline revenue globally.

Nov 29

November 29, 2016 – Press Release

Airline ancillary revenue projected to be $67.4 billion worldwide in 2016
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 $67.4 billion worldwide in 2016. The CarTrawler Worldwide Estimate of Ancillary Revenue represents a nearly 200% increase from the 2010 figure of $22.6 billion, which was the first year for the ancillary revenue estimate.  The CarTrawler Worldwide Estimate of Ancillary Revenue marks the seventh year IdeaWorksCompany has prepared a projection of ancillary revenue activity.
Click here for an infographic summary (JPG file) of key findings.

Nov 13

November 13, 2016

Airline Industry Q&A: Jay Sorensen of IdeaWorksCompany
TravelAge West
Spotlight 2017: Jay Sorensen, an expert in the airline and aviation trends, shares what we can expect for the industry next year.  To find out more about what’s on the horizon for the airline industry, we spoke with Jay Sorensen, who closely monitors market trends and is president of IdeaWorksCompany, a consulting firm that specializes in the airline and aviation industries.

Nov 07

November 8, 2016 – Press Release

Top 2016 Merchandising Innovations to Delight Air Travelers and Boost Profits
The most retail-savvy airlines are in continuous pursuit of what works and discarding what no longer sells. Adding to this vortex, and to the blurring of traditional methods, is the expansion of mobile technology, metasearch sites, direct connect, and enhanced GDS capabilities.  The latest report from IdeaWorksCompany provides a wide variety of examples − covering traditional airlines, low cost carriers, and suppliers from all over the world – to demonstrate unique methods that generate more revenue from the sale of tickets and ancillary revenue activities:

Nov 07

November 8, 2016 – Report

Top Merchandising Innovations to Delight Air Travelers and Boost Profits
IdeaWorksCompany explores how American, AnadoluJet, Eurowings, Jazeera, Virgin Atlantic,
and other airlines are becoming better retailers.  The latest report from IdeaWorksCompany provides a wide variety of examples − covering traditional airlines, low cost carriers, and suppliers from all over the world – to demonstrate unique methods that generate more revenue from the sale of tickets and ancillary revenue activities.

Oct 11

October 11, 2016

Innovaciones en comercialización para viajeros aéreos y potenciar beneficios
Expreso – Spain
English headline translation: Innovations in marketing for air travelers and enhance benefits.  El último informe de IdeaWorksCompany proporciona varios ejemplos, que cubren tanto las aerolíneas tradicionales y las compañías aéreas de bajo coste como los proveedores en todo el mundo, para demostrar los métodos únicos que generan más ingresos a partir de la venta de billetes de avión y actividades generadoras de ingresos por servicios complementarios

Oct 05

October 5, 2016

The Best and Worst Hotels for Cashing in Rewards Points
The Wall Street Journal
The top performer in a new comparison of hotel loyalty program payback is Wyndham Hotel Group, which revamped its Wyndham Rewards loyalty program 18 months ago to make it a lot more beneficial to travelers. Consulting firm IdeaWorks, which specializes in loyalty programs, compared earning and burning points at six different hotel chains and found average payback at Wyndham is nearly 14%. For every $100 you spend at Wyndham, Ramada, Days Inn, Wingate and other hotels, you can get back $13.60 worth of stays on points.

Oct 05

October 5, 2016 – Press Release

Switchfly Hotel Reward Payback Survey
IdeaWorksCompany releases results from the second annual Switchfly Hotel Reward Payback Survey, which now includes 6 global programs.  During August 2016, IdeaWorksCompany conducted 1,305 reward queries for key hotel brands in six global frequent guest programs:  Choice Privileges, Hilton HHonors, IHG Rewards, Marriott Rewards, Starwood SPG, and Wyndham Rewards.  For example, Wyndham Rewards returns an average of 13.6% from room night spending as reward stay value.  That’s a 143% higher return than the reward value provided by Starwood SPG, which was ranked last among the six hotel loyalty programs at 5.6% for reward payback.
Click here for an infographic summary (JPG file) of key findings.