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.
Apr 01

April 1, 2014 – Report

Top 10 Things You Need to Know about Ancillary Revenue
After 10 years, a new business model has transformed the world’s biggest industry.  The business upheaval that began in the air travel industry a decade ago has now grown to span the globe, has brought economic vitality back to the world’s airlines, enabled the worldwide boom in low-cost travel, and granted consumers the gift of choice.  The report identifies many key elements of this phenomenon, including:  baggage charges, branded fares, subscription programs, high value customers, transparent pricing, and frequent flier program revenue.

Apr 01

April 1, 2014 – Press Release

Baggage, Branded Fares and Big Revenue: Top 10 things to know about ancillary revenue
The business upheaval that began in the air travel industry a decade ago has now grown to span the globe, has brought economic vitality back to the world’s airlines, enabled the worldwide boom in low-cost travel, and granted consumers the gift of choice.  And the ancillary revenue revolution is spreading its ideas and impacts from air travel into companion industries such as lodging, cruising, car rental, credit cards, dining and more.  Top 10 Things You Need to Know about Ancillary Revenue, the newest report from CarTrawler and the IdeaWorksCompany, describes the depth and breadth of this phenomenon, which has transformed the world’s largest industry.

Mar 04

March 4, 2014 – Press Release

Points, Pillows and Porsches: Hotel and Car Rewards at the Top 30 Airlines
Whether intentional or not, every frequent flier program creates a brand image in the minds of its members.  Some airlines take an approach that provides the bare troika of essentials:  reward tickets, partner airline tickets, and upgrade rewards.  Fortunately for consumers, more of the world’s top airlines choose a more robust retail approach by adding a global selection of hotel and car rental rewards.  Of the top 30 airlines assessed by IdeaWorksCompany, the majority provide more reward options with the likely objective being to make their programs more attractive to customers.

 

Mar 04

March 4, 2014 – Report

Points, Pillows and Porsches: Hotel and Car Rewards at the Top 30 Airlines
It’s no surprise the largest loyalty programs – American AAdvantage, Delta SkyMiles, and United MileagePlus – offer car rental and hotel rewards.  The biggest surprise is posed by the high profile global carriers that don’t, such as Air China, Turkish Airways, and US Airways.  Reward activity, survey results, and the prevalence of broad-spectrum rewards indicate they have become a “must have” amenity for frequent flier programs wishing to compete on a global scale.  The report describes how better airline brands engage their top customers in a deeper relationship by going far beyond a basic selection of reward tickets and upgrade rewards.

Feb 04

February 4, 2014 – Report

VIP for a Fee: Airport Services Designed for High Value Customers
VIP treatment, such as early boarding, bonus miles, fast track screening, and first class upgrades, has proven to produce the revenue payback eagerly desired by airline management.  The eleven airlines reviewed in this report (Air Asia, Air France, American, Delta, Emirates, Etihad, Hawaiian, LOT Polish, Lufthansa, Qatar, and Virgin Atlantic) provide personalized one-on-one airport service that often stretches from curbside to the aircraft door.  The report describes how these airlines allow consumers to buy the package of goodies once reserved for travelers having gold and platinum status.

Feb 04

February 4, 2014 – Press Release

VIP for a Fee: Eleven Airlines Now Sell Airport Services Designed for High Value Customers
At the highest level of service and status, airlines will meet and greet passengers at the curb, provide private screening, and whisk them to planeside in a sedan car on the ramp.  This level of service eludes most elite-status travelers but is now within the grasp of anyone with the swipe of a credit card.  The latest report from IdeaWorksCompany reviews how airlines all over the world now sell extra pampering to passengers for a profit.  VIP treatment, such as early boarding, bonus miles, fast track screening, and first class upgrades, has proven to produce the revenue payback eagerly desired by airline management.

Oct 29

October 29, 2013 – Press Release

Airline ancillary revenue projected to reach $42.6 billion worldwide in 2013
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 $42.6 billion worldwide in 2013. The CarTrawler Worldwide Estimate of Ancillary Revenue represents a massive increase of 89% from the 2010 estimate of $22.6 billion.  The CarTrawler Worldwide Estimate of Ancillary Revenue marks the fourth year IdeaWorksCompany has prepared a projection of global ancillary revenue activity, and is the first year that CarTrawler’s sponsorship of this forecast includes a series of ancillary revenue reports.

Oct 18

October 18, 2013 – Press Release

IdeaWorksCompany Creates New Master Classes Designed to Boost Revenue and Profits
Roster of presentations grows to 16 with addition of 7 sessions including a la carte products, fare families and reward management.  Master Class Workshops kick-start the ancillary revenue revolution within any airline by educating and engaging all stakeholders, such as finance, sales, operations, marketing, and revenue management personnel, in a forum led by one of the industry’s leading experts.

Oct 08

October 8, 2013 – Report

Economy Class Meals Get an a la Carte Upgrade
Air France, Austrian, Condor, Hawaiian, KLM, and US Airways hope customers will forego free and pay for better food.  Consumers and pundits might be surprised, but many managers at traditional airlines don’t embrace the zen of frugal inflight fare.  It’s more glamorous (and easier) to provide fine dining free of charge.  But it’s economically infeasible.  The latest report from IdeaWorksCompany analyzes the efforts by six airlines to create a positive perception of their economy class product by selling upgraded meals and generating some ancillary revenue at the same time.