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January 20, 2010
US Airlines Will Generate Millions from Higher Baggage Fees
Despite consumer gripes, fee hikes still bring in more revenue. IdeaWorks estimates American, Delta, Continental, United, and US Airways will realize annual baggage fee revenue of $1.76 billion. |
December 15, 2009
Curiouser and Curiouser: the Wonderland of Changes Wrought by BA
Has British Airways fallen into a rabbit hole or embarked on an adventure of change?
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October 14, 2009
Delta, Alaska Airlines, and Aeroplan Create Solutions for the Reward Availability Problem
Innovation and accountability are key factors in addressing an issue that many consumers complain about and many airline executives prefer to ignore. |
March 24, 2009
Today’s Cash-Strapped Consumers Demand More - Low Cost Long Haul Flights and Cheap Hotels in Major Cities
IdeaWorks describes why AirAsia X and easyHotel have the right product at the right time, and how airlines and hotels can thrive by deploying an a la carte pricing strategy.
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December 1, 2008
More Airlines Worldwide Choosing Revenue-Based Methods
to Serve and Reward Customers
IdeaWorks predicts increased reliance upon a “pay for perks” philosophy for customer services, a la carte features, and frequent flier benefits. |
November 19, 2008
Keynote Presentation by Jay Sorensen at the Ancillary
Revenue
Airline Conference (ARAC) in Budapest, Hungary
Worldwide Review of Ancillary Revenue Innovation. What works. What didn’t work. What happens next. |
September 3, 2008
Testing Consumer Patience - Airline Executives Predict More Fees
IdeaWorks, in cooperation with Terrapinn’s upcoming World Low Cost Airlines Congress in London (www.LowCostAirlinesWorld.com), has conducted its second annual survey of airline executives on the topic of ancillary revenue and a la carte pricing.
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August 18, 2008
Frequent Flier Credit Cards Generate More Than $4 Billion for Major U.S. Airlines - A Report from IdeaWorks
Frequent flier programs were launched more than 25 years ago as a tool to identify the highest revenue-producing travelers, establish regular customer communication, and enhance brand loyalty. In today’s revenue hungry environment, airline management now places a greater demand on the profit-producing power of these programs.
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July 14, 2008
American Airlines Borrows Ryanair Fee Tactics - An Ancillary Revenue Report from IdeaWorks
American’s recent implementation of checked baggage fees, which appear to have been accepted by passengers, will likely generate annual revenue in excess of $458 million.
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February 19, 2008
Ryanair - The Godfather of Ancillary Revenue
Michael O’Leary may crystallized the concept of ancillary revenue back in 2001 when he sought to replace ticket revenue with commissions from retail activities. |
August
27, 2007
Buckle
Your Seat Belts - Airline Executives Predict More
Fees and Plan to Sell More Services via Their
Web Sites
63% of airline executives in a worldwide survey
say charging fees for services - - instead of
including benefits in the price of a ticket -
- will become more prevalent. |
July 31,
2007
The
Great Branding Debate: Is airline branding a waste
of money and do airlines really care?
Have low cost carriers, along with the rest of
the airline industry, tossed the idea of brand
building onto the scrapheap of history? Or, has
the concept of branding evolved with the growth
of the low cost carrier sector? To answer these
questions, IdeaWorks, in cooperation with airline
conference organizer Terrapinn, recently distributed
a survey on the topic of branding to airline executives
all over the globe. The survey was distributed
online and attracted participation by over 140
airline managers. |
July
25, 2007
Choice
Privileges Visa Card from Choice Hotels Offers
the Largest Payback Among Leading Budget Hotel
Companies
TripRewards MasterCard offers a good alternative
with more hotel locations and no advance reservation
restriction for hotel reward nights. |
July 25,
2007
AirTran
A+ Rewards Members Earn Free Tickets More Quickly
than Members of the Midwest Miles Frequent Flier
Program
But Midwest Miles elite members enjoy greater
benefits than elite flyers at AirTran. |
April
4, 2007
Frequent
Fliers Rank New York - Los Angeles as the Top
Market for Reward Travel in the United States
IdeaWorks releases report listing the top 15 market
choices for standard frequent flier rewards on
the mainland routes of U.S. airlines.
|
February
28, 2007
Stormy
Weather: Frequent Flier Executives Are Concerned
About Reward Availability and Other Consumer Issues
In a recent survey of frequent flier program management,
66% recognize seat availability is “too
limited” at the lowest reward level. |
December
13, 2006
Viva
Las Vegas and the King of Ancillary Revenues
Allegiant Air’s recent stock prospectus
reveals it is changing the business model for
US low cost carriers. |
| October
10, 2006
Europe’s
Top 4 Low Cost Carriers Generated 470 Million
Euros (US$593 Million) From Non-Ticket Sources
in 2005
But U.S. frequent flier programs produced revenues
estimated at 2.5 billion Euros
(more than US$3 billion) and better per passenger
results.
|
July
20, 2006
Low
Cost Airlines Launch a New Batch of Frequent Flier
Programs All Over the Globe
Free travel benefits are now offered by eight
new entrant airlines: Eos Airlines, Germanwings,
go!, Kingfisher Airlines, MAXjet Airways, Spirit
Airlines, Virgin Blue Airlines, and Virgin Express.
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| May 22,
2006
Frequent
Fliers Reach New Heights with More Than 15 Million
Reward Trips
During 2005
Balance sheet liability for unused miles also
increases for the top frequent flier programs
to a record $3.8 billion.
|
May
11, 2006
Frequent
Flier Miles Gain Value But Redemption Remains
a Consumer Complaint
Mileage Value Index for jumps in 2005, reward
issues continue to plague consumers and United
Airlines offers an alternative to credit card
miles. |
January 19,
2006
The
IdeaWorks Report on Innovative Reward Alternatives
for the World’s Largest Airlines
Airlines in Asia, Europe and the United States
offer hotel stays, car rentals, vacation packages
and merchandise as alternatives to air travel
rewards.
|
October
24, 2005
The
IdeaWorks Report on Partnerships for the Top 15
U.S. Frequent Guest Programs
Marriott Rewards and InterContinental’s
Priority Club compare favorably to major frequent
flier programs such as United Mileage Plus and
Delta SkyMiles for total partner opportunities.
|
August 22,
2005
The
IdeaWorks Report on Frequent Flier Partnerships
for the World’s Top 20 Low Fare Carriers
This report describes activities in the following
partner categories: airline alliances, hotels,
rent-a-car, personal finance, communications,
retailers and credit cards. |
May
18, 2005
United
Airlines Shutdown Would Impact 45 Million Mileage
Plus Members and 145 Partner Brands - Industry
Analysis from IdeaWorks
Potential strike by employee groups would affect
United’s frequent flier program, which now
generates 5% of annual operating revenues for
the airline.
|
April 25,
2005
U.S.
Airline Frequent Flier Reward Liability Grew More
Than $378 Million in 2004 - Industry Analysis
from IdeaWorks
Comparison of U.S. based carriers reveals total
liability now exceeds $3.8 billion, representing
a 10.8% increase over 2003. |
April
20, 2005
Frequent
Fliers Had Their Wings Clipped During 2004 With
314,000 Fewer Reward Tickets - Industry Analysis
from IdeaWorks
Analysis of top U.S. airlines reveals frequent
flier reward travel dropped during a period of
increased capacity and record breaking load factors.
|
April 5,
2005
European
Travelers Get the Point: Low Cost Carriers Add
Frequent Flier Benefits - Industry Analysis from
IdeaWorks
Among Europe’s top 25 low cost carriers,
Aer Lingus, Air Berlin, Air Europa, Condor, flybe,
Hapag-Lloyd, LTU and Monarch offer frequent flier
programs. |
February
16, 2005
The
Fall of Frequent Flier Mileage Values in the U.S.
Market - Industry Analysis from IdeaWorks
Mileage buying power is weakest for the programs
offered by American, Continental, Delta and United.
|
December
27, 2004
Troubled
Airline Industry Returns to Innovative Marketing
Programs during 2004
Airlines embrace innovation by adding programs
to attract more customers, gain market share and
boost revenues.
|
December
3, 2004
Powder
and Points – Loyalty Programs Hit the Ski
Hills Industry Analysis from IdeaWorks
The ski industry embraces airline-style frequent
customer programs at 11 of the 20 largest U.S.
ski areas.
|
September
21, 2004
Airline
Bankruptcy: Its Impact on Frequent Fliers, Award
Tickets and Mileage
The report reviews the filings of United Airlines
and US Airways to illustrate how bankruptcy affects
frequent flier program members.
|
September
8, 2004
Hotel
Loyalty Programs and No-Annual-Fee Credit Cards
Co-branded card offers from major hotel chains
offer points that can be exchanged for free room
nights and even airline miles. |
August 25,
2004
No-Annual
Fee Credit Cards in the Airline Industry
Co-branded card offers from American, Delta and
United are not easily found and are not promoted
alongside their fee-based credit cards.
|
July
29, 2004
Hotel
Loyalty Programs Deliver Awards With Fewer Strings
Attached
Programs offered by the 15 largest U.S-based hotel
chains compare quite favorably to the frequent
flyer programs of major U.S. airlines. In fact,
they are overall easier to use than airline reward
programs. |
May 26, 2004
Delta
SkyMiles Judged Best Frequent Traveler Program
For Shuttle Passengers in the Northeast Corridor
IdeaWorks compares the frequent traveler programs
available to Delta Shuttle, US Airways Shuttle
and Amtrak Acela passengers. |
April
5, 2004
Frequent
Flyer Award Liabilities Estimated to Exceed $3.2
Billion for U.S. Airlines
Comparison of U.S.-based carriers also reveals
more than 21% of frequent flyer miles are not
expected to be redeemed by travelers. |
March 29,
2004
More
Than 15 Million Travelers Enjoyed Award Travel
on U.S. Airlines During 2003
Comparison of U.S.-based carriers also reveals
nearly 8% of passengers on an average flight traveled
using frequent flyer awards. |
March
15, 2004
Growing
Number of Low-Fare Airlines Offering Frequent
Flyer Programs
Comparison of twelve U.S.-based low-cost carriers
indicates the largest five provide frequent flyer
programs to their passengers. |