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 current and archived reports, articles featuring IdeaWorksCompany research, and current and archived press releases.
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.

Sep 20

September 20, 2016

US airlines lead in driving ancillary revenue
Travel Weekly UK
A total of $40.5 billion was made in ancillary revenue, comprising 8.7% of total sales, by 67 airlines covered in a new survey.  Revenue from ancillaries delivered $6.2 billion for United Airlines, represented 36.4% of sales for Wizz Air, and $51.80 per passenger carried by Spirit Airlines in the US.  The study covers airlines that disclosed revenue in 2015 financial filings from activities such as frequent flier miles sold to partners, fees for checked bags, and commissions from car rentals.

Sep 19

September 20, 2016 – Press Release

New CarTrawler Ancillary Revenue Yearbook Catalogs $40.5 Billion in Revenue Boosts for 67 Airlines
“A billion here, a billion there − pretty soon you’re talking real money,” American politician Everett Dirksen once said. That’s precisely the case in the 2016 edition of the CarTrawler Ancillary Revenue Yearbook by IdeaWorksCompany, which reveals a total of $40.5 billion in ancillary revenue, comprising 8.7% of total sales, for 67 airlines covered by the survey.  IdeaWorksCompany researched financial filings made by 135 airlines all over the world, discovering 67 which disclosed qualifying revenue activity − four more airlines than in the 2015 Yearbook. Now available free online, the 105-page, 2016 Yearbook provides a detailed global review of a proven revenue source that delivers a whopping $6.2 billion for United Airlines, 36.4% of sales for Wizz Air, and $51.80 per passenger carried by Spirit Airlines.

Sep 03

September 3, 2016

Domestic Airlines add tailwind to ancillary business
The Business Standard – India
According to a survey by US-based consultancy firm IdeaWorks Company, airlines globally earned $26 billion in ancillary revenue in 2015 with US carriers United, American and Delta topping the list. According to the survey, US-based low-cost airline Spirit earned about 43.4 percent of all its revenue from ancillary sources, followed by Allegiant Air and Wizz Air, which earned 37.6 percent and 36.4 percent, respectively, of their revenue from ancillary sources

 

Aug 30

August 30, 2016

Airfare price revolution
The West Australian
In its first annual report on the subject, Ideaworks in 2008 estimated airlines around the world were charging an estimated $US13.5 billion a year in ancillary extras.  By 2015, that figure had soared to $US59.2 billion, a rise of nearly 450 per cent, with the figure still increasing by around 20 per cent a year. But now, with the oil price below $US50 a barrel, there’s no going back to the old system of inclusive fares. Airlines have sold a la carte pricing to their customers as increasing choice and, in America, customers have responded by awarding airlines with the highest ancillary revenue rates the highest profitability and growth.