Everything carries a price in this business climate
Efforts by airlines around the world to increase revenue apart from ticket prices have grown almost tenfold since 2008 to $22.6 billion, according to a new study by IdeaWorks Co., a Wisconsin-based industry consultant.
The latest from IdeaWorksCompany.
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Your Checked Luggage Is Saving the Airline Industry
Over the years, the airline industry has been plagued by financial troubles. Most of the major U.S. carriers have had to declare bankruptcy at least once during their histories, and costs like high fuel prices present a constant challenge.
Airline Passenger Experience
Going the Extra Mile
Consultancy IdeaWorks estimates that United Airlines recorded USD three billion in revenue from its frequent-flyer programme during 2010, while Delta Air Lines enjoyed USD 1.6 billion in revenue derived from its SkyMiles loyalty programme. Magazine Information: Article copyright 2012, APEX. All rights reserved. APEX Editor’s Blog at blog.apex.aero. You can read the APEX magazines online at blog.apex.aero/emagazines/
Frequent flyer seats — still a mixed bag
“Shower them with miles; starve them for seats.” Although I first ascribed that mantra to the big airlines last year, it has actually improved a bit — at least for some airlines, in some cases. IdeaWorks recently released its third annual report on the availability of frequent-flyer seats, and a few lines made some marked improvements over last year.
Economista (in Spanish)
Aumentan un 66% en dos años los ingresos por servicios complementarios de las aerolíneas
Un estudio de IdeaWorksCompany, patrocinado por Amadeus, revela que United, Delta, American y Qantas son las aerolíneas líderes en ingresos por servicios complementarios en 2011 y 2010. En el ejercicio de 2011 los ingresos de las compañías por este concepto ascendieron a 18.230 millones de euros.
New York Times
Fees on Top of Fees Obscure Cost of Flying
Globally, airlines last year raised $22.1 billion in such revenue, according to the report by IdeaWorksCompany, an airline revenue consultant, and Amadeus, a worldwide reservations transaction company. That is a jump of 66 percent in just two years.
International Business Times
Airlines Reap $22.6 Billion In Ancillary Revenues
Ancillary revenue grew to $22.6 billion in 2011, a rise of 66 percent in two years. This is according to a new report commissioned by leading travel technology partner Amadeus and carried out by IdeaWorksCompany. The survey looked at ancillary revenue activity for 108 airlines around the world — 50 of which disclose ancillary revenue activity — to identify growth patterns.
Travelers Face More Airline Fees and Higher Costs
Airline passengers can expect more ancillary fees and higher costs as airlines worldwide seek to expand ancillary revenues. A new study by Amadeus and IdeaWorksCompany reports that ancillary fees by airlines grew to $22.6 billion in 2011, which represents a 66 percent increase in two years. United Continental, Delta, American and Qantas are the top ancillary revenue carriers for 2011 and 2010, the report notes.
Ancillaries. €18 billion and counting.
AIRLINES earned €18.23 billion ($22.6 billion) in ancillary revenues in 2011, a 66% increase on 2009. Analysis by IdeaWorks, a consulting organisation, and Amadeus, a company that provides technology to the travel industry, of the 50 airlines that disclose ancillary earnings (three more than last year) highlights the profound importance of ancillaries to an industry that often struggles to make profits. Several carriers earned over 20% of total revenues from these add-on charges in 2011, and several earned over €30 per passenger.