Press Releases

The latest from IdeaWorksCompany.

Listed below are the most recent posts to the website.  Click on any item title or button to access our latest reports, press releases, and news items.  Or use the menu to the right to browse news, reports, articles featuring IdeaWorksCompany research, and press releases.

Airline Ancillary Revenue Nears Pre-Pandemic Level with a 56% Increase to $102.8 Billion for 2022 – Press Release

November 15, 2022

The CarTrawler global estimate reveals the “double benefit” of ancillary revenue; it provides needed income for airlines and delivers overall lower costs for consumers.  CarTrawler, the leading provider of online car rental distribution systems, and IdeaWorksCompany, the foremost consultant on ancillary revenue, project airline ancillary revenue will increase to $102.8 billion worldwide in 2022, compared to $65.8 billion in 2021 and the $109.5 billion record of 2019. The CarTrawler Worldwide Estimate of Ancillary Revenue represents an increase built upon a 2022 passenger jump, with consumer support for a la carte services and co-branded credit cards showing gains.  The ancillary revenue method represents a powerful airline retail system. The base fare will fluctuate as determined by supply and demand, while the ancillary revenue components provide a layer of stability in the topsy-turvy world of a global business.  The press release offers six consumer-oriented strategies which represent best practices for airline practitioners.  In addition, ancillary revenue data from the last 10 years is provided in two tables in the press release.

Click here to download the two graphics from the press release (free to use).

Average Ancillary Revenue per Passenger Jumps 39% Since 2019 – Press Release

September 27, 2022

The 2022 edition of the CarTrawler Yearbook of Ancillary Revenue by IdeaWorksCompany, released today, describes the 2021 ancillary revenue activities and results for 75 airlines. The gradual waning of the pandemic during 2021 – with passenger traffic improving 27.8% above 2020 – lifted ancillary revenue results for all categories of airlines, all over the world. Average ancillary revenue per passenger was $29.96 among 75 airlines disclosing results for 2021. This is an $8.42 increase from the 2019 pre-pandemic result of $21.54 per passenger, the last year that offers a relevant comparison. For the past two years, ancillary revenue has yielded amazing cashflow for airlines. Consumers benefit from a la carte products and the choice of minimum price or maximum convenience. The billions in revenue realized by the 75 airlines included in this yearbook may well represent the difference between a difficult survival or disappearance from the route map of the global airline industry. The 2022 CarTrawler Yearbook of Ancillary Revenue by IdeaWorksCompany is a free-of-charge 145-page report sponsored by CarTrawler.

Click here to download a graphic of the top 20 ancillary revenue carriers (free to use).

New Big Book of Travel Data Reveals $867 Billion in Revenue from Airlines, Hotels, Car Rental & OTAs – Press Release

August 16, 2022

Allianz Partners, a global leader in travel protection and consumer specialty insurance, and IdeaWorksCompany, the foremost consultant on ancillary revenue, have released the first edition of The Allianz Partners Big Book of Travel Data by IdeaWorksCompany.  This new publication, which expands on IdeaWorks’ former Big Book of Airline Data, provides a world of industry data for airlines, hotel groups, car rental companies, and online travel agencies, and is collated by alphabetical order, size, region, and more.  The 110-page “Big Book” is available free of charge via download at AllianzPartners.com and IdeaWorksCompany.com. The compilation of data allows for interesting comparisons; here is the list of revenue leaders in each category in 2021:

• $78 billion for OTAs: Trip.com Group (gross bookings). China-based company operates the Ctrip, Skyscanner, Trip.com, and Qunar websites.
• $39.7 billion for hotels: Marriott International (estimated room revenue).
• $29.9 billion for airlines: American Airlines (company revenue).
• $23.9 billion for car rental: Enterprise Holdings (company revenue). The company operates the Alamo, Enterprise, and National brands.

 

More Airlines Adopt Carry-On Fees – Press Release

May 24, 2022

From global network airlines to low cost carriers, baggage is the top a la carte revenue performer.  The latest report from IdeaWorksCompany describes innovations focusing on carry-ons, baggage check-in, and booking path displays.  Fees for carry-on bags are the latest development in the global quest for ancillary revenue.  Low cost carriers have always led the way here and this encouraged more and more traditional airlines to adopt fees.  The 20-page report includes better baggage business examples from these carriers:  Aer Lingus, AirAsia, Air France, American, Delta, EasyJet, Frontier, JetBlue, Jetstar, Qantas, Ryanair, Spirit, United, Volaris, and Volotea.

Global Baggage Fee Revenue Jumps to $20.9 Billion – Press Release

April 26, 2022

IdeaWorksCompany, the foremost consultancy on airline ancillary revenues, and CarTrawler, leading global B2B provider of car rental and mobility solutions to the travel industry, recently estimated ancillary revenue at $65.8 billion worldwide for 2021. This CarTrawler Global Estimate of Baggage Fee Revenue identifies baggage as a $20.9 billion component and provides a summary of baggage fee policies for 20 top airlines.  Baggage fees have become more important to airlines during the course of the pandemic. This is evidenced by bag fees’ share of global airline revenue growing from 3.7% in 2019 to 4.6% for 2021. This trend applies for the wide range of optional extras that define ancillary revenue. Look for airlines to increase revenue from these activities by expanding flexible pricing and bundled fares and better retailing through online travel agents and mobile devices.

Changes to Airline Business Travel Prompt Focus On Premium Leisure as a New Post-Pandemic Opportunity – Press Release

March 29, 2022

The recovery of business travel is complex and largely unwritten. Online meeting technology continues to march ahead, company employees are still working from home, corporations are setting carbon reductions tied to business travel, and the airline industry still struggles to find firmer footing. Innovation and resilience saved airlines during the pandemic, and these same traits will allow airlines to adapt to the changes wrought by new communication technologies and carbon emission concerns. The Pandemic, Technology, and the Environment Are Changing Airline Business Travel is sponsored by global travel tech provider CarTrawler and focuses on the new category of premium leisure travel as a market offering tremendous potential to fill the business travel gaps that may persist.

5 Ways Airlines Can Prevent Being Paralyzed by the 2022 Consumer Challenge – Press Release

March 1, 2022

CarTrawler-sponsored analysis describes how the airline industry must move past being a “deer in the headlights” and accept that the business of travel has changed.  “I remain quite optimistic for the summer of 2022,” is a quote you will likely hear from dozens of airline CEOs this winter. It’s human nature to hope for the best, and one can hardly fault a CEO for declaring brighter skies are ahead. However, the pandemic has been a painful episode of advances and withdrawals. But off camera, these CEOs should be pushing their teams to improve traveler confidence.  Advice to Airline Managers – Don’t be Paralyzed by the 2022 Consumer Challenge is sponsored by global travel tech provider CarTrawler and was released today. The report includes a chart listing the Covid era change and cancellation policies for 25 leading global network and low cost carriers.

US & Canada Airlines Register Larger Ancillary Revenue Share With More Than 37% of Global Total for 2021 – Press Release

February 8, 2022

CarTrawler sponsored research reveals better ancillary revenue results continue with 2021 3rd quarter per passenger receipts up 6.8% over the pre-pandemic year of 2019.  The US and Canada have reinforced their position as global “centers of gravity” for ancillary revenue during the pandemic. Earlier research from CarTrawler and IdeaWorksCompany showed US and Canada airlines led all regions with 33.5% of the world’s 2020 ancillary revenue dollars. Robust co-branded credit card activity, along with 2021 passenger traffic gains, brought even more ancillary revenue to US and Canada airlines, yielding a higher 37.1% global share. The Europe/Russia region was the global top performer prior to the pandemic; the region fell to the #3 position for 2021, with Asia/South Pacific moving up into the #2 position.

Click here to download the graphics from page one of the press release (free to use).

6 Ways the Airline Business Has Changed; Border Closures Pose the Greatest Risk – Press Release

November 30, 2021

The pandemic has taught us that competition does exist for the air travel spending by leisure and business travelers. Airline consumers identified alternatives during the pandemic and the best of these solutions will have staying power for the future. The Airline Industry Has Changed – Convenience and Predictability Are Missing is sponsored by global travel tech provider CarTrawler and was released today. This IdeaWorksCompany 15-page report describes how the industry has changed and provides ideas on how revenue can be increased and more traffic can be captured.  Airlines will face moments during 2022 that define whether they continue to struggle or return as robust providers of service to leisure and business travelers. The magic of surviving, and even thriving, is determined by how airlines adapt to what is new and maximize what will remain the same.

 

Airline Ancillary Revenue Begins Recovery with a 13% Increase to $65.8 Billion for 2021 – Press Release

November 9, 2021

CarTrawler, the leading provider of online car rental distribution systems, and IdeaWorksCompany, the foremost consultant on ancillary revenue, project airline ancillary revenue will increase to $65.8 billion worldwide in 2021, compared to $58.1 billion in 2020. The CarTrawler Worldwide Estimate of Ancillary Revenue represents an increase built upon 2021 passenger traffic gains, with consumer support for a la carte services and co-branded credit cards holding steady. Earlier this year, CarTrawler and IdeaWorksCompany reported the ancillary revenue disclosed by 75 airlines for 2020. These statistics were applied to a larger list of 109 airlines to provide a truly global projection of ancillary revenue activity by the world’s airlines for 2021. This marks the 12th year IdeaWorksCompany has prepared a projection of ancillary revenue activity.

Click here to download the graphics from page one and two of the press release (free to use).

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