Reports

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.

December 1, 2014 – Report

December 1, 2014

Profit From Innovation: Ancillary Revenue Examples From Around the World
Buckle up for a global tour featuring network carriers, LCCs, and companies outside the airline industry.  IdeaWorksCompany and CarTrawler offer a global a la carte buffet from 20 companies including Aer Lingus, Amazon, American Airlines, Lufthansa, and Tune Hotels  The latest IdeaWorksCompany report reviews innovations that rely upon consumer desire for more comfort, convenience, and certainty. A la carte places consumers in control of the travel process. The companies featured in this report know that when a service provides good retail value consumers will click to buy it.

September 15, 2014 – Report

September 15, 2014

Revenue-Based Accrual as the New World Order
The latest IdeaWorksCompany report reviews how the frequent flier business is positioned for change due to moves made by key players and their desire to revolutionize accrual methods. For many fliers, gone forever as of 01 January 2015 is the notion an economy class fare accrues miles on the basis of distance flown. Instead, the almighty US dollar will determine the miles posted to member accounts.  “Revenue-Based Accrual as the New World Order” was released today as a free 15-page report and is available at the link above.  The 2014 Loyalty Marketing Report series is sponsored by Switchfly, a global technology company that powers travel commerce and loyalty redemption solutions for leading travel, financial services and ecommerce brands.

April 1, 2014 – Report

April 1, 2014

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.

March 4, 2014 – Report

March 4, 2014

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.

February 4, 2014 – Report

February 4, 2014

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.

October 8, 2013 – Report

October 8, 2013

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.

July 30, 2013 – Report

July 29, 2013

Premium Class Rewards Provide Best Value for Frequent Flier Members
One of the recurring debates about the booming loyalty marketing industry is whether rewards provide notable value . . . and which rewards are the most valuable.  To answer this, IdeaWorksCompany conducted booking research using United’s MileagePlus program (largest in the world) to determine which rewards provide members the greatest dollar value.  The answer was clear:  Booking first class travel to Hawaii, Europe or Asia provides best value for redeeming frequent flier miles.

July 8, 2013 – Report

July 8, 2013

Bag Fees Sprout this Spring in Asia, Europe, and America
The latest report from IdeaWorksCompany describes how the pace is quickening in 2013 for a la carte fees and optional extras to become an everyday component of airline pricing.  The Government of India has approved a la carte pricing; Air France, British Airways, and KLM introduced bag charges for intra-Europe flights; and a third US airline has added the controversial fee for carry-on bags.

April 3, 2013 – Report

April 2, 2013

Choice and Creativity.
Carriers Build Ancillary Revenue by Empowering a Consumer’s Right to Choose.  Air New Zealand, Air Canada, and Wizz Air use three contrasting retail methods that can boost revenue more than 20%.  IdeaWorksCompany reveals how the ancillary revenue revolution is focusing less on product development and more on retail methods.

February 18, 2013 – Report

February 18, 2013

Card-Carrying Generosity.
IdeaWorksCompany reviewed the credit cards offered by the five largest US airlines, such as American and United, and compared these to the independent travel reward cards offered by banks such as Chase and Citi.  This report finds American Express, Barclays, Chase, Citibank and Southwest are most rewarding, while American, Delta, US Airways, and United cards offer travel perks but higher reward thresholds.

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