airline data

Southwest’s free checked bag policy was just put into question

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San Francisco Chronicle The research firm IdeaWorks estimated recently that airlines worldwide bring in annual baggage fee revenues totaling $33.3 billion and noted that Southwest is the sole outlier among major U.S. carriers in not charging them. Federal statistics show that in 2023, baggage revenue was $1.3 billion for American, $1.2 billion for United, and […]

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Driving growth with airline ancillaries

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Mastercard In late 2023, travel industry firms CarTrawler and The IdeaWorks Company projected that airline ancillary revenue would increase to $117.9 billion worldwide for 2023. That would represent a 275% increase over ancillary revenues in 2013, which were $31.5 billion. While ancillaries are growing overall, ancillaries per passenger ticked down in 2023 significantly. In 2024

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Buckets of Cash: Airport Lounges Are Big Business, With Delta Sky Clubs Serving More Than 30 Million Guests Annually – Press Release

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Airport Lounges Are the Hottest Ticket was issued today as an 18-page report to describe the economics of lounges and consumer fascination with these airport retreats.  The following are key findings from the report: Co-branded credit cards contribute 40% of guests for airline-operated lounges in the US, with just 5% of guests purchasing single visit

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Airport Lounges Are the Hottest Ticket – Report

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This CarTrawler sponsored report describes how lounges are a “must have” amenity for millions of travelers and for millions in airline revenues. The pandemic unleashed consumer craving for amenities to relieve the little miseries that can accompany travel today. Airport lounges have become a hugely popular answer. Today, lounge operators are the beneficiaries of hordes

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Nine Airline Companies Comprise a $30 Billion Dollar Club Courtesy of Co-Branded Credit Cards – Press Release

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Co-branded credit cards deliver wheelbarrows of money for some airlines. The latest IdeaWorksCompany report explores how this has transformed frequent flyer programs (FFPs) and contemplates the effect upon customer loyalty. Many airlines have shifted from sole reliance on behavioral loyalty, which relies upon a customer’s expectations for service and quality. Carriers now embrace transactional loyalty

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Airline Loyalty Becomes a Multi-Billion Dollar Club – Report

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CarTrawler sponsored research explores the jumbo economics of loyalty programs at Air Canada, Alaska, American, Delta, JetBlue, IAG, Qantas, Southwest, and United. Co-branded credit cards deliver wheelbarrows of money for some airlines. The latest IdeaWorksCompany report explores how this has transformed frequent flyer programs (FFPs) and contemplates the effect upon customer loyalty. Many airlines have

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There is a reason it’s costing more travel miles to get the same flight

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The Street If you recently tried to book a flight with points or frequent-flyer miles, you might have noticed that not only cash prices have jumped significantly. The “they want how much for that flight?” feeling is confirmed by data — IdeaWorksCompany, a consulting firm analyzing airline revenue, calculated that the average price of a

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It’s been harder to accumulate miles but this airline has the best reward redemption rate

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USA Today Airline reward tickets are getting more expensive. While cash fares for flights are rising slower than inflation, a new report from IdeaWorksCompany, a consultancy focusing on ancillary airline revenue, shows that reward redemptions are getting even pricier than paid-for tickets. According to the analysis, airline reward ticket prices have increased 28% on average

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Frequent Flyer Programs Deliver Lower Reward Value in the Era of Basic Economy Fares and Co-Branded Cards – Press Release

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The 2024 Reward Seat Availability Survey reviews Alaska, American, Delta, JetBlue, Southwest, and United flight rewards. The IdeaWorksCompany Reward Seat Availability Survey answers the question, “How costly is points redemption for the most popular basic reward type offered by top US airlines?” Key overall findings include: • Prices of rewards (in miles or points) has increased

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Airlines made US$33 billion from baggage fees worldwide last year, and they could make even more this year

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South China Morning Post Airlines made US$33 billion from baggage fees worldwide last year, and they could make even more this year. Last year’s estimate is up almost 15 per cent from 2022, and it’s the first time it’s crossed US$30 billion since before the pandemic. Carriers could be set to make even more this

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