Top-performing LCCs gain 13.1% on a per passenger basis, but traditional airlines drop 4.3% in the 2024 CarTrawler Yearbook of Ancillary Revenue. The 2024 edition of the CarTrawler Yearbook of Ancillary Revenue by IdeaWorksCompany, released today, describes ancillary revenue activities and results for 68 airlines in 2023, revealing divergences in trends and providing an assessment […]
The 2024 edition of the CarTrawler Yearbook of Ancillary Revenue by IdeaWorksCompany describes ancillary revenue activities and results for 68 airlines in 2023, revealing divergences in trends and providing an assessment of the industry as a whole. Here’s a guide to key features of the 2024 edition: • 68 pages of individual airline listings arranged by
2024 CarTrawler Yearbook of Ancillary Revenue – Report Read More »
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
Southwest’s free checked bag policy was just put into question Read More »
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
Driving growth with airline ancillaries Read More »
Crain’s Chicago Business Traditionally, advertising hasn’t been much of a focus for airlines, says Jay Sorensen, president of IdeaWorks, a consulting from outside Milwaukee that tracks ancillary revenue. “Every once in a while, I’ll come across a carrier making a big push on this,” he says. “They tend to come and go. It’s not an
United is making a digital-advertising push Read More »
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
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
Airport Lounges Are the Hottest Ticket – Report Read More »
CBS News Jay Sorensen, president of IdeaWorks, a consultancy that has advised U.S. airlines, agrees that drip pricing makes comparing airline ticket prices more complicated. But he still thinks it can benefit consumers by letting them pay for the extras they want, while leaving behind those that aren’t important to them. “The outcome is of
How airline “drip pricing” can disguise the true cost of flying Read More »
Wall Street Journal The lowest-priced reward flight with American on average was 25% cheaper in 2024 compared with five years earlier, according to airline-consulting firm IdeaWorks. Comparatively, the price of a rewards flight, in miles or points, across all of the carriers studied rose 28% on average since 2019. The IdeaWorks analysis was based on 600
American Airlines Is Once Again Changing How Fliers Can Earn Rewards Read More »
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
