In one sense, the travel industry is built to serve its investors by delivering profits. A more balanced approach would have airlines, hotels, car rental firms and more seeking to well serve investors, employees, and customers. The industry has been inconsistent – but it need not be. “This report is offered to those working in […]
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Radio Canada According to data compiled by IdeaWorksCompany, 56.4% of Spirit Airlines ‘ revenue came from ancillary fees in 2023, making it the global leader. Alberta-based Flair follows a few ranks below, earning 40% of its revenue from surcharges it charges for things like baggage and seat selection. “The introduction of ancillary fees has been a
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Low Cost Meets Loyalty was issued today as a 15-page report to analyze the FFPs of these ten airlines: Air Arabia, AirAsia, Azul, Frontier, GOL, IndiGo, JetBlue, Pegasus, Viva Aerobus, and Vueling. Decades ago airline executives predicted “low cost” and “loyalty” were an impossible combination. But today, loyalty is now firmly embraced by LCCs.
Low Cost Carriers Surrender to FFP Popularity – Press Release Read More »
CarTrawler sponsored report reveals how ten top LCCs have embraced full-feature loyalty programs with partner networks, elite tiers, and co-branded credit cards. Low Cost Meets Loyalty was issued today as a 15-page report to analyze the FFPs of these ten airlines: Air Arabia, AirAsia, Azul, Frontier, GOL, IndiGo, JetBlue, Pegasus, Viva Aerobus, and Vueling. Decades ago
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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
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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
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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Skift Another reason airlines are increasing bag fees may be to boost sign ups for their loyalty programs and co-branded credit cards. For example, United said travelers that own a United Chase credit card or are members of its MileagePlus program will still be able to check in a bag for free. American said AAdvantage
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Forbes A recent study by ancillary revenue specialists IdeaWorks reveals airlines earned $117.9 billion from extras, including onboard sales, baggage charges, seat selections, and loyalty programs last year. Airline revenue from baggage fees surged to $33 billion. This is a significant 15% increase over the $29 billion airlines earned from bags in 2022 and exceeds
Airlines Make Whopping $33 Billion On Bags, See Where They Fly Free Read More »
Skift “One thing that has strongly survived the pandemic is the airlines’ ability to generate cash from co-brand programs,” said Jay Sorensen, president of Milwaukee-based IdeaWorks, a travel brand consultant. “I think you’re seeing some airlines behave in a way that reflects that area of relative success.” “(The value of the programs) is based on the
Airlines Find New Ways to Leverage Loyalty Programs for a Post-Pandemic Era Read More »