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Panel: Ancillary Value Proposition

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Ancillary revenues grew to an estimated $36 billion in 2012 representing just over 5% of revenues. US majors are now generating 10-12% of their revenues from ancillaries compared to 20% by some airlines and 3% for the average network airlines. In the U.S. the majority of ancillary revenue comes from the sale of FFP miles, onboard services and baggage, products that are much less developed in other markets. 

The panel discussed the economics of ancillaries and how they have evolved. It will also consider customer response to ancillaries and discuss the barriers to selling theses products, including the threat of intervention by regulators into this evolving marketplace.

Listen to the recording of this panel

 Panel Discussion  Panel Discussion: The Ancillary value proposition

 

Doug Lavin, IATA  Moderator: Doug Lavin  
Regional Vice President
North America
IATA
John Dabkowski, Navitaire    John Dabkowski
Managing Director
Navitaire
 
Jim Davidson  Jim Davidson
President & CEO
Farelogix
 Calin Rovinescu, Air Canada Calin Rovinescu
President & CEO
Air Canada
 
John Thomas John Thomas
Vice President
L.E.K Consulting
Linda Basson, ITMSA  Linda Basson
Chairman 
ITMSA

 

       
Airbus Airports Company South Africa ARC BOC Aviation
       
Boeing Bombardier CAE Changi
       
CFM DIIO GE LEK
       
MRJ MTU Narita Panasonic
       
Pratt & Whitney Seabury SITA South African Airways
       

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