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Airline Ancillary Revenue
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Webinar on Airline Ancillary Revenue
Using Ancillary Revenue to enhance the customer experience
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Originally aired 2 June 2009
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" Very professional and of great value!" - Gary Parker, Revenue Manager, Air Canada
Ancillary Revenue is entering a critical inflection point. Specifically it is expanding from a world of "fees and unbundling" to encompass new revenue streams that actually create choice, improve customer experience/satisfaction and potentially help differentiate airline brands.
This 60-minute free webinar intends to explore all aspects of ancillary revenue, and gives you the possibility to dialog in direct with Airline Ancillary Revenue experts !
Date and Location
02 June, 2009
Event designed for:
All Audiences
Moderator:
- Aaron Karp, Senior Editor, Air Transport World
Speakers:
- Rick Hunger, Global Aviation Consulting, IATA
- Dan McKone, Vice President, L.E.K. Consulting
- John Thomas, Vice President, L.E.K. Consulting
Some Ancillary Revenue Facts:
- American Airlines generated ancillary revenue of USD$2.1 billion in 2008
- EasyJet earning £77m or an extra £3.81 per seat
- Increase in web direct bookings across all suppliers
- Ryanair generating £221m in ancillary revenue
- LCCs aiming for ancillary revenues of 10-20%
- Air Asia's ancillary revenue grew by 77% allowing fares to go down 2%
- Virgin Blue's ancillary revenue equivalent to yearly operating costs of 4 planes
Ancillary Revenue projects tend to have enormous ROI and rapid payback
- The ROI for these projects is extraordinarily high:
- the margins tend to be much higher than traditional airline norms
- once the investment is made, it is possible to capture significant
uptake quickly
- Airlines which haven't yet taken advantage of ancillary revenue generation opportunities stand to benefit disproportionately from the “trail-blazing” of the first airlines which pioneered ancillary revenue generation; copycatting within a customized framework leads to enormous ROI