Download e-book: 7 ways to maximise ancillary revenue

How can you maximise ancillary revenue and still maintain competitive advantage?

We posed this question to the aviation executive who will be attending the World Low Cost Airlines Congress this year. They had some pretty interesting ideas to contribute, such as this taster from Dalmatian.hr Chief Executive Željko Romić:

If Amsterdam airport can sell cars duty free, why can’t airlines do the same?

As airline networks grow, so too will their market for ancillary revenues. On-board shopping malls will become more evident in the future to allow customers to purchase and pre-purchase goods at home on the Internet. If Amsterdam airport can sell cars duty free, why can’t airlines do the same? It’s a matter of time before airlines begin to expand their ancillary revenues beyond the baggage and candy bar currently offered on all airlines. With these developments the airlines will be developing full retail services offering candy bars to cars to home furniture competing with local mega retail establishments or joining forces with existing retailers. Airlines offering cargo services eventually secure further sales delivering the products bought by consumers whether they fly the airline or not.
A foray into this area will eventually begin a price war initially with mail-order catalogue retailers first with a possible outcome being partnerships and joint ventures with large retailer brands joining forces with selected airlines. Well known franchise brands also can be tapped into improving the on-board meal and snack offerings as passengers consume the products of these brands on a daily basis. I can see airlines purchasing franchise rights for particular regions and offering the products to their passengers as a franchisee of the brand, it would surely make life easier to sell products of a preferred brand.

We’ve compiled their responses into an e-book, you can download it for free here to get more insight from Spring Airlines, Monarch, Jazeera and more!

Where do you think the future lies for airlines ancillaries?