Just You launches travel trade solo experience

Just You launches travel trade solo experience

Friday, 21 October 2016 14:00

Just You h...

Spontaneous people are happier according to Snaptrip survey

Spontaneous people are happier according…

Friday, 21 October 2016 11:00

Spontaneous people are often believed to lead more exciting or glamorous lifestyles and a new study has confirmed that they are happier in all aspects of their lives.

Top Brighton attractions on Combi-Saver tickets for half term

Top Brighton attractions on Combi-Saver …

Friday, 21 October 2016 09:00

Visitors to Brighton this October half term can save up to 20% on its top three paid-for attractions with combination tickets now available for British Airways i360, SEA LIFE Brighton...

Free cabin upgrades with Cosmos Tours

Free cabin upgrades with Cosmos Tours

Thursday, 20 October 2016 14:00

There still’s time for agents to book a Croisieurope river cruise for their customers with a free cabin upgrade on a range of river cruises throughout Europe, when booked with...

Last minute autumn breaks available at Haven

Last minute autumn breaks available at H…

Thursday, 20 October 2016 11:00

Agents can still give their customers a last minute family break this autumn from £99 when booking a Haven holiday between now and November 5.

Skiers urged to head east for best piste costs reveals new report

Skiers urged to head east for best piste…

Thursday, 20 October 2016 08:00

Cash-conscious skiers can avoid the slippery slope of higher prices for their annual downhill trip by heading to ski resorts in Eastern Europe.

Design an anniversary poster for DFDS competition

Design an anniversary poster for DFDS co…

Wednesday, 19 October 2016 14:00

Ferry operator, DFDS, is putting out a call to professional and amateur artists to create a poster that will be used in their 150th anniversary celebrations this year.

Savings on worldwide adventures with Explore

Savings on worldwide adventures with Exp…

Wednesday, 19 October 2016 11:00

Explore has launched a new collection of worldwide adventures with a launch offer of up to 10% discount on all new trips booked by November 7.

New route to Seattle makes it one to watch for 2017

New route to Seattle makes it one to wat…

Wednesday, 19 October 2016 09:12

Seattle is expected to be one of the fastest growing US destinations for UK travellers next year with a Virgin Atlantic direct non-stop daily flight launching March 2017, new hotel...

Air Transat launches 2017 programme with increased connections across Canada

Air Transat launches 2017 programme with…

Tuesday, 18 October 2016 14:04

Air Transat has expanded its programme of flights from the UK to Canada with increased capacity and connections for travel in 2017.

Oceania Cruises reduces single supplement fares

Oceania Cruises reduces single supplemen…

Tuesday, 18 October 2016 14:02

Oceania Cruises has launched a reduced single supplement promotion for solo travellers, with guests offered single supplements fares from 25% on seven itineraries, booked before December 31.

Mall of America welcomes arrival of MythBusters

Mall of America welcomes arrival of Myth…

Tuesday, 18 October 2016 14:00

Running throughout autumn until January 15, 2017, visitors can ignite their curiosity and discover whether they can really huff and puff to blow a house down; if running in the...

Emirates to launch new daily service to Fort Lauderdale

Emirates to launch new daily service to …

Monday, 17 October 2016 11:00

Emirates has announced that it will launch a daily service between Dubai and Fort Lauderdale-Hollywood International Airport, on December 15, serving the South Florida area, including Fort Lauderdale, Miami and...

New tours in UK & Europe from Back-Roads Touring

New tours in UK & Europe from Back-R…

Monday, 17 October 2016 08:42

Small group tour specialist Back-Roads Touring has launched its summer 2017 brochure to reveal a unique line up of new itineraries in Switzerland, Scandinavia, the Baltics, France, Iberia and Russia.

Star studded cruise line up from CMV in 2017

Star studded cruise line up from CMV in …

Friday, 14 October 2016 10:16

Cruise & Maritime Voyages has announced five star-studded cruises for 2017 following the arrival of its new main brochure.

Non-stop flights to Manchester from SIA

Non-stop flights to Manchester from SIA

Friday, 14 October 2016 10:11

Singapore Airlines will fly non-stop between Singapore and Manchester from October 30 as part of its northern winter schedule.

raphael-bejarWhen it comes to airlines' business models, there's no question that the last decade has been filled with turbulence – just pick your poison: rising fuel costs, political unrest, and a sluggish global economy. Fortunately ancillary revenues have done much to re-write that gloomy narrative.


But as much as ancillary revenues –both fee and serviced based – have aided airlines’ bottom lines, they’ve done so in a way that has benefitted travellers too by giving them choice: whether it’s the option to purchase weather protection insurance, seat preference, concierge services, or products designed to enhance their trip. Thanks, however, to increasing smartphone adoption rates averaging about 40% adoption in France, 42% in the US (with some demographics and income brackets at 60%) and more than 50% in both the UK and Spain, the technologies’ “always on” benefits means that travellers are reluctant to be disconnected from their mobile devices – even for the relatively short duration of a several-hour flight.

Partly due to this smartphone technological advance, there has been renewed focus on serviced-based ancillary revenue streams, as they are perceived to provide greater value versus other ancillaries that have been viewed as “nickel and diming” schemes, certainly within the United States.

Faced with this challenge, airlines have had to adapt, mining news ways to offer new services – well beyond traditional serviced-based ancillaries like travel insurance, car hire, or hotel booking. One revenue development comes from the clouds – literally. While airlines still can’t control the weather, they can help protect against a rainy day. Taking out weather protection cover gives travellers a pay out if bad weather disrupts their trip. Unlike traditional insurance though, weather protection is based on the cost mitigation formulas of large corporations and agribusinesses. For instance, if rainfall at a given location exceeds averages for the time in question or if the sun fails to show (again, at least less than what would be expected based on meteorological averages) a predetermined amount of money is automatically paid to them.

More than simply charging for a pillow or blanket, the above examples demonstrate that the airlines industry really is thinking outside the traditional ancillary revenue box. For passengers, the expression “getting there is half the fun,” was never more accurate. The other half, of course, comes down to the wealth of exciting new and sustainable ancillary revenue sources throughout the entire booking process. Travellers are eager to embrace these new offerings. Airlines must continue delivering on their needs, ensuring smooth skies for all.

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