The airlines how to empty your wallets

Airlines are through the ancillary revenue, trying to empty your wallets

2014 global airline ancillary revenues reached $ 38.1 billion, up 21 percent over last year , the latest research data aviation consultancy IdeaWork on July 13 released.

IdeaWork tracks 63 airlines to disclose reliable income data. Although passengers complaining, but airlines on baggage, back Meal and other auxiliary projects revenue continues to show rapid growth . Research shows that each passenger paid ancillary revenue reached $ 17.49, an increase of 8.5% compared to 2013.
CNBC reported that due to improving economic conditions, the airline's rapid growth in revenue and traffic, these are the main factors in 2014 ancillary revenue growth.

If you press the auxiliary income ratio of revenue to rank the airline, low-cost airlines will hold the top spot. Low-cost airlines to obtain supplementary income in 2014, $ 2.9 billion, an increase of 32.8%.

The low-cost carriers such as American Airlines wizard on the secondary income has been accounted for in the forefront, the other low-cost airlines, such as Ryanair, easyJet, since obtaining ancillary revenue growth slowed from the traditional leisure travelers who and began to obtain high-yield business travelers from the body. Ryanair offers to get more revenue tied to passenger fares, advertising and even for business travelers.

The amount of ancillary revenue top three are: United Airlines, charging ancillary revenue $ 5.8 billion; American Airlines, ancillary revenue $ 4.65 billion; Delta Air Lines, ancillary revenue $ 3.2 billion. Several major US airline ancillary revenues grow more than 2.6 billion US dollars, or an increase of over 18.7%.

US Bureau of Transportation Statistics data released in May of this year, 2014 US 27 airlines net profit fell by $ 4.7 billion, but revenue in the checked baggage Meal service fees and $ 6.4 billion. In 2008, due to the sharp rise in fuel prices, airlines face losses, started to collect baggage and Meal service fees, expenses increased year by year since then, the airline has become a major source of profit.

"Ancillary revenue is an important indicator of business success, for global airlines, can bring more profits." Chief Commercial Officer of the study sponsor IdeaWork CarTrawler company Michael Cunningham (Michael Cunningham) in Travel News website traveldailynews report said, "the secret of additional revenue to increase, it is possible to generate data for each transaction seen from the customer. This is no longer just a useful low-cost airlines, which will have all airlines the benefit. "
"The report shows that ancillary income has become a reliable source of revenue for airlines, and airlines know how to make more money in it." IdeaWork chairman Jay Sorensen (Jay Sorensen) said in a CNBC report.

This is the eighth consecutive year the airline saw significant gains complementary projects. In 2007, the airline's ancillary income of only $ 2.45 billion. And now more and more airlines will be sold to the customer support services, such as check in advance to provide greater legroom seats. "Sales of these press menu a la carte service is very successful, because the airline can tailor-made for you." IdeaWork chairman Sorensen said.

Airlines already learned through baggage, advance on the aircraft, snacks and meals, earn a supplementary income, and now they are considering means of entertainment machine, new revenues.

In addition, Air France-KLM and other airlines also a large part of ancillary revenue from the sale of miles or issue a joint credit card. Bank cooperation with airlines, according to the benefits derived from the cardholder at the payment to the airline. Overall data show that ancillary revenue boom continues unabated.

"More and more airlines are saying, ' We will provide basic Wi-Fi service, and if you want to improve the service, check your email or watch a movie, you can pay for it . '"IdeaWork chairman claims Sorensen said.