[ad_1]
Geoff Percival
Last year, the top ten global airlines fetched $ 29.7 billion (25.4 billion euros) in miscellaneous revenue, highlighting the fact the importance of non-air revenue streams for the aviation industry
. the revenue is generated by all that is sold by an airline outside the base ticket and include a number of items: baggage fees, food and beverages on board, seating and boarding, car rental and hotel reservations.
6% of the $ 28 billion of revenue generated by ancillary services, by the 10 largest carriers, in 2016. Ten years ago, these revenues for major global airlines reached $ 2.1 billion .
"Ancillary revenue is growing," said Michael Cunningham, senior vice president of distribution at CarTrawler, a car rental software company, which compiles the annual survey in collaboration with the research group in aviation IdeaWo.
Investors were initially delighted, and now they were expecting it, and this is also evident among consumers, who appreciate the flexibility and range of services offered by airlines. The best airlines have become specialized retailers in travel-related services, including the booking of hotels, attractions and, of course, ground transportation.
Jay Sorensen, d & # 39; IdeaWorks said: "Pbadenger fares can go down"
As in previous years, US giants United, Delta and American dominate the list and represent $ 17 billion in revenue. However, the turnover of United Airlines fell 7.5% last year to 5.75 billion dollars. It is the only one of the top three products whose additional revenue came mainly from a la carte items, such as baggage fees, rather than its frequent flyer program.
Ryanair – which pulls all its non-tariff revenue from – called a la carte items – jumped a place in the ranking last year, in fifth place. One of only four European carriers to list – the others being Air France-KLM, Lufthansa and EasyJet – Ryanair's ancillary revenues increased from $ 1.98 billion to $ 2.3 billion.
For the 12 months end of March, Ryanair recorded an 8% increase in turnover to 7.15 billion euros and a profit after tax of 1, 45 billion euros, up 10% compared to the previous year. In these results, he said that ancillary services now provide 28% of the overall business figure and that it is "on track" to reach its fiveyear goal of 30%.
Ryanair will publish its results for the first quarter "We expect a first-quarter turnover increase of € 104m compared with the first quarter of the previous year, a 23% growth in the first quarter. unadjusted data.However, Ryanair's fuel bill is expected to increase from 93 to 606 million euros because of jet fuel prices and 17 million euros of rising carbon trading costs, "said Mark Simpson, of Goodbody Stockbrokers
. "Ryanair and EasyJet have not yet started the journey to offer loyalty benefits to consumers. However, their continued focus on business travel strongly suggests that this will happen one day. "
Auxiliaries account for nearly 47% of the total revenues of the very low-cost US carriers Spirit Airlines, comfortably more than any other so-called economic carrier, the report shows.
Source link
