5 ways to unleash ancillary revenues for airlines, while leveraging the brand
Post on 27-May-2015
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Airlines 2.05Waystounleashthepoten/alofancillaryrevenuesinadownturn
About the Speaker
• Founder & CEO, SimpliFlying
• Authority in airline branding
• Columnist - Interbrand’s BrandChannel
• Co-author of two books on branding
Thepotentialofancillaryrevenues...
Letthenumbersdothetalking
Thepotentialofancillaryrevenues...
£221m
£221mWhatRyanairearnedfromancillaryrevenues
£3.81
£3.81WhatEasyJetearnsperseat,fromancillarysources
77%
77%
RiseinAirAsia’sancillaryrevenues
63%
63%ofairlinemanagersbelievethatancillaryrevenuesarethefuture...
Q:Domanagersknowhowtomakeancillaryrevenuesworkforthebrand?
A:Probablynot!
“Ifeelnickelanddimed”
“beingtreatedlikecargo!”
“Chargingforwaterisahumanrightsviolation”
MostcommentedarticleonSimpliFlying!(71comments)
Ancillaryrevenuesneedtobeinsyncwithbrandstrategytoworkinthelongterm
5
5waystounleashthepowerofancillaryrevenuesinadownturn
Personalizethecharge‐knowyourcustomerandoffersomethingrelevant1
Whyhavethesameoffersforallyourcustomers?
Peppersprayforyoungwomen?
Peppersprayforyoungwomen?
Wheel‐chairfortheoldfolks?
Peppersprayforyoungwomen?
Wheel‐chairfortheoldfolks?
Nametagsforunaccompanied
minors?
Reverse‐bundling,themoreappealingwaytochargeinadownturn2
Howaboutoptingout,insteadofoptingin?
Choosingahead:Airlinebene]itstoo,isn’tit?
Cultivatewinningpartnerships3
SingaporeAirlinesboardingpassprivileges
Anyoneforacasinousingyourmiles?
Howaboutsellingmagictrickson‐board?
Usesocialmediadodrivein]luenceandsales,evenifindirectly4
Pamperthein]luencers.TheFordFiestastory
Tweet!Tweet!$!$!
Gowherethecustomeris!
Alwayskeepthebrandinmind,forlongtermancillarygains5
YourairlineneednotdoeverythingRyanairdoes!
Inconclusion...
Ancillaryrevenuesmaylooklikeeasymoney...
Ancillaryrevenuesmaylooklikeeasymoney...
butgettingthemright,andin‐syncwithbrandstrategytakeswork.
It’s not the strongest of the species that survives, nor the most intelligent. It is the
one that is most adaptable to change.
Charles Darwin
Questions
Shashank Nigam
shashank@simpliflying.com
Jeff Ogden
jefflogden@gmail.com
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