5 ways to unleash ancillary revenues for airlines, while leveraging the brand
DESCRIPTION
These were slides first presented by Shashank Nigam for the ancillary revenues and airline branding webinar, conducted by SimpliFlying.com.Learn how you can: * Make un-bundling work to suit your customers' lifestyles * Entice customers through "reverse-bundling" in the recession * Maximize existing revenue channels, without compromising the brand * Cultivate new revenue channels using Web 2.0 tools, like Facebook, Twitter and blogs * Increase conversion rates for ancillary channels * Keep the brand intact while earning more per customerThe webinar includes eye-opening case studies from leading airlines like RyanAir, AllegiantAir, AirAsia, Virgin Blue, JetBlue, Southwest and Singapore Airlines.TRANSCRIPT
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
Jeff Ogden