According to a research from Centre for Asia Pacific Aviation (CAPA), the Low Cost Carrier (LCC) sector has triggered an ancillary revenue (merchandising) revolution, with airlines worldwide expected to generate USD 58 billion in ancillaries this year. To help understand the opportunities better, CAPA, in partnership with Travelport, has launched a landmark study of Asia Pacific airline preparedness for and participation in the ancillary revenue revolution. Airlines across the region will be surveyed this month regarding their strategies and targets for ancillary revenues, which will form the basis of a report later to be published later in the year.
Peter Harbison, Executive Chairman, CAPA said, “A sizeable figure, USD 58 billion represents 12 per cent of total airline revenues, suggesting that we are at the start of movement to monetise services and products passengers are used to receiving as part of the ticket price.” |