Airlines with frequent flier programs are focused on customers and profits. Profitability can come from a variety of revenue streams: better margins, higher attachment rates or more redemption options that incentivize members to earn and burn points.
Rewards and frequent flier programs carry massive monetary value for airlines. A strong travel rewards program increases customer loyalty while generating revenue. But, if your rewards member base isn’t growing or points and miles aren’t being spent, it may be time to look for a new provider.
What if a specific type of reward could create the ultimate travel experience, one that’s exciting, memorable, something your customers have never experienced before? Would you consider it a nice-to-have or need-to-have?
To help brands increase ancillary travel attachments, Connexions Loyalty partnered with research company Ipsos to survey a specific demographic: Millennials.
Revenue. It’s why airlines buy hotel rooms and travel agencies add ancillary products and providers. To generate revenue, travel inventory suppliers must be able to provide:
Ancillary travel inventory – the add-ons available to consumers during and after the point of purchase – presents a real opportunity for brands to not only drive revenue, but also to deepen their relationship with consumers by presenting personalized offers. In our most recent survey of American online travel bookers, we learned that 21 percent have not made an ancillary purchase in the past, but would be interested in doing so on future bookings.
Connexions Loyalty partnered with Ipsos to learn what online travel purchasers think about ancillary products like hotels, car rentals, restaurant reservations, tours and event tickets. To help brands increase these types of travel add-ons, we took a deep dive into a specific demographic: Millennials.
Travel ancillaries are a major revenue generator, but increasing travel add-ons requires a targeted customer segmentation strategy. To help travel brands increase ancillary travel bookings, Connexions Loyalty partnered with Ipsos to learn what online travel purchasers think about ancillary products like hotels, rental cars, travel insurances, flight upgrades and activities.
The sharing economy – aka peer-to-peer or collaborative consumption – has changed the way consumers purchase goods and services. Instead of buying from traditional institutions or businesses, consumers are buying what they want or need from other individuals: from bike rentals to ride sharing to running errands.
Millennials are reaching their prime working and spending years. As the largest population in U.S. history, they have the ability to significantly alter the buying power of the U.S. economy.