When it comes to booking travel, the vast number of options can make even the most seasoned traveler’s head spin. In an effort to compete within the crowded skies of the marketplace, many airlines have started to offer new categories of fares to their customers, allowing consumers more choice within the array of travel bookings. For example, what once was just “Economy” may now have multiple options, like Economy Basic, Economy Standard and Economy Plus, each with different amenities and restrictions.
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.
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.
Customers want the best travel inventory at the best prices. For travel resellers, that means providing access to multiple content distribution channels, providing a wealth of inventory and pricing options. But that’s often easier said than done. Scaling up requires multiple APIs to collect and interpret data, and all too often, it can result in strained IT resources, longer lag times and duplicate inventory results.
Travel ancillaries are a major revenue generator, but encouraging travel add-ons isn’t always an easy task. To help travel brands develop a strategy for increasing 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.