
Airlines started nickel-and-diming their customers more than a decade ago. Their ancillary revenue has been growing ever since.
IdeaWorksCompany’s definition of this kind of revenue is: “revenue beyond the sale of tickets that is generated by direct sales to passengers, or indirectly as a part of the travel experience.” An important role plays the co-branded credit card.
Ancillary revenue
IdeaWorksCompany discerns 5 categories of ancillary revenue:
1. A la carte features.

2. Commission-based products.
3. Frequent flyer activities.
4. Miscellaneous sources such as advertising.
5....
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