Call goes out for inflight sales innovation – 30/10/06

Full-service airlines can emulate the innovations of LCCs, according to Peter Harbison, Managing Director of the Centre for Asia-Pacific Aviation
Photo by Salina Christmas

CANNES. Low-cost carriers (LCCs) are doing significant sales via the Internet, suggesting that opportunities can be exploited by full-service carriers, Airline Workshop attendees heard at the TFWA World Exhibition on Monday.

LCCs are also constantly innovating to generate revenues outside of ticket sales, said Centre for Asia-Pacific Aviation Managing Director Peter Harbison.

JetBlue, for example, is planning to generate income via its inflight entertainment, and Ryanair is already reporting that 20% of its revenues come from sources other than airfares.

“If airlines are prepared to innovate, it becomes a big opportunity,” Harbison said.

With many LCCs also selling food & beverages onboard, Harbison noted that some are even beginning to restrict the consumption of food and drinks bought from other sources. This, in turn, could be a threat to the airport catering business, he added.

The workshop also looked at inflight sales data and discussed how airlines could minimise credit card fraud onboard.

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