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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.
