Have you reached your full merchandising potential?
If you want to make more money, ancillary services are a golden egg of opportunity. But are you making the most out of it? We have three solutions up our sleeve which will help you make this lucrative business even more profitable.
A recent poll shows that 26 percent of the Swedes are willing to pay more for extra leg room, or to be served a meal. And yes, the Scandinavian travel agencies are often considered best in class when it comes to selling these ancillary services. Some even sell more than the airlines themselves.
But, how do you know if you’ve reached your full potential of merchandising upsales? We still see the airlines stepping in after the booking is made, contacting the traveller directly and snapping up the revenue for seat reservations, luggage and meals. And the closer we get to time of departure, the larger is the airlines’ share of the merchandising sales.
Let me introduce some of our different solutions that will help you travel agencies increase your share of the merchandising sales.
Don't forget the ancillaries!
First out is a new tool called Amadeus Cross-Sell Push. Basically, during the booking process, a window will pop up reminding you to offer X, Y and Z and offering customer-relevant suggestions.
For example, if you are booking a couple on an Air Tahiti flight, they’re probably going on a honeymoon or romantic getaway. So why not offer them a champagne breakfast?
Catch the post-sales opportunity
Another solution which will help you to make more money from sales of ancillary services is White Label Merchandising Marketplace. After making the booking, this new post-sales tool sends an automatic email to the customer offering relevant extra services like seats, baggage etc, minimizing the risk of you losing the customer.
This service is being piloted in Europe and we expect to launch it in late 2018. The real advantage is that it is a ‘plug and play’ solution which doesn’t require any major IT investments but will generate extra revenue.
Easier rebooking of ancillary services
Then, we come to a major pain point for the travel agent: how to transfer ancillary services when the customer changes his ticket. With our Ticket Changer it is easy to change the date but often changing the ancillary services is a lot of manual work.
Last year we launched Amadeus Service Changer which makes it much easier to switch these services over to a new booking. The solution tells you if you need to pay a surcharge of x euros or to book new ancillary services if the existing ones are non-transferrable.
If you would like to learn more about how Amadeus can help you step up your merchandising game, check out our full story here.
About the author
Annika Brune spent most of her career in the airline industry before joining Amadeus Scandinavia in 2016 as head of merchandising. “My heart remains in the airline industry, but I’m still part of it at Amadeus and enjoy seeing the benefits that travel agencies and airlines can get from using our technology.”