Determined to continue offering cheap fares, be they cheap airplane tickets or cheap vacation packages, airlines are looking towards others ways to increase their revenues. Airlines are starting to look at flights more like retail outlets.
Soon travelers may be able to buy almost anything while flying, in part because of new technology. What remains to be seen is how fliers will respond to shopping in the air. They may view it as a convenience or just another attempt by airlines (who are already increasing prices and fees) to squeeze more money out of them.
Virgin America added the SkyMall catalog to its onboard entertainment system this summer to enable passengers to be able to order products while flying rather than simply becoming aware of products for future purchase.
American Airlines is testing a program whereby fliers on London bound flights from New York and Dallas may purchase Heathrow Express train tickets from flight attendants with hand held card readers. Passengers pay $28 to American for these tickets vs. $25.65 at Heathrow. Soon American passengers may be able to buy things like theme park passes to Broadway show tickets prior to landing.
The current leaders in onboard commerce are Europes low cost airlines. Ryanairs flight attendants sell a wide range of products including snacks, drinks, scratch tickets and smokeless cigarettes. Its average passenger spends $15 on post-ticket purchases.
U.S. airlines currently sell little onboard, generating no more than $4 per passenger. While airlines fly a captive audience generating retail sales is not an easy task.
Efforts by U.S. airlines to sell more than food and alcohol onboard will require flight attendants cooperation which is far from guaranteed. Their job descriptions have changed greatly in the last decade, not only because increased safety duties, but also because now they help clean the planes after passengers depart. Many attendants are not eager to become salespeople in addition to their other responsibilities.
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