Wizzair with £2 tickets, how do they make money?(wizzair.com)
wizzair.com
Wizzair with £2 tickets, how do they make money?
https://wizzair.com/#/
6 comments
Perhaps the landing slots are more valuable. If airlines don't use allocated slots they could lose them. Might as well get some small amount of income. Upsell on the flight. Just a thought.
Wizzair’s ancillary sales of 1.2 billion Euro accounted for 45% of total revenues(2017).
Ancillary services are considered those beyond the transportation of the passenger from origin to destination. Airlines provide various services and engage in other activities connected with its core air passenger service, including non-flight scheduled services, internet-related services, and the in-flight sale of beverages, food, and merchandise.
Ancillary services are considered those beyond the transportation of the passenger from origin to destination. Airlines provide various services and engage in other activities connected with its core air passenger service, including non-flight scheduled services, internet-related services, and the in-flight sale of beverages, food, and merchandise.
I understand that they send some tickets cheaper and they make money instead on baggage and other passengers.
But is there point to even deal with tickets so cheap? Underground in London costs more than that
Average revenue per passenger improved by 5.2 per cent from €69.0 in F20 to €72.5 in F21. Average ticket
revenue per passenger decline from €37.7 in F20 to €32.0 in F21 (by 15.2 per cent), while average ancillary
revenue per passenger increased to €40.6 from €31.3 (by 29.6 per cent)
Wizz air annual report.
Lots of people spending a little adds up. Poundland for example, small amounts of revenue for each individual product, but millions of transactions add up.
Wizz air annual report.
Lots of people spending a little adds up. Poundland for example, small amounts of revenue for each individual product, but millions of transactions add up.
Why not? They could just charge more for other costs (luggage, seat allocation, etc) since those are not disclosed upfront.
Because they're competing with other low cost airlines, not the underground.