Skift Take
The U.S. is the most aggressive region in the world when it comes to ancillary revenue, with seven of the top 10 airlines in ancillary revenue totals. However, Asia-Pacific, with carriers such as AirAsia, Tiger Airways and Jetstar, is certainly no slouch.
United and Spirit airlines each can make competing claims to being the global king of airline ancillary revenue, but they have embarked on different routes to secure the crown.
IdeaWorks Company and Amadeus released their latest report this week on the depth of global airlines' ancillary revenue streams, which crested at $22.6 billion in 2011 among the 50 carriers that disclose their activity.
That's just more than 7% of these airlines' annual revenue and can mean the difference between pleasing stakeholders and lots of red ink.
[caption id="attachment_10325" align="alignright" width="350"] United check-in counter at Chicago-O'Hare. Photo courtesy United Airlines.[/caption]
Even before the 2007 recession, airlines began unbundling products and branding fares. Meanwhile, fees emerged as a a safety net as fuel costs soared, but today many airlines view ancillary revenue as their ticket to profitability.
Fees versus services
This ancillary revenue is a mix of fees leveled at passengers, and those directed at credit card companies and other partners buying into loyalty programs.
When it comes to cost
