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The travel industry is in an age of ever tightening revenue streams and ancillary sales are giving businesses a viable opportunity to increase profit margins while offering customers additional products and services to enhance their experiences. Companies are finding that these complementary sales can help them develop an ongoing relationship with their customers, while increasing their profitability. Travel companies, specifically, are seeing ancillary sales account for a whopping 84% of total profits.
A recent study commissioned by Fusion, an ancillary sales and optimization company, examined industry trends and consumer opinions on ancillary products while producing key insights for travel companies looking to take advantage of these opportunities. It turns out, there is a high demand among consumers (61%) for add-on products to compliment a main purchase. However, companies must keep in mind that consumers are looking for a simplified experience above all else; if the ancillary sale can enhance their experience, by saving time or money, they are more likely to buy.
Another key finding from this study is that consumers are not blind to the process of being up-sold. While some companies are doing a good job of seamlessly integrating ancillary products into the buying process via personalized recommendations, other companies are missing out on this opportunity by simply interrupting the online shopping process.
It’s important for travel companies to engage their consumers with the right ancillary products at the right time on the right channel. To learn more about how to grow this revenue stream while improving your customer’s’ shopping experience, download Fusion’s free report, “Getting Ancillary Sales Right: Understanding How to Optimize Your Path to Purchase”.
This post was brought to you in sponsorship with our partner, Fusion.