Articles tagged “subscriptions”

The subscription model continues to show promise in travel.

Before Covid-19, many airlines were skeptical about subscription services. They feared selling cheap seats and not having enough inventory available for big-spenders. But times may be changing.

Air India and Oyo couldn’t be more different, not just in their respective businesses, but both could be gone in a New York minute if they aren’t able get past the biggest test they face currently.

Earning consumer loyalty means more than giving them rewards. Subscriptions and memberships represent a compelling way for travel companies to create lasting relationships with consumers.

EDreams is certainly putting a lot of effort into its Prime subscription offering. The test will be how it goes down in other markets and how it performs over a number of years. Do the numbers stack up over the long term and will people keep renewing?

This priority boarding craze is getting out of hand. Almost no one wants to get on an airplane 45 minutes before it departs. People go nuts over boarding early because they have overhead bin anxiety. Can we just start charging for bin space? It's a precious resource for which demand outstrips supply.

Introducing a subscription model to the travel industry could lead to a transformation in the way companies sell their products. On the other hand, it may be a challenge to get travelers to lock themselves into one brand over a period of time — unless, of course, there is an attractive perceived value.

It's a bold move to call your subscription product "Prime," but if eDreams Odigeo's new offering is anywhere near as useful as Amazon's has been, the company will be pretty happy.

While investors and observers are rightfully focused on how TripAdvisor's transition to a hotel booking site will work out, the company has some meaningful hedges in the form of vacation rentals, tours and activities, and restaurants. Collecting monthly and annual fees is a very material part of the overall business and will likely become even more so.

OneGo's subscription-based flight service for just $1,500 is certainly an interesting concept. But additional costs for rebooking and access to coast-to-coast flights may make it a difficult buy for small businesses.