Plusgrade and Citilink’s new partnership: Insights into the APAC ancillary landscape

by | Mar 20, 2024 | Airlines, Interviews, Travel Tech

At Aviation Festival Asia, Plusgrade, a global leader powering ancillary revenue solutions for the travel industry, announced its partnership with Citilink, a leading Indonesian low-cost carrier (LCC). The collaboration aims to enhance the passenger experience by seamlessly integrating technology, passenger personalisation, and ancillary revenue optimisation.

Mr. Ichwan Agus, Chief Commercial Officer, Citilink and Hoong Mau Ho, Vice President, Sales, Plusgrade, joined to discuss the new partnership and share their insights into ancillary revenue trends in the Asia-Pacific (APAC) region.

“Collectively, APAC is growing very, very strongly and the drivers that are triggering all this began with the unbundling movement that was started by the LCCs like Citilink. They set the trend and realised that there’s an opportunity to tap incremental revenue. And soon the full-service airlines also jumped on the bandwagon. They sort of learned from the LCCs, and they started unbundling […] So collectively, the growth became pretty substantial.

Right now, the next evolution that I’m seeing is a lot of airlines realising that in addition to ancillary revenue being an incremental revenue for them, if marketed correctly, it also can be a tool to drive higher customer engagement […] And it can definitely increase loyalty.”

For more details on the new partnership as well as insight into Citilink’s strategic investment plans and the importance of leveraging ancillaries, watch the full interview below.

 

Questions asked include:

  • How does the recently announced partnership with Plusgrade enable you to better meet the evolving demands of your passengers as well as meet the business objectives of Citilink?
  • How have we seen the ancillary landscape change in the APAC region in recent years and what are the main drivers of these developments?
  • What are Citilink’s strategic investment and growth plans for the next three years to better tap the strong traffic demand in SE Asia and Indonesia?
  • What advice would you give an airline if they want to tap ancillary revenue streams more effectively and yet create positive engagements with their customers?

 

 

For more like this see: