Low-cost carrier Wizz Air – one of Europe’s top 10 biggest airlines – has announced an ‘All You Can Fly’ subscription service priced at €599 per year. The Hungary-based airline trialled a limited subscription service last year on certain routes and clearly saw potential in rolling it out across its wider network.
Subscribers can book up to three segments per day within a 12-month period, though clearly the airline asks them to use the service reasonably and not wastefully. Wizz Air asks that members only book flights they really intend to take so that seats are not wasted by no-shows; that they do not book flights that overlap with each other; that they avoid duplicate itineraries; and that they only book flights that are possible for them to fly. In short, book as many flights as you like, but be realistic about whether you can take them – just as you would when buying a regular ticket.
While the service does enable subscribers to enjoy an unlimited number of flights, there are a few terms and conditions attached.
The main one, which will help Wizz Air optimise revenues on flights, is that subscribers can only book flights up to three days (72 hours) before departure, and seats are subject to availability. Once, booked, All You Can Fly tickets cannot be modified. If a change is required, a new ticket has to be purchased via the All You Can Fly site or via the Wizz Air site.
After the first flight, subscribers also have to pay a flat fee of 9.99 EUR per segment.
A practical consideration is that ‘All You Can Fly’ flights do not include carry-on or checked baggage, or any additional services. Subscribers can only take one personal item on their flight, with a maximum size of 40 x 30 x 20cm.
Asked why a travel service provider such as Wizz Air might want to launch such a service, Mike Putman from Custom Travel Solutions (CTS), a specialist in software-as-a-service for travel membership schemes, points out that the recurring revenues and increased customer loyalty alone are worth considering. For example he explained that, “We presume that Wizz will still be charging for ancillary revenues, and in some cases they’ll bring a friend along, who has to pay. And all the while they are not flying on a competitor airline, so there’s much to like”.
Putman goes on to point out that it is not just travel providers like an airline or hotel that can offer subscription models, but also online travel agencies or employee benefits schemes – where in return for paying a fee, the user gets discounts and exclusive access to services.
So how should a company go about creating a travel subscription program? Putman said it is worth partnering with a third party with experience in this area and highlights that even Wizz Air has partnered with subscriptions tech experts Caravelo to bring in All You Can Fly.
Putman added: “The recent Amazon Prime Day success drove home to businesses in every vertical the growing power of subscriptions models. As a result we are seeing more and more membership organisations and loyalty programmes that sell travel – who are our typical clients – exploring this model for travel and approaching us asking how to best operate the tech for once they get those subscribers into their closed user group. We really believe this area is set for massive growth.”
