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Business Daily

Subscribe and fly: the travel industry’s latest trend

Business Daily

BBC

Business

4.4816 Ratings

🗓️ 15 August 2022

⏱️ 17 minutes

🧾️ Download transcript

Summary

Travel isn't easy anymore. Between the cancelled flights, lost baggage and just the cost of it all, it's almost enough to turn people off altogether. But we'll hear how travel companies are using subscription services to keep those travellers travelling.

Leanna Byrne speaks to airline bosses Neil Thwaites, regional vice-president for California at Alaska Airlines and Kirby Gordon from FlySafair about how their subscription services are boosting business.

We also hear from Iñaki Uriz, the chief executive of Caravelo, a subscription platform for the airline industry on travel trends.

And finally, as some the biggest users of subscriptions services are millennials and gen Z, we speak to someone who calls themselves a "digital nomad".

Presenter / producer: Leanna Byrne. Image: travellers at an airport in Thailand; Credit: Getty images

Transcript

Click on a timestamp to play from that location

0:00.0

As you can guess by my accent, I'm not from here. I'm not from Salford in England, which is where I'm sitting in a workshop doing this business daily. Last weekend, I went home to Ireland. I took a flight on a low-cost airline back to Dublin. Now, a quick search through my inbox tells me that as far back as November 2017,

0:22.2

I used to pay 35 euro for a return flight from Dublin to Manchester. And these days, the euro and

0:28.3

dollar are pretty much the same, so that would be pretty much the same in dollars. But now,

0:32.6

between the flights and the special boarding pass I have to buy to take a wheelie bag on the plane,

0:37.1

my flight cost about $70.

0:39.8

You just have to look at any headline these days and hear

0:42.6

Gatwick cancels hundreds of flights in the summer

0:46.8

because it hasn't got enough staff.

0:48.8

Good afternoon. People attempting to cross the channel

0:51.6

are facing a third day of delays.

0:55.2

Another rail strike is confirmed, this time train drivers, 5.5,000 will walk out on Saturday the 30th of July,

1:01.0

mostly affecting services across England. To cut a long story short, travel isn't easy anymore.

1:08.1

It's not easy for the customers. It's not easy for those companies getting

1:11.6

you from point A to point B. So to make sure that people aren't turned off travelling altogether,

1:18.3

have travel companies come up with a way to keep people hooked on travel and beat price fluctuations.

1:25.9

I'm Leanna Byrne and today on Business Daily, we're going to talk about the

1:30.0

travel industry's blossoming relationship with subscriptions. In the UK and the rest of Europe,

1:38.1

travel subscriptions aren't that common. So I'm kind of imagining that advertisements for them

1:43.3

go something a little bit like this.

1:45.6

Hey, you?

1:46.5

Me?

1:47.0

Yes, you.

...

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