Why this matters
This term turns up in nearly every conversation about modern travel retailing. Knowing exactly what it does — and just as importantly, what it doesn't — saves a lot of meeting time.
How AncillaryOffers handles it
This concept is treated as a first-class object in our offer schema and surfaces in our analytics layer with a single, governed definition. No spreadsheet reconciliation required.
Related terms
ACMI
Aircraft, Crew, Maintenance, Insurance — the four cost components an operator typically charges for in a wet-lease or charter arrangement. Pricing models often break out each component for transparency.
Ad-hoc charter
A single-flight or short-series charter booked outside a framework agreement. Pricing is usually quoted per request rather than from a contract rate sheet.
Ancillary revenue
Revenue earned beyond the base air fare — including bags, seats, lounges, upgrades, food, Wi-Fi, and bundles. The fastest-growing line item on most airline P&Ls.
Branded fares
Named fare bundles (e.g. Light, Smart, Comfort, Flex) that group fare rules, ancillary inclusions, and creative into a single product travelers compare.
Bundle attach
Specific case of attach rate measuring the proportion of bookings that include a multi-component bundle.
Cost-plus pricing
Pricing strategy that builds a quote from explicit cost components (e.g. ACMI, fuel, positioning, fees) plus a target margin. Common in ad-hoc charter quotation.