The research found that while bed sales accounted for an average of 78% of total revenue, operators were making strides in other areas. On average the ancillary surveyed establishments were generating 200 euros per bed per year in ancillary sales, with the highest results being obtained in Africa and Oceania.
Stay Wyse, the global industry association representing the youth travel accommodation sector, has released their latest research report, Beyond the Bed, examining ancillary revenue in the youth travel accommodation market.
Ancillary revenue is an important and growing source of income in the airline and hospitality sector, and the youth travel accommodation industry is no exception. This new report considers the results of a survey completed by youth travel accommodation providers across the world, examining the major sources of ancillary revenue, how much is being generated and how the sales are being achieved.
The research found that while bed sales accounted for an average of 78% of total revenue, operators were making strides in other areas. On average the ancillary surveyed establishments were generating 200 euros per bed per year in ancillary sales, with the highest results being obtained in Africa and Oceania. Food and beverage sales amounted to nearly a quarter of total revenue for suburban establishments, and commission opportunities were generating up to nearly 20% of total revenue for some operators. Properties using revenue management systems generated higher per bed revenues, as well as higher beverage and ancillary service sales, than those not using such a system.
The report examines the trends in the airline and broader hospitality sectors, and offers a range of insights and strategies for youth travel accommodation operators on how to sell ancillary products and services by focusing on the study of customer data, targeted stay-cycle offers, and the harnessing technology to maximise results.
Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor's degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales.
She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.
