Holiday with Ryanair

By | Category: Travel news

Ryanair Business PlusRyanair has decided to enter the holiday market. If and when it does, that might be a big shake-up for the travel industry.

It launched its own car rental side last year and last week announced “Ryanair Rooms” to offer people accommodation booking and, at the same time, said that the airline plans in the future to offer tours and events with holidays being the final part of the travel offer. According to the travel trade online service, Travelmole, the airline’s Kenny Jacobs also said that he could see no reason why the airline shouldn’t sell travel related products like luggage and sun cream.

At present, Ryanair has an agreement with Booking.com to offer accommodation but that contract ends this coming September. After that, the airline says that accommodation booking providers will pitch for the new business so companies like laterooms, Expedia, hotel.com and maybe even Kayak, Priceline and Cheaprooms will be included in the pitch list.

But how much of this is a dream and how much is planned and costed for the future? For years, Ryanair has said that it will venture into long haul flights and so far, nothing. The car-hire business has been up-and-running for a while yet the established car-hire companies aren’t in a tizzy about it.

Nonetheless there is a logic about providing add-on benefits to its huge customer base. Just below a third of all of the airline’s revenue comes from what is known as affiliate marketing, the provision of add-ons so why not expand it further and make more money?

And in the holiday market, if you have players like TUI (owners of Thomson, First Choice, Falcon and JWT) and Thomas Cook owning tour operators and hotels in addition to an airline why shouldn’t Ryanair provide holidays to complement its airline? At the luxury end of the market, tour operators will not be concerned. At the budget end, a few players might be getting squeamish. But then, it all depends on whether Ryanair will actually go ahead and do something rather than just talk about it.

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