Vietjet's aircraft. VNS Photo
HCM CITY Vietjet is recognised as the world's 12th airline in terms of ancillary revenue to total air transport revenue ratio by the 2019 CarTrawler Ancillary Revenue YearBook, which comprises statistics from more than 100 airlines’ audited financial statements.
Vietjet's audited business results in the first half of this year showed revenue of passenger transport stood at more than VNĐ18.98 trillion (US$815 million), an increase of 17 per cent year-on-year.
During the period, its ancillary revenue of passenger transport topped VNĐ5.43 trillion, up 43 per cent year-on-year mainly thanks to the growth of international passenger transportation. The proportion of ancillary revenue in total air transport revenue was 27 per cent.
According to the sustainable development model of low-cost carriers (LCCs), ancillary revenue is a decisive factor in the success of a carrier when its profit margin reaches over 90 per cent.
In order to expand its services and continue on a path of sustainable development, Vietjet has planned to provide ground services for itself at Nội Bài International Airport in Hà Nội from 2020. This would bring benefits to both customers and the airline, including improvement of service quality and ancillary revenue, Vietjet said in a statement.
The airline aims to reach the Top 5 airlines for ancillary revenue in the future. VNS