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If you&#8217;re managing commercial operations at an airport or running a car park business, there&#8217;s a good chance you&#8217;re leaving money on the table. Not through poor service or inadequate facilities, but through something much more fundamental: your pricing strategy. 
Most airports still rely on flat pricing models that treat all demand as equal, all customers as identical, and capacity as unlimited. For car park operators, these models often stem from simple drive-up rates that get copied online without considering digital customer expectations. Yet none of these assumptions hold for airport operations, and the results speak for themselves: missed revenue opportunities, operational strain, and customer experiences that fail to meet expectations. 
The pressure is mounting. Airport commercial teams face increasing demands to maximise non-aeronautical revenue whilst car park operators compete against ride-sharing services like Uber and Lyft that have fundamentally reshaped ground transport behaviour. 
Meanwhile, stringent procurement processes require clear ROI justification, and lean teams struggle with manual pricing updates across multiple channels. 
For medium-sized airports, the challenge is finding the sweet spot between operational efficiency and commercial opportunity, whilst car park operators need straightforward solutions that work across their entire portfolio.
<h2 aria-level="2">Why you need to reconsider a one-size-fits-all approach to pricing</h2>
For commercial directors and car park operators, flat pricing creates a false sense of security that masks significant revenue losses. When you charge the same rate regardless of demand, seasonality, or customer willingness to pay, you&#8217;re essentially capping your revenue potential during the times when passengers are most willing to spend more. 
During school holidays, major events, and peak travel periods, passengers demonstrate natural price tolerance when seeking guaranteed parking spots. They&#8217;ve planned their trips, booked flights, and need certainty. Yet flat pricing prevents you from capturing this additional value, leaving money on the table precisely when demand is highest. 
Operational strain without financial reward becomes a recurring problem when fixed pricing attracts high volumes of short-stay traffic during busy periods. Your team works harder managing increased turnover and capacity pressure, but your revenue doesn&#8217;t reflect that additional effort. 
For medium-sized airports trying to scale, this creates unsustainable pressure without the financial return to justify additional personnel. For car park operators, churn increases pressure on staffing, reduces space availability, and lowers average transaction value across your portfolio. 
The absence of behavioural incentives means you lose valuable tools for demand shaping and operational planning. Without price signals to encourage booking during quieter periods or off-peak travel, you can&#8217;t influence customer behaviour to spread demand more evenly or improve cash flow predictability. 
This particularly impacts car park operators trying to manage multiple sites, where coordinated pricing strategies could significantly improve portfolio-wide performance.

<h2 aria-level="2">The real cost of ignoring customer behaviour</h2>
The impact of flat pricing extends beyond simple revenue loss to create operational and strategic challenges that build over time. For airport commercial teams accountable for revenue targets and car park operators seeking business expansion, these costs create significant competitive disadvantages. 
Underpricing during peak demand: Underpricing during peak demand represents the most direct revenue loss. By using fixed pricing, you&#8217;re essentially subsidising high-demand customers who could afford higher rates, reducing the revenue available for infrastructure investment or business expansion. 
Lack of product differentiation: Product differentiation failure occurs when flat pricing treats all parking products equally, ignoring the premiums that passengers place on convenience, proximity to terminals, or enhanced services.
For example, customers understand that covered parking near main terminals offers more value than surface parking requiring shuttle buses, yet flat pricing fails to capture this difference in perceived value. 
Conversion friction: Conversion friction develops when pricing doesn&#8217;t reflect customer segment needs. Business travellers may view short-stay rates as reasonable, whilst finding long-stay options expensive, whilst leisure passengers might see the opposite. This mismatch reduces booking conversion across both segments, limiting total volume growth and creating customer satisfaction issues that impact repeat business. 
Lack of strategic planning: Strategic planning limitations emerge when flat pricing provides no mechanism for gathering actionable demand intelligence. Without pricing tools to test customer price sensitivity, you can&#8217;t develop the market insights needed for strategic decisions about facility investment, service expansion, or competitive positioning. 
<h2 aria-level="2">How does dynamic pricing solve these challenges? </h2>
Dynamic pricing doesn&#8217;t require complex algorithms or constant price changes. At its core, it means aligning pricing with real customer behaviour and demand patterns to optimise both revenue and operational efficiency. 
Revenue optimisation: Revenue optimisation becomes systematic when prices adjust to reflect demand levels and customer willingness to pay. During peak periods, rates increase to capture additional value from customers who prioritise certainty over cost.
During quieter times, competitive pricing maintains volume whilst optimising utilisation. This approach matches price to genuine customer value perception and market conditions. 
Demand shaping: Demand shaping transforms pricing from a passive revenue tool into an active operational management system. Early booking incentives improve cash flow predictability and operational planning whilst reducing last-minute capacity pressure.
Peak period pricing helps manage capacity constraints without requiring additional infrastructure investment. These tools become particularly valuable for medium-sized airports where operational flexibility is crucial for managing seasonal variations. 
Differentiated products: Product differentiation becomes financially viable when dynamic pricing supports tiered offerings that reflect genuine value differences.
Premium locations near terminals, covered parking, flexible cancellation terms, and additional services can command appropriate premiums when pricing reflects their enhanced value proposition. This enables car park operators to justify facility investments and create sustainable competitive advantages. 
Enhanced operations: Operational efficiency improves when pricing signals influence customer behaviour to reduce complexity and improve resource utilisation. Spreading demand more evenly across time periods reduces peak-time staffing pressure and makes better use of capacity during quieter periods, improving overall operational productivity and customer experience.

<h2 aria-level="2">How to get started – without overwhelming your team </h2>
The transition from flat to dynamic pricing doesn&#8217;t require immediate system overhauls or complex technology investments. Many successful implementations begin with manageable changes that deliver measurable results whilst building internal confidence and expertise. 
Use rules-based pricing: Rules-based adjustments provide immediate impact through simple rate modifications during predictable demand periods. Seasonal increased pricing can be implemented manually or through basic system updates, whilst small premiums for last-minute bookings capture additional value from time-sensitive customers.
These approaches work particularly well for car park operators managing multiple sites who need straightforward implementation across their portfolio without heavy reliance on external development teams. 
Segment products: Basic product segmentation creates revenue opportunities through clear differentiation between parking options.
Separating premium locations, covered spaces, and flexible booking terms into distinct product tiers allows appropriate pricing for each value level. For airports, this might mean clearly differentiating terminal-adjacent parking from off-site options requiring shuttle services. 
Price based on season: Seasonal pricing variations reflect natural demand patterns through different rate structures for peak and off-peak periods. This becomes particularly manageable for medium-sized airports where quicker decision-making processes allow for more agile pricing responses. 
Incentivise your customers: Early booking incentives encourage advance reservations during lower-demand periods, improving cash flow predictability whilst spreading operational workload more evenly. For car park operators, these incentives can drive direct bookings rather than relying entirely on third-party distribution channels. 
<h2 aria-level="2">The strategic choice facing your business </h2>
The airports and car park operators that thrive in competitive markets understand their customers&#8217; behaviour patterns and price accordingly, using pricing as a strategic tool for revenue optimisation, demand management, and customer experience enhancement. 
Your current flat pricing model may feel safe and predictable, but it&#8217;s likely costing you more than you realise. Every peak period where you could capture additional value, every opportunity to shape demand through pricing signals, and every customer segment that values premium services differently represents unrealised revenue potential that competitors using dynamic approaches are capturing. 
The question isn&#8217;t whether you can afford to move away from flat pricing. It&#8217;s whether you can afford the opportunity cost of maintaining pricing approaches that don&#8217;t reflect market reality or customer behaviour.<span data-ccp-props="{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}"> 
The industry landscape is continuing to evolve as new transport options emerge, and customer expectations change. Those who adapt their pricing strategies to match these realities will build sustainable advantages, whilst those maintaining outdated approaches will find themselves increasingly disadvantaged in the market. 
<h2 aria-level="2">Unlock the revenue potential hidden in your pricing strategy </h2>
Download our guide, <a href="https://ca.vu/insights/pricing-guide/">‘Why your pricing strategy is costing you revenue – and what to do about it&#8217;</a>.
You’ll discover why flat pricing limits revenue, how dynamic pricing and product segmentation can transform results, and the four foundations of revenue-driving pricing: understanding demand, segmenting products, pricing for value, and introducing simple rules. 
The guide also highlights quick wins you can implement immediately and tips for building long-term growth.
<a href="https://signup.ca.vu/pricing-guide-signup/?_gl=1*13ll6jl*_ga*NzIwNTc0MjUuMTc2MDk2ODA3OQ..*_ga_QDM2BXW96D*czE3NjA5NzE3MTMkbzIkZzEkdDE3NjA5NzQwMTUkajYwJGwwJGgw">DOWNLOAD THE GUIDE</a>

Learn how to replace flat rates with dynamic pricing to capture demand, boost bookings, and unlock hidden revenue potential.

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The hidden cost of flat pricing (and how dynamic pricing helps)

Too many airports still rely on flat or manual pricing, often just moving drive-up rates online.
The result? Missed revenue, frustrated passengers, and unnecessary operational strain.
With rising competition and changing passenger behaviour, your pricing model needs to work harder to protect and grow your second-biggest income stream: parking.
Get expert insights on how to increase non-aeronautical revenue, boost online conversion, and improve the passenger experience in our free guide: <a href="https://signup.ca.vu/pricing-guide-signup/">Why Your Pricing Strategy Is Costing You Revenue (and What to Do About It)</a>.
<a href="https://signup.ca.vu/pricing-guide-signup/">DOWNLOAD THE GUIDE</a>
<h2 data-start="1733" data-end="1790">Why this guide matters</h2>
Outdated pricing leads to:
<ul data-start="1791" data-end="1936">
<li data-start="1791" data-end="1823">
Lost revenue in peak periods
</li>
<li data-start="1824" data-end="1859">
Missed conversion opportunities
</li>
<li data-start="1860" data-end="1900">
High churn from short-stay customers
</li>
<li data-start="1901" data-end="1936">
Increased passenger frustration
</li>
</ul>
This guide shows you how to change that.
Get expert-led guidance on how to align pricing with demand, capture more revenue without adding workload, and set your parking business up for long-term growth.
<h2 data-start="1938" data-end="2119">What you&#8217;ll learn</h2>
Discover how to move from reactive to revenue-driving pricing with practical guidance you can apply right away.
You’ll learn how to:
<ul data-start="502" data-end="1008">
<li data-start="502" data-end="607">
Identify hidden revenue gaps – Spot where static pricing is limiting growth and online conversion
</li>
<li data-start="608" data-end="708">
Apply smarter pricing models – Use dynamic rules and segmentation to align price with demand
</li>
<li data-start="709" data-end="825">
Build a scalable framework – Create a pricing structure that flexes with seasonality and passenger behaviour
</li>
<li data-start="826" data-end="910">
Capture quick wins – Implement simple changes that deliver measurable uplift
</li>
<li data-start="911" data-end="1008">
Drive long-term growth – Turn pricing from an operational task into a strategic advantage
</li>
</ul>
Don’t let outdated pricing hold your revenue back.
Get your copy now and start maximising every parking opportunity.
<a href="https://signup.ca.vu/pricing-guide-signup/">DOWNLOAD THE GUIDE</a>

Download our free guide to smarter airport pricing and learn how to boost revenue, improve efficiency, and enhance the passenger experience.

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Why Your Pricing Strategy is Costing You Revenue (And What to do About It) [Guide]

In our webinar, <a href="https://ca.vu/insights/maximise-revenue-webinar/">&#8216;Reimagining Airport Value: Actionable Tips for Maximising Revenue in an Evolving Market&#8217;</a>, we brought together two industry experts to discuss practical, actionable strategies for airport revenue growth. 
Mathilde Burtin-Bell, Head of Commercial Services for Ancillaries &amp; Marketplace at CAVU, and Albert Jan Prevoo, Captain of the FTE World Ancillary &amp; Retailing Working Group, shared insights on everything from pilot testing to partnership models. 
<h2 aria-level="2">Testing new ideas without breaking the bank </h2>
CAVU: Many airports want to innovate commercially but are concerned about unnecessary risks. What is your process for designing low-risk pilots that test new commercial ideas, and how do you measure whether it is worth scaling? 
Mathilde: “<a href="https://ca.vu/insights/reimagining-airport-value-webinar/">We started covering this in the first webinar</a>, but I break it down into four steps for a low-risk pilot. You can start as small as you want. 
“We often think, ‘What is the biggest thing we could do?’ but begin small. During the design process, define your hypothesis. Is it driven by a commercial goal or a customer need? 
“What problem are you trying to solve, and what commercial goals are you aiming for? For example, one objective might be to reduce the number of touchpoints a customer must go through to buy multiple products, removing friction to make buying easier. 
“Ultimately, we’re trying to address customer challenges. From a commercial perspective, we might aim to increase transaction value. So, consider both sides: what you want to achieve commercially and what problems customers face. 
“If you’re not solving a real pain point, the pilot’s unlikely to work. You should also set clear success metrics up front. Decide what success looks like for the pilot and how you’ll measure it. That measurement will tell you whether the idea is worth scaling.” 
Albert: “Profiling is so important. This applies to car parking as well. We were talking earlier about <a href="https://ca.vu/insights/why-is-dynamic-pricing-in-car-parks-key-to-boosting-revenue/">dynamic pricing</a>. 
“I’ve seen conversations where everything is judged against discounts or a driver rate. As soon as the price moves a certain way, people say ‘it’s too cheap’, but is it really? 
“Great value doesn’t mean everything has to be cheap. That’s a common misconception. Instead of making decisions based on assumptions, let the customer inform your process. 
“With digital transformation, you can see what people engage with, what they ignore, what price points resonate, and what do not. Putting the customer at the centre of that approach is key to unlocking true value. 
“<a href="https://ca.vu/insights/how-can-data-and-tech-reshape-passenger-experiences/">If you have the data</a>, make sure you use it to your advantage.”

<h2 aria-level="2">How to build partnerships that work </h2>
CAVU: Success depends heavily on the strength of airport partnerships with commercial partners. If a partnership is one-sided, it can hold success back. What should an airport look for in a partner, and what steps can be taken to make sure the relationship is mutually beneficial? 
Mathilde: “Strategic alignment on <a href="https://ca.vu/insights/how-are-premium-services-improving-the-passenger-experience/">passenger experience</a> and commercial goals is extremely important. You need to work together to deliver shared outcomes. 
“When forming a partnership, consider whether the partner has a proven ability to operate and scale in an airport environment and whether they can show relevant <a href="https://ca.vu/customer-stories/">success stories</a>. 
“Also consider their willingness to co-invest. Co-investment shows a business commitment to innovation, data and infrastructure. For example, with our booking platform, we have a client board where partners feed in innovation ideas and explain what they see and need. That shows real partnership. 
“Being a partner rather than only a service provider is where you unlock value. Transparency and reporting are essential. Data matters, so agreements on reporting and performance metrics must be clear. 
“Communication and collaboration are critical, and the airport needs to feel it is on a journey with the partner. 
“Finally, cultural fit should not be underestimated. We look at financials and success stories, but we must also ask: do we see ourselves working together? Do we share the same mindset and the same direction? That is very important for long-term success.” 
Albert: “I totally agree. Many airports still use long-term contracts that are effectively transactional. If the relationship is more of a partnership, you need a clear idea of joint benefits. 
“But talking about joint benefits also implies sharing joint risks. I&#8217;ve experienced that moving from fixed guaranteed payments to hybrid, performance-based models changes behaviour. 
“Partners become more like co-owners. When we moved to those hybrid forms in retail and brand partnerships, partners were more willing to invest in improving customer experience. 
“If you invest in joint development, you need to understand the outcomes and to share data and insights. That led us to create shared dashboards so both parties had a clear view of customer behaviour. 
“With that understanding we could optimise timing and placement of products and services and plan better campaigns. 
“This collaboration also changed how teams worked. Instead of only reporting quarterly results, we adopted cross-trained teams. 
“When the airport commercial team and retail partners worked together, and the parking team understood lounge operations, they were better able to design bundles. 
“When lounge staff and retail partners understand passenger flow patterns they can also adjust capacity and staffing, creating operational efficiencies and additional benefits. 
“I also like what Mathilde said about setting aside an innovation budget. It moves the relationship beyond current business and provides a foundation for ideation on how we can improve together. 
“Start small, but adopt a hybrid model. It signals that you are both in it together. There are examples of this working well, and I think it is the base for moving beyond purely transactional relationships.” 
Mathilde: “That performance-based model is important for both sides to feel like they are in a win-win relationship. It stops one side from feeling they are taking advantage of the other. 
“The difficulty with some long-term concessions and setups is how you incentivise long-term value creation. Structuring contracts with a mix of a fixed fee and performance-based elements over time tends to work well. 
“It rewards long-term thinking rather than short-term guarantees. Each product team also needs to understand how the other teams operate. That end-to-end flow and collaboration with partners creates interesting opportunities.” 
Albert: “And it’s about not trying to claim customer ownership or dividing the pie. It’s about growing the pie together. 
“Sharing insights and data means, for example, that a retailer who understands who is travelling and why can shift stock and create more relevant propositions. 
“I also think brands are an underused part of this discussion. Brands, especially in food and beverage and retail, deliver the content and messaging that retailers can use to engage customers. Brands can and should be more involved in these partnership conversations.” 
Mathilde: “Absolutely. It depends on the airport. We operate lounges and work with third-party airports, and the level of data sharing varies. 
“Some airports will share passenger forecasts and hourly footfall for the next three months. Others only share retroactive figures, saying, ‘Yesterday you had this many passengers.’ 
“The difference in what is shared and when it is shared is significant. The right data shared at the right time benefits everyone.”

<h2 aria-level="2">Technology as the foundation for growth<span data-ccp-props="{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;201341983&quot;:0,&quot;335559738&quot;:299,&quot;335559739&quot;:299,&quot;335559740&quot;:360}"> </h2>
CAVU: With the right tools, airports can make faster decisions, personalise experiences and optimise revenue. What should airports consider when they use technology to drive ancillary revenue? 
Albert: “I would summarise this as platform principles for revenue-driven technology. 
“First, a customer-centric architecture. Build around customer lifetime value, not product categories. Your tech should enable cross-selling naturally. 
“For example, if a customer books parking, the system should intelligently suggest relevant add-ons based on the travel profile, rather than a generic upsell. 
“The recommendations should inform, advise or recommend in a way that is relevant to the traveller. 
“Second, API-first integration. Any tech you buy must be able to integrate with current systems and future partners. I’ve seen airports invest heavily in optimising a product, only to find it cannot connect to a parking system or loyalty programme. Make sure your API documentation is clear and procurement is aligned before you make purchases. 
“Third, clear data collection and ownership. Define who owns customer data and what data is collected and agree how insights will be shared. That includes GDPR compliance and ensuring data is safe, secure and stable. Clear data governance upfront makes innovation faster and more feasible. 
“Fourth, revenue attribution transparency. Technology must show which touchpoints drive revenue, even across omnichannel journeys. If your platform cannot prove, for instance, that fast-track security customers spend 34 or 35% more in retail, you cannot optimise the experience. 
“You need a holistic view. And finally, start small and iterate. Don’t buy the most complex suite of solutions up front. 
“For us, the implementation rule is start connected, not complex. If a simple booking platform can connect three services effectively, that will beat a sophisticated app that works in isolation. 
“These are the key rules for a platform designed to drive revenue.” 
Mathilde: “I agree with the API-first point. Many providers still lack an API-first approach. Buying tech that is not future-proof will limit your return on investment. 
“Eventually you hit brick walls in growth. Tech is an enabler, not the solution itself. Integration across multiple products is crucial and ties back to omnichannel performance. 
“The tech must bring together touchpoints: booking, apps, and in-airport services. You need that single place to merge data so you can answer questions such as: if someone buys meet and greet, what is their propensity to buy fast-track? 
“What is their propensity to spend in retail? If you lack a platform that gives visibility, you will have siloed, duplicated passenger profiles: a fast-track passenger, a parking passenger, a lounge passenger, and a retail passenger, without understanding how they connect. 
“That is dangerous. Finally, tech should improve relevance and ease for the passenger, but keep human oversight. 
“Automation where possible is brilliant, but airports have context and people on the ground who add judgement and insight. Ask for a glass box rather than a black box.” 
Albert: “Many airports already sit on untapped potential across systems such as CRM, point of sale and other data sources. 
“These sources can be used to benefit everyone, but only if teams start talking to each other and use the data effectively.” 
<h2 aria-level="2">Ready to transform your airport’s revenue strategy?<span data-ccp-props="{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;201341983&quot;:0,&quot;335559738&quot;:299,&quot;335559739&quot;:299,&quot;335559740&quot;:360}"> </h2>
These insights represent a fraction of the strategies discussed during the webinar. 
From Albert’s platform principles for revenue-driven technology to Mathilde’s partnership evaluation framework, the full conversation gives concrete tools to apply immediately. 
<a href="https://signup.ca.vu/webinar-sept25-ondemand/?_gl=1*137nzsk*_ga*MTM1MTEyNDk1NC4xNzM4OTM2NzY4*_ga_QDM2BXW96D*czE3NTgxMjE3NTEkbzQwMSRnMSR0MTc1ODEyNDU0NCRqMSRsMCRoMA..">CLICK HERE</a> to watch the complete webinar to discover and gain a breadth of insights to support revenue growth for your airport.

Discover expert strategies to boost airport revenue with low-risk pilots, performance-based partnerships, and smart tech solutions.

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Practical strategies for driving ancillary revenue at airports

As airports and airlines face mounting pressure to diversify revenue streams beyond traditional aeronautical fees, non-aeronautical services, particularly premium lounges, have emerged as critical growth drivers. 
Passenger expectations are evolving, competition is intensifying, and the industry is rethinking how to deliver personalised experiences that boost both satisfaction and profitability. 
Rob Hassard, Head of Growth &#8211; Experiences at CAVU, will be joining a panel discussion on non-aeronautical revenue at the upcoming <a href="https://www.terrapinn.com/conference/aviation-festival/?trc=blog&amp;_gl=1*18epj3b*_ga*MTIwMDY3NzEzNS4xNzU0Mzk2NTA5*_ga_5S24BR8VGQ*czE3NTY0NjMyMDYkbzMkZzEkdDE3NTY0NjMyMTAkajU2JGwwJGgw">World Aviation Festival</a>, where industry leaders will explore innovative approaches to commercial operations. 
In this Q&amp;A, he addresses the key challenges and opportunities facing airports.
CAVU: What challenges do airports face in generating non‑aeronautical revenue, such as lounges? 
Rob: A key challenge is that travellers increasingly want certainty and control. The traditional turn‑up or walk‑in model doesn&#8217;t work during peak times. Pre-bookable services help by guaranteeing access and providing airports with better visibility of demand and customer behaviour.
Another issue is that airports often don&#8217;t know their customers directly because the relationship typically sits with the airline. Again, when airports offer pre‑bookable services like lounges, they can begin building a direct understanding, capturing data, learning preferences, and tailoring experiences. 
Space is another constraint. With premium real estate, areas once considered commercially unviable are being re‑examined. Lounges can be a quick and useful way to prove a concept; if passengers respond well, that can underpin a longer‑term investment that improves both experience and returns. 
CAVU: Can you share examples of airports that have balanced short‑term gains with long‑term loyalty? 
Rob: Bristol Airport is a good example. We reopened two lounge spaces, including one that had been dormant since before the pandemic. Rather than waiting for major capital outlay, the focus was on service delivery and flexible booking.
The early customer response was strong, which gave both the airport and CAVU confidence to invest in a facility that significantly enhances the guest experience and supports longer‑term growth. 
CAVU: How can lounges practically use personalisation to improve revenue and satisfaction? 
Rob: Lounges are well‑suited to personalisation. Pre‑booking provides useful signals about who is travelling, when, and in what context. That enables targeted experiments, whether that&#8217;s new food options, seating layouts, or bundled services.
Some ideas land, others don&#8217;t; the value is in learning quickly and adapting. The aim is a lounge experience that feels considered and relevant enough for people to choose it again. 
CAVU: Where are the biggest opportunities: before the trip, in the lounge, or after the journey? 
Rob: Pre‑trip is the most valuable point. That&#8217;s when customers are planning and most open to relevant, value‑adding options, lounge access, fast track, or thoughtful bundles. 
With pre‑booking, offers can be tailored by flight time, party size, or previous behaviour. Many operators are putting more emphasis on this window because it can lift uptake while reducing uncertainty for passengers. 
CAVU: How do you see lounges using data and AI to improve both revenue and the passenger experience? 
Rob: Lounges generate a lot of data, and as pre‑booking grows, that dataset becomes richer. Today, much of it supports operational planning. 
The next step is using it to shape the guest experience, understanding trip purpose, travel companions, and timing to fine‑tune services within what are often tight physical footprints. Applied well, data and AI can help deliver more differentiated experiences without needing significantly more space. 
CAVU: How can lounges work more closely across teams, and with airlines, to overcome internal barriers and improve outcomes? 
Rob: The airport ecosystem is full of useful data. The opportunity is collaborative: when airports, airlines, and commercial partners share insight appropriately, decisions become more joined‑up, communication to passengers improves, and experiences can be more personalised. Revenue matters, of course, but clarity about what to expect and a smoother journey tend to benefit everyone.
<h2 aria-level="2">Join the conversation at the World Aviation Festival </h2>
Rob will be exploring these themes and more during his panel discussion on non-aeronautical revenue at the World Aviation Festival. 
To continue the conversation and discover how we can help transform your airport&#8217;s commercial operations, visit us at our stand during the event. 
Our team will be on hand to discuss tailored solutions for lounge operations, pre-booking platforms, and data-driven passenger experience strategies that drive both revenue growth and customer satisfaction. 
<a href="https://signup.ca.vu">Sign up for our newsletter,</a> keep up with the latest industry updates and get insights to support your non-aeronautical growth.

Rob Hassard, Head of Growth – Experiences at CAVU, shares insights on non-aeronautical revenue challenges, as well as key growth opportunities.

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Unlocking non-aeronautical revenue: Common challenges and future opportunities

For airports, non-aeronautical revenue is essential for financial stability, whilst playing a key role in improving the passenger experience. 
With airline fees fluctuating and passenger expectations evolving, airports must find new ways to secure financial stability. Non-aeronautical revenue generated through ancillary services has become the key to sustainable growth. 
But what exactly is non-aeronautical revenue, and why does it play such a vital role in an airport’s success? 
<h2 aria-level="2">Aeronautical Revenue vs Non-Aeronautical Revenue </h2>
Airports generate revenue through two primary channels: aeronautical and non-aeronautical revenue. 
<h3 aria-level="3">What is Aeronautical Revenue? </h3>
Aeronautical revenue comes directly from airline operations, including landing fees, terminal rentals, passenger service charges, and aircraft parking. This income is essential but can fluctuate based on airline demand, economic conditions, and travel disruptions. 
<h3 aria-level="3">What is Non-Aeronautical Revenue?</h3>
Non-aeronautical revenue, on the other hand, includes all earnings generated outside of airline operations. 
This covers parking, retail, food and beverage services, lounges, and other premium services. By prioritising these alternative revenue streams, airports can build financial resilience, reduce reliance on airline fees, and invest in infrastructure and service enhancements.

<h2 aria-level="2">How to Maximise Non-Aeronautical Revenue </h2>
<h3 aria-level="3">Parking and Ground Transportation Services </h3>
<a href="https://ca.vu/insights/key-airport-parking-trends/">Car parking</a> remains one of the most significant non-aeronautical revenue sources for many airports. To increase earnings, airports can introduce tiered pricing structures that offer premium, economy, and valet parking options, catering to a range of customer preferences. 
Using <a href="https://ca.vu/insights/why-is-dynamic-pricing-in-car-parks-key-to-boosting-revenue/">dynamic pricing models</a> that adjust rates based on demand can also help maximise revenue, while forming partnerships with ride-hailing services to create dedicated pick-up and drop-off zones can generate additional income and improve the passenger experience. 
<h3 aria-level="3">Retail and Dining Offerings </h3>
Passengers often spend considerable time in airport terminals, creating ample opportunities to increase retail and food and beverage sales. 
Expanding duty-free offerings and introducing high-end retail brands can attract premium spenders while ensuring a variety of dining options that appeal to a broader audience. 
Airports focusing on local and international culinary experiences can further enhance their appeal, encouraging passengers to spend more time and money within the terminal. 
<h3 aria-level="3">Advertising Opportunities </h3>
Advertising is another lucrative non-aeronautical revenue stream that airports can leverage effectively. By making use of high-traffic areas such as check-in zones, security queues, and departure lounges, airports can offer brands premium exposure to a captive audience. 
Digital screens, interactive displays, and targeted mobile advertising can create additional revenue while also providing passengers with engaging content during their journey.

<h3 aria-level="3">Lounge and Premium Services </h3>
Offering services such as <a href="https://ca.vu/insights/evolution-of-airport-lounges/">airport lounges</a>, unique experiences (<a href="https://ca.vu/insights/aether-private-terminal-launch/">such as aether</a>), fast-track security, and concierge services can generate significant non-aeronautical revenue. 
Many passengers are willing to pay for a more comfortable and seamless airport experience, with <a href="https://businesstravelerusa.com/news/study-more-than-half-of-frequent-travelers-use-airport-lounges/">over half (57%) of frequent flyers using airport lounges</a>.  
By partnering with airlines or third-party providers, airports can ensure these services are widely accessible while generating additional revenue. 
<h3 aria-level="3">Developing Non-Traditional Revenue Streams </h3>
Beyond the more conventional sources, airports can explore innovative ways to boost non-aeronautical revenue. Hosting events, leasing space for business conferences, or even incorporating entertainment experiences within the terminal can attract new income streams. 
Additionally, integrating e-commerce and click-and-collect shopping services allows passengers to make purchases before arriving at the airport, increasing conversion rates for retailers.

<h2 aria-level="2">Optimising Digital Engagement for Non-Aeronautical Revenue </h2>
In addition to traditional revenue streams, airports can further boost non-aeronautical revenue by using digital tools that engage passengers innovatively. For instance, offering parking reservation software allows passengers to secure their parking spaces ahead of time, ensuring smooth operations while guaranteeing revenue. 
Similarly, pre-order food and beverage services allow passengers to purchase meals in advance and skip the queues, enhancing customer satisfaction and increasing sales. 
<h3 aria-level="3">Loyalty Programs and Proximity Marketing </h3>
Building passenger loyalty through reward programs and proximity marketing is another strategy to drive non-aeronautical revenue. By offering discounts, upgrades, or exclusive deals through loyalty schemes, airports can encourage repeat spending.  
The role of location-based advertising and personalisation is becoming increasingly important in creating <a href="https://ca.vu/insights/connected-travel-and-personalisation-in-the-passenger-journey/">seamless, connected experiences</a> within airports. By using passenger data and real-time location insights, airports can deliver targeted offers and promotions, improving the shopping experience while driving non-aeronautical revenue. 
This shift towards personalised engagement is essential in meeting evolving consumer expectations, a sentiment echoed by Roisin Evans, Head of Customer Marketing at CAVU: 
“Users are more cautious about spending and expect maximum value at every stage of their journey. 
“Personalisation has become essential, with seamless, lifecycle-driven experiences powered by first-party data now a standard expectation.  
&#8220;Generic marketing no longer works—customers demand tailored, multi-channel communication that makes them feel understood and valued.” 
<h3 aria-level="3">Use of Real-Time Data Analytics </h3>
To drive non-aeronautical revenue, airports must use real-time analytics to better understand passenger behaviours and trends. Paris Bielby, Data Director at CAVU, explains how data-driven insights can improve revenue generation: 
“When it comes to pre-travel upselling, it’s all about making things convenient. Using generative AI can help streamline how information is shared during transactions, leading to higher conversion rates. 
“During the travel experience, it’s more about understanding behavioural trends and passenger sentiments. If people in departure lounges are looking for more space, data can help manage the timing for when passengers are called to the gate, allowing everyone to move around more comfortably. 
“After the travel experience, the focus shifts to how brands can get creative and incentivise feedback. If companies want to know what rewards or incentives their customers would appreciate, they need to offer something in return for that feedback. It’s a win-win to keep the conversation going.” 
By tracking which services are in high demand, airports can adjust pricing and availability, maximising opportunities for increased non-aeronautical revenue. This data-driven approach allows airports to fine-tune their offerings and align them with passenger preferences.

<h2 aria-level="2">Optimise Your Strategy and Increase Non-Aeronautical Revenue with propel™ </h2>
To successfully implement these strategies, airports need a platform that simplifies operations while enhancing the passenger experience. 
propel™ provides a specialised eCommerce solution tailored to the travel industry, offering a seamless white-label booking flow that allows passengers to browse, book, and pay for services like parking, lounges, and car rentals in just a few clicks. 
With advanced pricing tools and detailed reporting, propel™ enables airports to manage products and pricing effectively, driving revenue growth and ensuring competitive pricing strategies. 
propel™ also delivers valuable insights into product performance, helping airports track inventory, identify high-demand services, and make data-driven decisions to optimise sales, ensuring that services remain fully booked and boosting financial performance. 
<a href="https://ca.vu/platform/">Get in touch today</a> for more information on how we can lay the foundation for increasing your airport’s revenue goals.

Discover how airports can boost non-aeronautical revenue by using parking, retail, lounges, and more to improve their income.

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Non-Aeronautical Revenue: What It Is, Why It’s Essential, and How It Boosts Airport’s Earnings

At CAVU, our mission is to create solutions that deliver measurable value for our customers and meaningful improvements for their passengers. 
The most effective way to achieve this is by building our roadmap hand-in-hand with the people who use our products and services every day. That’s why our Customer Advisory Board (CAB) is a cornerstone of our approach. 
Last month, we concluded our latest series of CAB sessions, bringing together a diverse group of airport leaders, operators, and innovators from across our customer network. These sessions provide an opportunity to share updates while also serving as a forum for honest conversation, constructive challenge, and collaborative problem-solving. The ideas and feedback we receive directly shape the direction of our business. 
Martin Jones, CAVU CEO, outlined why CAB matters to us and the benefit it brings our customers: 
<blockquote>Feedback gathered during our Customer Advisory Board is invaluable, but there&#8217;s to it than that. It provides a basis to develop a genuine partnership with our customers, ensuring we’re listening, learning, and building solutions that make a real difference. 
By understanding our customers’ challenges and ambitions first-hand, we can prioritise developments that deliver real value and provide tangible support moving forward.</blockquote>
While our teams bring expertise in technology, data, and commercial strategy, it is our customers who understand the day-to-day realities of airport operations, evolving passenger expectations, and local market dynamics. Their insight helps us focus on developments that will have the greatest impact. 
The CAB delivers invaluable first-hand insight. Hearing directly from customers ensures our solutions remain relevant, while bringing together diverse viewpoints helps us uncover opportunities and avoid blind spots. Every piece of feedback is reviewed, prioritised, and translated into actionable development plans. 
These sessions help us to: 
<ul>
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</ul>
<ul>
<li aria-setsize="-1" data-leveltext="" data-font="Symbol" data-listid="3" data-list-defn-props="{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}" data-aria-posinset="2" data-aria-level="1">Prioritise enhancements with the biggest operational and commercial impact </li>
</ul>
<ul>
<li aria-setsize="-1" data-leveltext="" data-font="Symbol" data-listid="3" data-list-defn-props="{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}" data-aria-posinset="3" data-aria-level="1">Validate new concepts before committing to full development </li>
</ul>
This approach ensures our roadmap reflects the needs, challenges, and ambitions of our customers, rather than internal assumptions. 
Joel Godfrey, Digital Product Director at CAVU, shared his thoughts on the key role CAB plays in shaping our product strategy and development: 
<blockquote>Spending time with our clients, face-to-face, working through common challenges our customers face and opportunities to create a better, more connected trip in future is invaluable. 
It can be too easy to think you&#8217;re onto the next great thing &#8211; having the opportunity to stress test our roadmap and the freedom to collaborate on new ideas helps us be confident that what we&#8217;re building genuinely helps make travel seamless and enjoyable for everyone.</blockquote>
Over the coming months, we will translate that feedback into product improvements and new capabilities that deliver benefits for our customers and their passengers. 
We&#8217;re grateful to every member of the Customer Advisory Board for their time, expertise, and input. Together, we are shaping solutions that will define the future of airport experiences, and we look forward to continuing the conversation at our next CAB. 
<a href="https://signup.ca.vu">Sign up for our monthly newsletter</a> to access the latest CAVU updates, industry expertise, and ongoing updates about our product roadmap.

Learn how our annual Customer Advisory Board (CAB) plays a pivotal role in shaping our product roadmap at CAVU and how it benefits our customers. 

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