1 / 7

New App Offers Flights with Subscription Billing Model

Growing numbers of businesses discovered the benefits of using subscription billing to monetize their digital services. Now, other types of business types are trying out subscription billing model to maximize their online revenue. OneGo, a new startup, will enable users to fly across the country based on a subscription fee.<br>Learn about subscription billing: https://www.vindicia.com/solutions/subscription-billing/<br>

Vindicia
Download Presentation

New App Offers Flights with Subscription Billing Model

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. New App Offers Flights with Subscription Billing Model © 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential. 1

  2. New App Offers Flights with Subscription Billing Model A growing number of businesses are discovering the benefits of monetizing their services using subscription billing. However, the vast majority of these brands offer software as a service, apps or curated retail boxes. Now, other types of businesses are experimenting with subscription billing as well, even airlines. Flying subscription style OneGo, a new startup, will allow users to fly across the country based on a subscription fee. Not surprisingly, the service doesn't come cheap, and it's likely aimed more at business travelers than the average leisure flyer. The service divides the U.S. into three regions, West, Central and East. Users can subscribe to flights within a specific region or nationwide. Each selection has a unique price associated with it. A Nationwide subscription costs close to $3,000 per month, while the Eastern region is the second- most expensive, at $2,300 per month. West and Central cost $1,500 and $1,950 per month, respectively. All of this comes after an initial setup fee of $495. To cover baggage fees and seat upgrades, OneGo asks for an additional $750 per month. According to Bloomberg Business, OneGo hopes to use subscriptions to make the business of paying for flights more predictable, which could mean greater savings for travelers. 2 © 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.

  3. A new subscription service hopes to make business travel easier. 3 © 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.

  4. "OneGo helps to level the playing field by making air travel costs more predictable for even the most frequent travelers," according to an FAQ on the app's website. "The consolidated buying power of OneGo's customers allow us to obtain better pricing that we can then pass on to those travelers.“ So far, users have access to 76 U.S. airports and seven top airlines, including American Airlines, JetBlue and Southwest. Booking flights Another benefit of the service is simplified booking. Currently, subscribers can have up to four active bookings at once, and travelers are required to book these flights a week in advance. After paying upfront, travelers wouldn't have to worry about choosing indirect flights or sorting through other options just to find the best price. According to The Next Web, the app hopes to allow up to eight bookings in the future and will also allow users to make last-minute travel arrangements. The ability to schedule extremely last-minute travel would make the service more valuable. Businesses are often in the position where they schedule meetings for the next day and often take a financial blow getting employees on a flight to make it in time. In this case, paying a subscription would be a good cost-saving measure for companies. 4 © 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.

  5. To earn money from the subscription billing approach, OneGo is hoping that most months, users won't fly enough to cover the entire fee. This business model is a familiar one – insurance companies and local Bloomberg Business pointed out. But will it catch on? Users can sign up starting in February, but the iOs app won't be available until March. Currently, there is no Android version, although the brand plans to release one in the future. gyms use the same approach, 5 © 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.

  6. About the Author: Bryta Schulz Bryta joined Vindicia in 2013 and serves as Senior Vice President of Marketing. She is responsible for building brand awareness, creating go-to-market strategy and promotion, and driving growth. With over a decade of executive level marketing, product management and PR experience, Bryta has led marketing teams in enterprise technology and SaaS companies. Her experience includes heading product marketing at GoGrid, PGP, RSA and Symantec and business development and product management positions at Xcert, Thales, and Persistence Software. Bryta holds a MA in Translation from the Johannes Gutenberg University Mainz and an MBA from the University of Reutlingen. Visit our Blog for more information. 6 © 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.

  7. Thank You Like us on Facebook facebook.com/vindicia Follow us on Twitter @Vindicia Connect with us on Linkedin linkedin.com/company/vindicia © 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential. 7

More Related