🛒 What Are Ancillary Services?
When tourists travel, they need more than just a flight and a hotel room. They need a whole range of extra services that support their trip and make it more comfortable, convenient and enjoyable. These are called ancillary services.
Think of ancillary services as the "add-ons" of tourism the things that sit alongside the main product (transport and accommodation) and fill in all the gaps.
Key Definitions:
- Ancillary services: Additional or supplementary services that support the main tourism product. They are not the core reason for travel but are essential to making the trip work smoothly.
- Tourist types: Different groups of tourists with different needs such as families, solo travellers, elderly tourists, business tourists and budget travellers.
- Service provider: Any business or organisation that delivers a service to tourists, such as a car hire company, travel insurance firm, or currency exchange bureau.
💡 Why Ancillary Services Matter
Ancillary services can make or break a holiday. A family that can't get a pushchair through a theme park, or a business traveller who can't print documents at their hotel, will have a poor experience even if the flight and room were perfect. Getting ancillary services right is a huge part of customer satisfaction in tourism.
👥 Types of Ancillary Services
Ancillary services cover a very wide range of things. Here are the main categories you need to know:
🚘 Transport-Related
Car hire, airport transfers, taxi services, shuttle buses, bike hire and parking facilities.
💳 Financial Services
Currency exchange, travel insurance, travel money cards and ATM access at destinations.
🏭 Business Services
Conference facilities, Wi-Fi, printing, secretarial support and meeting room hire.
🎮 Entertainment & Leisure
Excursions, guided tours, spa treatments, childcare, kids' clubs and evening entertainment.
📖 Information Services
Tour guides, maps, travel apps, tourist information centres and destination concierge services.
👼 Personal Services
Porterage, laundry, room service, medical assistance and translation services.
👪 Ancillary Services for Families with Young Children
Families travelling with young children have very specific needs. Without the right ancillary services, a family holiday can quickly become stressful. Tourism providers who get this right earn loyal, repeat customers.
What Families Need
Families with young children need services that keep children safe, entertained and comfortable while also giving parents some time to relax. Here are the key ancillary services aimed at this group:
🏘 Kids' Clubs and Childcare
Many all-inclusive resorts and holiday parks offer supervised kids' clubs where children can play, do activities and make friends while parents get a break. These are often split by age group (e.g. toddlers, juniors, teens) to make sure activities are suitable. Some resorts offer evening childcare so parents can enjoy dinner alone.
🚗 Child Car Seats and Pushchair Hire
Car hire companies like Hertz and Europcar offer child car seats as an add-on. This is essential for families who don't want to carry bulky equipment on the plane. Some destinations also offer pushchair hire at theme parks and tourist attractions.
🍽 Child-Friendly Dining
Restaurants and hotels offering children's menus, high chairs and early dining options are providing ancillary services tailored to families. Some cruise lines offer dedicated family dining rooms with familiar, simple food for fussy eaters.
😉 Baby Equipment and Supplies
Some hotels offer cots, baby baths, sterilisers and even nappy delivery services. Holiday companies like Mark Warner and Club Med provide baby equipment as part of their family package, removing the need to travel with heavy gear.
🏭 Case Study: Thomson (now TUI) Family Holidays
TUI is one of the UK's biggest package holiday providers and has developed a strong range of ancillary services specifically for families. Their TUI Family Life hotels offer dedicated kids' clubs for ages 3โ17, baby equipment hire, family entertainment programmes and child-friendly pool areas. TUI also offers a Kids Eat Free deal at selected hotels. These ancillary services are a major selling point families choose TUI specifically because of them, not just because of the destination.
👴 Ancillary Services for Elderly Tourists
The elderly tourist market is one of the fastest-growing segments in global tourism. People aged 60+ often have more time and money to travel than younger tourists. However, they may need specific ancillary services to ensure their trip is comfortable and safe.
Key Ancillary Services for Elderly Tourists
♿ Mobility Assistance
Airports provide wheelchair assistance and electric buggies for passengers who struggle to walk long distances. Airlines offer priority boarding. Hotels offer lifts, grab rails and ground-floor rooms. These are all ancillary services that make travel possible for elderly tourists who might otherwise stay home.
💊 Medical and Insurance Services
Travel insurance tailored for older travellers (covering pre-existing conditions) is a crucial ancillary service. Companies like Saga and Staysure specialise in over-50s travel insurance. Some cruise ships carry onboard doctors and medical facilities a major draw for elderly passengers.
Elderly tourists also benefit from escorted tours where a guide handles all logistics, slower-paced itineraries that don't involve rushing and porterage services so they don't have to carry heavy luggage. Coach holidays, which are very popular with older tourists, bundle many of these ancillary services into one package.
🏭 Case Study: Saga Holidays
Saga is a UK travel company that exclusively serves the over-50s market. Their holidays are built around ancillary services designed for elderly tourists: door-to-door travel (including a taxi to the airport), comprehensive travel insurance, escorted tours with experienced guides, accessible accommodation and small group sizes. Saga cruises include onboard medical teams. The entire business model is built on understanding what ancillary services this tourist type needs and delivering them seamlessly.
💼 Ancillary Services for Business Tourists
Business tourists travel for work attending meetings, conferences, trade fairs, or training events. Their needs are very different from leisure tourists. They are often travelling on a tight schedule and need services that help them stay productive and connected.
📱 Connectivity
Fast, reliable Wi-Fi is non-negotiable for business tourists. Hotels like Hilton and Marriott advertise their high-speed internet as a key selling point. Airport business lounges (e.g. British Airways Club Lounge) offer quiet workspaces and charging points.
📋 Conference & Meeting Facilities
Hotels near city centres and airports often have dedicated conference rooms, AV equipment and event management staff. These are ancillary services that attract corporate clients and generate significant revenue for hotels.
🚘 Express Transport
Business tourists need reliable, fast transport. Services like chauffeur-driven airport transfers, express check-in and priority security lanes at airports are ancillary services that save precious time.
📈 Did You Know?
Business tourists typically spend three times more per trip than leisure tourists. This makes them extremely valuable to the tourism industry. Airlines, hotels and airports invest heavily in ancillary services for business travellers because the financial return is so high. Business class seats, airport lounges and loyalty programmes (like British Airways Executive Club) are all examples of ancillary services designed to attract and retain business travellers.
🏃 Ancillary Services for Solo Travellers
Solo travel is growing rapidly, especially among young adults and women travelling alone. Solo travellers have unique needs they are often more independent but may also feel more vulnerable, especially in unfamiliar destinations.
What Solo Travellers Need
👥 Social Opportunities
Solo travellers often want to meet other people. Ancillary services like group tours, hostel social events and shared excursions help solo travellers connect with others. Companies like Intrepid Travel and G Adventures specialise in small group tours that attract solo travellers.
🔒 Safety Services
Solo travellers particularly women value safety-focused ancillary services. These include female-only dormitories in hostels, 24-hour reception, locker storage and safe taxi booking services. Apps like Uber provide a safer alternative to hailing unknown taxis.
Solo travellers also frequently use travel apps (an ancillary service in itself) for navigation, translation and booking. They may also use travel insurance that covers single-person cancellation and emergency assistance.
💰 Ancillary Services for Budget Travellers
Budget travellers want to spend as little as possible. They are often young backpackers, students, or people travelling on a tight income. Their ancillary service needs are different they want cheap, practical options rather than luxury add-ons.
🏠 Budget Accommodation Add-Ons
Hostels provide ancillary services like self-catering kitchens (so guests can cook instead of eating out), luggage storage, free maps and notice boards with tips from other travellers. These low-cost services are hugely valued by budget tourists.
✈ Low-Cost Airline Add-Ons
Budget airlines like Ryanair and easyJet make a huge proportion of their revenue from ancillary services baggage fees, priority boarding, seat selection and in-flight food. In 2023, Ryanair earned over โฌ3 billion from ancillary revenue. Budget travellers must choose carefully which add-ons they actually need.
🏭 Case Study: Ryanair and Ancillary Revenue
Ryanair is the world's most famous example of ancillary service revenue in aviation. The airline keeps base fares extremely low to attract budget travellers, then generates profit through ancillary charges: checked baggage (up to โฌ70 per bag), priority boarding (โฌ6โโฌ12), seat selection (โฌ4โโฌ30), travel insurance, car hire and hotel bookings through their website. In some years, ancillary revenue has accounted for nearly 30% of total revenue. This model has been copied by budget airlines worldwide. For budget travellers, understanding these charges is essential to managing costs.
⚖ Comparing Ancillary Services Across Tourist Types
It's useful to compare how different tourist types need very different ancillary services even for the same basic journey. The table below summarises the key differences:
Ancillary Service Needs by Tourist Type
| Tourist Type |
Key Ancillary Services Needed |
Example Provider |
| 👪 Families |
Kids' clubs, child car seats, children's menus, cots, baby equipment |
TUI Family Life Hotels |
| 👴 Elderly Tourists |
Wheelchair assistance, travel insurance, porterage, escorted tours, medical services |
Saga Holidays |
| 💼 Business Tourists |
Wi-Fi, conference rooms, chauffeur transfers, airport lounges, express check-in |
Hilton Hotels, BA Lounges |
| 🏃 Solo Travellers |
Group tours, safe taxi apps, locker storage, social events, travel insurance |
Intrepid Travel, Hostels |
| 💰 Budget Travellers |
Self-catering kitchens, luggage storage, low-cost add-ons, free maps |
Ryanair, Hostels |
📈 Why Ancillary Services Matter for Tourism Businesses
Ancillary services are not just nice extras they are a major source of income for tourism businesses and a key driver of customer satisfaction. Here's why they matter so much:
💲 Revenue Generation
For airlines, hotels and tour operators, ancillary services can generate significant additional income beyond the core product. This helps businesses stay profitable even when base prices are low.
💖 Customer Loyalty
When tourists feel their specific needs are met whether they're a family, elderly, or a solo traveller they are more likely to return and recommend the provider to others. Good ancillary services build loyalty.
🏆 Competitive Advantage
In a crowded market, ancillary services help businesses stand out. A hotel that offers a brilliant kids' club will attract families over a rival that doesn't. Ancillary services are a key part of the overall tourism product.
💡 Exam Tip!
In the exam, you may be asked to suggest ancillary services for a specific type of tourist, or to explain why a particular service is important. Always link your answer to the specific needs of the tourist type. For example: "Business tourists need fast Wi-Fi because they need to stay connected to their office and attend virtual meetings while travelling." Don't just list services explain why they matter to that particular group.
🏭 Case Study: P&O Cruises Ancillary Services for All Tourist Types
P&O Cruises is one of the UK's leading cruise operators and provides an excellent example of how a single tourism business can offer ancillary services tailored to multiple tourist types simultaneously.
How P&O Cruises Serves Different Tourist Types
👪 For Families
P&O offers dedicated children's clubs (The Reef) for ages 2โ17, a teen zone, family cabins, children's menus and babysitting services. Family-friendly shore excursions are also available as ancillary bookings.
👴 For Elderly Tourists
P&O provides wheelchair-accessible cabins, onboard medical centres with doctors and nurses, mobility scooter hire and escorted shore excursions with slower pacing. Travel insurance is available through their partner providers.
💼 For Business Tourists
Some P&O ships offer conference facilities and business centres with Wi-Fi, printing and meeting rooms catering to corporate groups using cruises for incentive travel and team events.
🏃 For Solo Travellers
P&O has introduced solo cabins on newer ships (such as Iona) with no single supplement, plus dedicated solo traveller social events and dining tables ancillary services specifically designed to make solo cruising more appealing.
P&O's success shows that a single tourism provider can serve multiple tourist types by offering a wide range of ancillary services that can be mixed and matched depending on who is travelling.
✅ Summary: Key Points to Remember
- Ancillary services are additional services that support the main tourism product they are not the core reason for travel but are essential to a good experience.
- Different tourist types have very different ancillary service needs families need childcare and baby equipment; elderly tourists need medical services and mobility assistance; business tourists need Wi-Fi and conference facilities.
- Ancillary services are a major source of revenue for tourism businesses especially budget airlines like Ryanair, which earn billions from add-on charges.
- Getting ancillary services right builds customer loyalty and gives businesses a competitive advantage.
- Companies like Saga (elderly tourists), TUI (families) and P&O Cruises (multiple tourist types) show how ancillary services can be the defining feature of a tourism product.
- In the exam, always link ancillary services to the specific needs of the tourist type being discussed.