Ryanair Shuts Down Prime Membership as Discounts Outstrip Revenue
Airlines/Aviation/Travel

Ryanair Shuts Down Prime Membership as Discounts Outstrip Revenue

Ryanair has discontinued its Prime membership program, citing financial losses as the reason for the decision. The airline acknowledged that the costs associated with the program exceeded the revenue generated.

Background

Ryanair has chosen to end its Prime membership initiative merely eight months after its inception, which was intended to cement loyalty among regular travelers. The airline stated that no new members would be accepted into the program, but the current 55,000 Prime members will continue to enjoy monthly promotions until October 2026.

The withdrawal is a result of a straightforward financial discrepancy: the costs outstripped the benefits. According to Chief Marketing Officer Dara Brady, Prime accumulated over €4.4 million in subscription fees during its trial period but offered more than €6 million in discounts to members. Launched in late March, Prime aimed to set a new loyalty standard for Europe’s leading low-cost airline. For £79 per year, members received complimentary reserved seating, travel insurance, and exclusive monthly offers, with a cap of 250,000 subscribers. Yet, member registration fell short of expectations.

Brady mentioned that the ongoing activity levels do not support the necessary efforts involved in rolling out monthly exclusive seat sales for the current Prime members, indicating operational challenges also contributed to the decision to discontinue the program.

In spite of Ryanair’s exit from this initiative, subscription models are gaining momentum in the global airline industry as companies seek innovative methods to stabilize income and enhance customer loyalty. Other airlines, such as Alaska Airlines and AirAsia, have updated their subscription offerings, while some, including Saudia, have partnered with travel tech firms like Caravelo to facilitate subscription services. Ryanair’s trial now appears as an anomaly in a sector increasingly embracing recurring revenue systems.

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