Ryanair just joined the subscription club – have we reached peak membership economy?
The budget airline RyanAir has launched 'Prime' – a £79 annual membership offering exclusive seat sale access, free reserved seating, and complimentary travel insurance on every flight.
This is what it promises:
For frequent flyers (12+ flights yearly), Ryanair claims savings up to 5x the subscription fee
Even casual travellers (3 flights yearly) could save £105
The scheme is initially limited to 250,000 members across 12 European countries
Do we need an airborne subscription service?
It’s interesting how subscription models are becoming the default growth strategy across virtually every sector. From streaming services to meal kits, and beauty boxes – brands are all chasing that predictable recurring revenue.
And we know why subscription models are extremely popular,
Predictable revenue
It’s hard to beat knowing what's coming in each month! No more revenue rollercoasters that keep founders awake at night.
Incredible CLTV
The subscription relationship typically generates far more value over time than those one-off purchases ever could.
Lower acquisition costs
It's much cheaper to keep your current subscribers happy than to constantly chase new customers (and we all know how expensive those CACs are getting!).
Data goldmine
Subscriptions give you ongoing behavioural insights that help you craft better offerings and truly personalise experiences.
Relationship magic
Regular touchpoints create stronger brand connections and genuine loyalty that transactional brands can only dream of.
But do we need one for airlines?
It’ll be interesting to see how this structure works for Ryanair and its customers. It has potential, and especially as they’re first on the ball (in this particular industry that is). And with Ryanair customers continuously choosing them for their affordability, this offer will make it even easier to travel on a budget.
What does this mean for their customers?
For customers, these memberships create a psychological lock-in effect. Once you've paid that upfront fee, you're far more likely to choose Ryanair for your next flight – even if the actual fare difference is minimal compared to competitors.
It's brilliant for first-party data collection too. Ryanair will gain incredible insights into travel patterns, spending habits, and customer preferences that they can use to further personalise their offering.
Which customers love subscriptions?
Different segments are drawn to subscription models for distinct reasons:
Convenience seekers who value simplicity and avoiding repeated purchase decisions (think streaming services, food boxes)
Budget planners who prefer predictable monthly costs over larger one-time purchases
Access-over-ownership fans who want the benefits without ownership responsibilities (software, car subscriptions)
Novelty hunters who enjoy the regular discovery of new products (beauty boxes, book clubs)
Value maximisers who use a service frequently enough that subscribing offers better value than pay-per-use
Aspiration-driven customers subscribing to services that align with their identity or self-improvement goals (fitness apps, educational platforms)
What do you think? Do Ryanair's customers fit these criteria and make this commitment, or will travellers continue looking through a range of options before heading to the airport?