# Revenue per passenger

Revenue per passenger measures how much revenue is generated for each traveller, often combining fare and ancillary value.

Revenue per passenger is a commercial metric that divides revenue by the number
of travellers. It can be measured using fare revenue, ancillary revenue, or a
combined view. The metric helps teams understand how much value each traveller
generates, but it only makes sense when the revenue definition is clear.

## What the metric measures

Revenue per passenger asks a simple question: how much revenue was generated for
each traveller? The answer depends on which revenue is included. Some teams
measure fare revenue only. Others include paid options and service revenue.

That definition should be explicit. A number that includes ancillaries cannot be
compared fairly with a fare-only number unless the difference is understood.

## Why it is useful

The metric helps commercial teams compare performance across channels, routes,
campaigns, or traveller segments. It can show whether growth is coming from more
passengers, higher fares, more paid options, or a mix of those factors.

It is especially useful when read alongside attach rate and basket size. One
metric tells only part of the story.

## How to read it carefully

Revenue per passenger can rise for reasons that are not all equally healthy. A
higher fare may improve the metric, but so can relevant ancillary sales or a
change in traveller mix.

The goal is not to chase the metric in isolation. The goal is to understand
which retail decisions create durable value per traveller.

A clean definition also prevents false comparisons. Teams should label whether
taxes, fees, refunds, or service items are included before drawing conclusions.

## Frequently asked questions

### What is revenue per passenger?

It is revenue divided by the number of passengers, used to understand value generated per traveller.

### Does it include ancillaries?

It can, depending on how the business defines the metric. Teams should state whether fare-only or total revenue is being measured.

### Why is revenue per passenger useful?

It helps compare commercial performance across channels, routes, campaigns, or traveller segments.