Ancillary Revenue

AAA

DEFINITION of 'Ancillary Revenue'

Revenue generated from goods or services that differ from or enhance the main services or product lines of a company. By introducing new products and services or using existing products to branch into new markets, companies create additional opportunities for growth.

INVESTOPEDIA EXPLAINS 'Ancillary Revenue'

Most companies have some form of ancillary revenue. These revenues can vary from car washes at gas stations to advertisements placed on jets. In some cases, what begins as ancillary revenue can become the main source of revenue - for example, when food and beverage sales at gas stations surpassed gasoline revenues.

RELATED TERMS
  1. Core Earnings

    The revenue derived from a company's main or principal business, ...
  2. Organic Growth

    The growth rate that a company can achieve by increasing output ...
  3. Revenue

    The amount of money that a company actually receives during a ...
  4. Sustainable Growth Rate - SGR

    The maximum growth rate that a firm can sustain without having ...
  5. Business

    1. An organization or enterprising entity engaged in commercial, ...
  6. Business Model

    The plan implemented by a company to generate revenue and make ...
Related Articles
  1. Great Expectations: Forecasting Sales ...
    Fundamental Analysis

    Great Expectations: Forecasting Sales ...

  2. Is Growth Always A Good Thing?
    Markets

    Is Growth Always A Good Thing?

  3. Getting To Know Business Models
    Entrepreneurship

    Getting To Know Business Models

  4. What are Business Ethics?
    Investing

    What are Business Ethics?

Hot Definitions
  1. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  2. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  3. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  4. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  5. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
  6. Call Risk

    The risk, faced by a holder of a callable bond, that a bond issuer will take advantage of the callable bond feature and redeem ...
Trading Center