News and Research

A New Use for Airline Miles: Gliding Past the Velvet Rope

January 5, 2026

New York Times

Loyalty has turned out to be lucrative. Revenue from these programs provides a major source of profit for airlines, which sell their miles to banks. In 2024, American and Delta each received about $7 billion from frequent-flier programs, according to an analysis of financial filings by Jay Sorensen, who runs IdeaWorksCompany, an airline consulting firm.

With the stakes so high, airlines, hotels, online travel agencies and banks are all vying to differentiate themselves. “Travelers are being wooed on all fronts,” Mr. Sorensen said in a statement. “The competition is creating better rewards, more lounges and new travel booking options, but it’s also reshaping the balance of power in the travel industry.”

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