News and Research

Airlines Find New Ways to Leverage Loyalty Programs for a Post-Pandemic Era

August 12, 2022

Skift

“One thing that has strongly survived the pandemic is the airlines’ ability to generate cash from co-brand programs,” said Jay Sorensen, president of Milwaukee-based IdeaWorks, a travel brand consultant. “I think you’re seeing some airlines behave in a way that reflects that area of relative success.”  “(The value of the programs) is based on the ability to sell miles or points to the banks that issue the credit cards.”  The issue, he added, is that selling all or part of a loyalty program provides immediate cash while retaining a loyalty program provides a consistent way of generating revenue as well as a method of interacting with passengers.

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