FlyerTalk Forums - View Single Post - The Macroeconomic Forces Driving the Evolution of Loyalty Programs
Old Oct 19, 2024 | 10:34 am
  #20  
blue bear
 
Join Date: Jan 2024
Location: Moita, Portugal
Programs: AS MVP Gold75
Posts: 950
Originally Posted by WuLabsWuTecH
Do you have a source for this? I hear this a lot, but have a hard time believe the planes that cost them 9 figures that they fly around make them less revenue than their CC's where I'm guessing the <2% swipe fee they are having to share with the issuing bank are somehow making them more money. Especially factoring in the lost revenue (my $99 AA card gives me free checked bags so after just two round trips, they are already behind on revenue).
Alaska Airlines is making big changes to its loyalty program. Here’s what travelers should know

FTA: "It’s hard to overstate how important the Mileage Plan is to Alaska Airlines and its financial health.In the second quarter of 2024, Bank of America paid Alaska Airlines $430 million. This is due to the partnership between the airline and the bank regarding the Alaska Airlines Visa card. By comparison, Alaska Air reported a profit of $220 million in the same period."
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