here's my thought on the issue:
For those of us not fortunate enough to afford round-the-world mileage run tickets in first class, or have companies pay for our travel, frequent flier programs seem to be the only way we'll ever know occasional comfort on airlines.
Sure, you could say that travel is rarely a necessity, and that those who want luxury or comfort should pay for it. And I agree it's true that airlines would be forced to improve their products if FF programs were ended. But where would passengers like me end up (fly somewhat frequently, but low fare always)? Stuck in the back, every time, right?