Are Loyalty Programs digging their own death ?
Greetings All,
I am certainly one who has taken much opportunity to earn many millions of miles and points in a large variety programs all over the world.
My true start and passion for travel and programs came as a result of reading Inside Flyer years ago and then moving into the Flyer Talk arena.
My thanks to all out there in this new year for your valuable contributions to this forum each and every day.
I owe a debt of gratitude to many out there.
Today I have to question much of the program strategies out there
As well as their substantial health & future Also to survive and fully prosper in the real long haul.
To continue to deliver great value perception and bring profits and market share to companies
The first shock wave was with Diners Club with the charging for the transfer of miles.
Then this new year with but certainly not limited to the Starwood and Hilton program changes.Not to mention airlines
Also the serious eroision of some of their valuable partnerships.
We have even seen some retract the very foolish terms and conditions they set out to enforce only to cower with the outpour of anger.A comedy show but not very funny.
That is not to say its all doom and gloom out there.
Maybe I am being over reactive but it will be interesting in time to see if people will accept these changes readily perhaps forget. And purchase as they have in the past & become or remain brand loyal.
It would seem to me like never before consumers will become more and more ready to forego a lot of these offers and continue to by price over brand loyalty.
Something these programs were designed to reverse in the first place.
Some of these major changes are in a way taking back a lot of what program members have earned and or got in bonuses for their loyalty in the first place.
Hyatt Gold Passport is starting to look like one of the the best out there.Especially with there unlimited free nights promo.
I believe it warrants a nomination or an award.
Perhaps they are over compensating to a degree for what is some of the deficient aspects of the program and properties at large
At Cornell University this summer in the PDP program it was the view point by one of the leading professors in marketing about the end of loyalty programs in time.
I debated this strongly in theory.
There now seems to be quite a bit of truth to his predictions and it is my belief the idustry is knee jerking in more then a few areas.
I welcome your feedback if any to my topic
Programs are becoming less important to me as there noose becomes tighter around their own necks
Happy New Year to all Happy Safe Travels
And Great Rewards????!!!!!
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AA & Starwood,Marriott Platinum
Hyatt, Hilton Diamond
Swissotel Club Gold
U/A 1k
[This message has been edited by 777 global mile hound (edited 01-10-2003).]