The survey signals an emerging industry trend: Airline points are more rewarding than airline miles.
Carriers with programs based on points tie rewards to dollars spent rather than miles traveled. Higher fares earn more points—so coveted business travelers are well rewarded. And travelers can find seats when fares go higher without blackout dates or capacity controls—the price in points goes up proportionally with the price in dollars.
Conversely, when airline programs award miles based on the distance traveled, higher fares often don't get higher rewards. And many flights don't have seats available at standard mileage levels, such as 25,000 miles for a domestic round-trip, which leaves many consumers frustrated.
Several carriers, including Southwest and JetBlue, have converted their programs to points, and more are expected to convert in the next couple of years.
"Points-based systems provide better flexibility to the consumer, and they are going to become more prevalent. It's just infinitely more efficient for everyone," said Jay Sorensen, president of IdeaWorks.
http://www.ideaworkscompany.com/pres...ailability.pdf
Carriers with programs based on points tie rewards to dollars spent rather than miles traveled. Higher fares earn more points—so coveted business travelers are well rewarded. And travelers can find seats when fares go higher without blackout dates or capacity controls—the price in points goes up proportionally with the price in dollars.
Conversely, when airline programs award miles based on the distance traveled, higher fares often don't get higher rewards. And many flights don't have seats available at standard mileage levels, such as 25,000 miles for a domestic round-trip, which leaves many consumers frustrated.
Several carriers, including Southwest and JetBlue, have converted their programs to points, and more are expected to convert in the next couple of years.
"Points-based systems provide better flexibility to the consumer, and they are going to become more prevalent. It's just infinitely more efficient for everyone," said Jay Sorensen, president of IdeaWorks.
http://www.ideaworkscompany.com/pres...ailability.pdf
