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-   -   Will Frequent Flyer programs end? (https://www.flyertalk.com/forum/milesbuzz/1976772-will-frequent-flyer-programs-end.html)

enox5 Dec 20, 2020 5:44 am

I think that FFPs will grow in popularity in coming 5 years. As airline struggle to fill seats, they will make them available via air miles bookings.

As the economy improves and demand picks up for flights, they won't need as many air miles bookings. At that point, we'll get back to "air miles devalations" and "program enhancements"

At that point, we will all come back to FT and complain that airlines don't value our loyalty!

herro Jun 14, 2021 5:00 am


Originally Posted by enox5 (Post 32899329)
I think that FFPs will grow in popularity in coming 5 years. As airline struggle to fill seats, they will make them available via air miles bookings.

As the economy improves and demand picks up for flights, they won't need as many air miles bookings. At that point, we'll get back to "air miles devalations" and "program enhancements"

At that point, we will all come back to FT and complain that airlines don't value our loyalty!

There is an interesting panel debate in this podcast on the topic of the value and loyalty of FFP's - both seen from the customers point of view but also from the airlines point of view.

They state that it will continue to be popular but the fact is that the customers must get use to that the value of miles/points will be lower and also the fatc that the redemption on award tickets will most likely get lowered or partly replaced to other things.

artemis Jun 14, 2021 7:26 pm


Originally Posted by herro (Post 33326970)
They state that it will continue to be popular but the fact is that the customers must get use to that the value of miles/points will be lower and also the fatc that the redemption on award tickets will most likely get lowered or partly replaced to other things.

And that means less reason to collect frequent flyer miles from credit cards (as opposed to flights). Why go out of my way to earn frequent flyer miles that must be redeemed on other things than flights when I can get the ultimate in flexibility via a 2% cash back card? Cash can be redeemed on EVERYTHING.

I am majorly frustrated at the moment because I rashly invited some friends along on a trip to Greece this fall, thinking I could use my miles to get us over there; I have enough for Business Class for all three of us going over, but not enough for Business Class coming back. If they take up my offer to accompany me on the trip, the absolute best I will be able to manage for the return is Premium Economy, and that will be a stretch. In the past I've always traveled solo, and haven't found miles too hard to use, but things change as soon as you have companions - and most people travel with family, I suspect. That really cuts the value prospect of miles. First World problem, I know.

BRITINJAPAN4 Jun 15, 2021 10:36 pm

[QUOTE=mahasamatman;31324302]They may have points, but very few are lucrative.

How do you quantify ( or even know ? It could be they cost but that might have a lower cost than not having a loyalty scheme, it might cost 500K per year but increases sales that out strips that.
Even with all the numbers available, its still a subjective assesment. So thats for one program, how can you possibly say few of them are lucrative, how many have been anylized and with what metrics ?

Are you sayin most companies are just happy to throw away money ?

BRITINJAPAN4 Jun 15, 2021 10:41 pm


Originally Posted by Clincher (Post 31616963)
Joe Cortez’ FlyerTalk article, “No One Cares About Loyalty Programs Anymore?” Illustrates the dying aspect of FFP. No one cares? Or is it that only a few care? if it’s only a few then it’s an older generation. If so, then it will fade with them.

Possibly one of the worts reseached, US centric, headline gabbing, unsusbstantive "expert" out there. Millions do care.

BRITINJAPAN4 Jun 15, 2021 10:42 pm


Originally Posted by tuphat (Post 31625031)
From The Times of London:

Ban air miles and stop frequent flyers, urge climate advisers

Air miles schemes should be banned because they encourage excessive flying, according to a report commissioned by the government’s climate change advisers.

The ban would affect millions of customers of British Airways, Virgin Atlantic and other airlines that have loyalty programmes. The report by Imperial College London for the Committee on Climate Change says that frequent flyers, who earn the most air miles, should be targeted as the government seeks to meet its emissions reduction targets.

It recommends “regulation to ban frequent flyer reward schemes that stimulate demand”. There are more than 220 frequent flyer schemes worldwide, with an estimated membership in excess of 200 million. A survey in 2017 found that 15 per cent of 30 to 59-year-olds in Britain were signed up to at least one frequent flyer programme.

The report says there is evidence that frequent flyer loyalty schemes are particularly damaging because they can result in people taking extra flights to “maintain their privileged traveller status”. It says that some people undertake “mileage runs” or “status runs” for the sole purpose of ensuring that they retain higher-tier membership of a scheme, and that some frequent flyers regard membership as being “related to status and social identity”.

More: https://www.thetimes.co.uk/article/b...sers-522gdkdwn

So in other words, FFP's are incredibly popular !!

BRITINJAPAN4 Jun 15, 2021 10:47 pm


Originally Posted by artemis (Post 33329058)
And that means less reason to collect frequent flyer miles from credit cards (as opposed to flights). Why go out of my way to earn frequent flyer miles that must be redeemed on other things than flights when I can get the ultimate in flexibility via a 2% cash back card? Cash can be redeemed on EVERYTHING.

I am majorly frustrated at the moment because I rashly invited some friends along on a trip to Greece this fall, thinking I could use my miles to get us over there; I have enough for Business Class for all three of us going over, but not enough for Business Class coming back. If they take up my offer to accompany me on the trip, the absolute best I will be able to manage for the return is Premium Economy, and that will be a stretch. In the past I've always traveled solo, and haven't found miles too hard to use, but things change as soon as you have companions - and most people travel with family, I suspect. That really cuts the value prospect of miles. First World problem, I know.

Yep using 90k miles for 3 people is 30k per person.

artemis Jun 16, 2021 1:09 pm


Originally Posted by BRITINJAPAN4 (Post 33332169)
Yep using 90k miles for 3 people is 30k per person.

Delta and American both want around 300k per person for one-way business class tickets! :eek: Alas, I simply don't have 900,000 SkyMiles or AAdvantage miles, so that's out. But with such ridiculous redemption prices added to the hassles of finding available ff tickets and the inferior schedules and routings such tickets usually have, it's getting harder to justify not just buying the cheapest suitable ticket with cash.

GUWonder Jun 16, 2021 1:27 pm


Originally Posted by artemis (Post 33333725)
Delta and American both want around 300k per person for one-way business class tickets! :eek: Alas, I simply don't have 900,000 SkyMiles or AAdvantage miles, so that's out. But with such ridiculous redemption prices added to the hassles of finding available ff tickets and the inferior schedules and routings such tickets usually have, it's getting harder to justify not just buying the cheapest suitable ticket with cash.

At least in the US with 2-6% cash back in the picture with card use, airline miles from bank card use are even more out of the picture for me than they already were.

And airline miles earning from flight tickets for award flight tickets are increasingly just bad background music for me. Why? Because the airline rebate currency of miles/points are of such questionable value that collecting them from flight tickets for flight tickets is like storing casino chips from a casino that cheats so badly — by artificially worsening odds for all but the casino — that most all the casino customers in the know have left and the residual customers are not sufficient to keep the crooked casino in business like it used to be.


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