How do partner programs pay each other?
 

I realize this is an odd question, but I wonder whether everything is accounted for monetarily or if they also use barter or other arrangements.

Interesting question.

Sorry to add no new data. But I am very curious as well. I am very keen on understanding the marketing and operational details behind partner sharing. Any general pointers (even if not related to this specific question) would be welcome as well.

Related question, when you have RTW Oneworld award, etc. how are costs allocated between partners?

I've often wondered about this as well...
The only clue I got was that shortly after Canadian announced that it would leave the Alska Milage plan, the MP newsletter encouraged members to use their miles to redeem awards on Canadian good for a year after redemption - this seemed to indicate that redemption of these awards using MP miles means that either AS gets some compensation by Canadian or benefits in some other way.
Yonatan

People frequently ask Hunnybear and me about partner sharing but we regretfully have to turn them down...

QL http://www.flyertalk.com/forum/wink.gif

I always thought that if I rented a car from AVIS and used my Asiamiles card, then Asiamiles would be compensated in some way as a referral fee. I can't imagine Asiamiles paying Avis a fee for its members to collect miles in their own program.

My rule of thumb is: Whichever company receives money from customer pays a fee to the referrer (be it Asiamiles, Aeroplan, Mileage Plus etc.) The referrer then uses these proceeds to cover the costs of maintaining their ff program.

Someone here must have worked for a plan? See the threads on Buzz about 20,000 free HHilton points from Frecuenta. We ALL can snag those 20K in minutes right now. Free. What kind of COST is there to Frecuenta for such a transer? Does anyone know? It must be a few cents a point I guess, but how much?

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