Why do airlines change their rewards programs?
39% Wild About Travel
36% One Mile at a Time
15% PYOK
10% Other
Airlines frequently update their rewards programs to boost profitability and member engagement. Wild About Travel +4
Profit-Driven Changes
- Airlines treat loyalty programs as major profit centers, not just perks.
- Co-branded credit cards are a key revenue source, with airlines earning from sign-ups and spending.š
Shifting Focus to High-Value Customers
- Award seats and elite status are increasingly reserved for top-tier members and cardholders.
- This reduces arbitrage and rewards those who spend more or fly frequently.
Minimizing Program Devaluation Risks
- Sudden devaluations (like Radissonās) can destroy trust.
- Airlines now make changes gradually to avoid backlash, though some still surprise members.š
Strategic Program Modernization
- Changes like removing legacy tiers (e.g., Qantasā Points Club) simplify programs and reduce costs.
- Tools like rollover credits and on-the-ground earning aim to lock in high-spenders.š
One Mile at a Time 16%
The Evolving Ways Airlines Open Award Seats, Which Changes The Points Game
I recently wrote about how the miles & points world has changed over the years. As is the case with just about any industry, things evolve over time, and some developments are positive, while others are negative. When it comes to actually redeeming points for airline award tickets in premium cabins, Iād argue thereās one trend that weāve been seeing a lot of, and I suspect this practice will only continue to spread. While Iāve mentioned this in passing and have written about specific instances of this, Iād like to take a big picture look at this practice.
Wild About Travel 39%
Qantasā āNew Eraā For Status
Qantas has just made it more expensive to stay loyal. Funny how that works. The airline is calling it a ānew eraā for its Frequent Flyer program. Iād call it a quiet price hike dressed up in marketing language. This is a change Iāve been waiting on for months. After Virgin Australia overhauled its own program, this felt inevitable. Hereās whatās actually changing, and what it means for your membership. Qantas made a few smaller changes starting in 2025. These included: This new announcement takes things even further. Qantas says the Frequent Flyer program is āentering an exciting
Traveling for Miles 10%
Oh Hyatt, not you too ā¦ ?
For most people who play the miles and points game, periodic changes to the various rewards programs are expected. They come with the territory. Mostly, the changes that we see being made are ones which make the programs less valuable and, often, harder to exploit to the full. Some changes bring about improvements, but mostly, things get worse with time. For most people who play the miles and points game, periodic changes to the various rewards programs are expected. They come with the territory. Mostly, the changes that we see being made are ones which make the
PYOK 15%
āRun By Numptiesā: Andrew Neil Says British Airways Has Betrayed Its Most Loyal Flyers
The conservative columnist and former editor of the Sunday Times, Andrew Neil, has ripped into British Airways and what he describes as the airlineās āuselessā management team, whom hardworking staffers are ashamed to work for. Clearly still furious with the now year-old changes that British Airways made to its frequent flyer program, Neil ripped into the once āworldās favorite airlineā in a lengthy post on X, saying the airlineās business model had āsuicide written all over it.ā And a response from BAās customer service team on X only seemed to make matters worse with Neil then threatening to
One Mile at a Time 20%
Wow: Huge United MileagePlus Changes Make Program All About Credit Cards
Nowadays the major airlines in the United States earn much of their profits from their loyalty programs, and in particular, their co-branded credit card businesses. Even though the ābig threeā carriers are already raking in billions per year from these programs, they still see a lot of upside. As a result, a lot of the decisions that we see at airlines are based on trying to increase credit card revenue. Free inflight Wi-Fi? Itās all about getting loyalty program sign-ups, so that airlines can market to members. New destinations? Theyāre also about getting people interested in the loyalty program,