It is no secret that US airline loyalty programs drive the bulk of their profits from co-brand credit card relationships. And with Delta Air Lines’ latest decision to remove a key SkyTeam benefit from its members, the program’s transition to a credit card loyalty offering is arguably complete.
For Delta Air Lines’ SkyMiles Medallion members, that status just extended another year. The carrier announced today that member status for the 2022 program year will not be lower than it was in 2021. This is the second consecutive year the carrier chose to extend status in its frequent flyer program.
We know that overall passenger numbers are, for very good reason, down massively. But airlines have relied on their loyalty programs to provide a significant, and perhaps more importantly steady, stream of revenue for the operations. So, as the airlines use those programs to collateralize billions of dollars in new financing, it is worth considering if that revenue flow is as reliable as airlines (and debt holders) hope it can be.
As the US carriers continue to tweak their new “no change fees” policies Delta Air Lines made a major move for its SkyMiles members. Effective immediately most domestic SkyMiles awards will be fee-free for changes or cancellation. SkyMiles rewards are now a spectacularly flexible method for booking travel on Delta Air Lines.
Frequent flyers at two of the world’s largest airlines received a reprieve over the weekend. Delta Air Lines and United Airlines announced major changes to their loyalty program, extended previously earned elite status and other benefits. The moves are dramatic, affecting millions of program members. [A]s coronavirus continues to dramatically impact travel across the globe, […]
Looking to earn Delta SkyMiles on a LATAM-operated flight? The two carriers announced at the end of February that earning reciprocity would launch on 1 April 2020 but offered no other details. Now the earning chart is finally available.
Is it a new, lower elite tier that passengers can just buy outright, a threat to the co-branded credit card cash cow that drives so much of the airline’s profits, or just another way to get passengers to pay up for services at a margin far beyond their hard costs? Probably a bit of all three and then some.
Delta Air Lines is selling more upgrades than ever, which is both good news and bad news for the SkyMiles loyalty program. But probably more good than bad.
Keeping a customer engaged with a loyalty program after a major life event can be challenging. Delta SkyMiles joins the ranks of airlines with a formal program for such, launching the “Reclaim My Status” challenge offer.
Passengers won’t pay for more space on planes. This is the commonly accepted mantra and driving logic behind the ongoing “densification” efforts to squeeze more seats onto planes. And, for the most part, that’s proven true. A growing subset of travelers are, however, willing to pay more. Delta Air Lines’ Premium Select will expand across the widebody fleet to capture even more of that revenue.