How Commercial Airlines Can Consolidate Their Competitiveness And Customer Loyalty Using Digital Platforms?

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How Commercial Airlines Can Consolidate Their Competitiveness And Customer Loyalty Using Digital Platforms?

Airline’s Loyalty Programs as the Centrepiece of Digital Platform

To discuss… The optional topic: Airline’s Loyalty Programs as the Centrepiece of Digital Platform- How Commercial Airlines Can Consolidate Their Competitiveness And Customer Loyalty Using Digital Platforms?

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So for airlines loyalty is primarily their FFP (Frequent Flyer Programs) and they have multiple tiers to their program passengers keeps qualifying for the next tier based on their consumption of the services from airlines.

For eg economy class passenger – will get x points

Business-class will get – y points.

First-class will get – z points.

Based on the accumulated points they qualify for multiple tiers and accordingly they get the benefits

Like for Tier, A passenger may need 10,000 points to upgrade to business

Tier B may need 5000 & Tier C may need only 2000 etc.

Based on the customer Tier they qualify for the ancillaries like extra baggage, meal, also priority check-in, etc.

So they basically profile their customers.

Loyalty points are a huge profit-generating venue for airlines and because it’s a virtual money customer never bothers to calculate how much he is paying for the given service but if you really calculate its pretty expensive,