Benefits of Program Differentiation in the Airline Business

Presented by

Ravindra Bhagwanani, Global Flight, Managing Director

About this talk

Differentiation at the level of the structure of the loyalty program can be considered as cheap and efficient option to gain the attention from target groups in an overwhelmingly saturated market. The airline business with its complex business model and their Frequent Flyer Programs has some opportunities for such differentiation, which are also actively used in many markets, especially outside of the US. Some concrete case studies are discussed, notably based on the winners of this year’s Loyalty Awards. Thereby, it can be seen that differentiation usually starts with innovation. The main objectives of the presentation are to consider which lessons other industries can learn from the experiences of the airline industry in terms of differentiation, to present the main elements of successful differentiation, but also to talk about the related risks, which should be known before going down that path.

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