Abstract
De Boer offers a comprehensive overview of the constituents in the frequent flyer program (FFP) ecosystem, from alliance partners, to non-air partners and service providers. For each group, De Boer outlines the dynamics at play, and offers insights into the relationships. De Boer addresses the issue of FFPs for alliances, as well as the question why some airlines have opted to join the program of another airline. Where relevant, De Boer explains the value exchange, and the commercial trade-offs that partners face. De Boer also explains why co-branded credit cards play such a prominent role, and offers insights into why airlines and issuers have vested interests in these partnerships. Lastly, De Boer provides an overview of companies that provide services in the periphery of frequent flyer programs.
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- 1.
Other restrictions of the Qantas Sales Act state that the Qantas Head Office must be located in Australia, two-thirds of Qantas directors must be Australian citizens, Qantas’ operational facilities for international services must be principally located in Australia; and Qantas is prohibited from incorporating outside of Australia.
- 2.
Qatar Airways, which holds investments in LATAM and IAG (and has announced plans to invest in American Airlines), notably has not followed a similar separate FFP investment strategy.
- 3.
Avios announced in 2016 that a binding MOU was signed with Royal Air Maroc.
- 4.
A variety of bloggers specializing in FFPs can be found at www.boardingarea.com.
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de Boer, E.R. (2018). Exploring the Ecosystem of the Frequent Flyer Program. In: Strategy in Airline Loyalty. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-62600-0_5
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DOI: https://doi.org/10.1007/978-3-319-62600-0_5
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