Profitability Driven by Loyalty
In the article, Michael makes two valid points…
First, consumers will pay more for a good experience. Bottom line, loyalty programs and the customer experience go hand in hand. The only way airlines (and any business, really) will see the benefit from these programs is if they stop aimlessly giving out points and refocus that energy in creating a more positive experience for the consumer.
The second point is to ensure these brands are driving loyalty every step of the way. By retargeting the loyalty programs toward consumers who show loyalty with their wallet, Delta is able to focus on creating a solid customer service experience.
For more details on how Michael Fernandez sees airline loyalty shaking down, click here.