Almost 88 % of frequent flyers have a redemption goal in mind – but do programs know that goal?

Loylogic, the leader in global e-commerce and e-payment solutions for loyalty programs, has provided insight into the behaviour and preferences of how frequent fliers redeem and collect miles and/or points.

The insights are a result of an online survey of more than 10,000 airline loyalty members worldwide which was conducted by Loylogic earlier this year. The survey findings reveal unexpected insights into important aspects for frequent flyers, including:

  • 87.9% of frequent travelers usually define a redemption goal immediately following activation. Engage them early with the right incentives to maximise your revenue!
  • Program status is often referenced as most important benefit for frequent flyers, but the survey indicates that reward choices surprisingly matter much more (+ 29.1%-points). A reallocation of the program investments could have a huge impact in the program’s success!
  • Another unexpected revelation from the survey is, that it is not the received value of the miles (21.3%) which it most significant for the members, but rather the flexibility of how to redeem points (31.7%) as well as the ease of the process itself (23.7%). This means: Offering more appealing reward choices and a simple redemption process can be a powerful engagement tool for program managers, and less costly.
  • 81% of the members actively collect every possible extra mile/point – offer your members additional collect opportunities to boost your sales and to make you members even more loyal!

"Our most surprising discovery was that almost 88% of frequent flyers have a redemption goal in mind when they start to engage in a program. For program managers it is absolutely key to find out what this goal is in order to determine how to steer and influence member’s behaviour to boost their lifetime value. Other important findings were that members are not so keen on program status. They prefer reward choices - that’s three times more important for them. The flexibility of how to redeem points and the ease of the process itself is also much more crucial then the value of the mile/point. The survey findings are important and useful data points to help ensure program managers are focused on the best actions to drive engagement and to boost company sales", said Dominic Hofer, CEO and Founder of Loylogic. 

The complete survey findings reveal more unexpected, but all the more useful, insights in member’s preferences and behaviour. To gain a better understanding of loyal member’s needs and likes and for useful recommendations how to turn this knowledge into increased member lifetime value, simply send us an email, press@loylogic.com, to get a full copy of the results. 

About Loylogic
Loylogic is the world’s leading innovator and creator of points experiences, insights, commerce and engagement. By tantalizing members with more choices and arming programs with insights on behavior – anticipating both present and future needs – we deliver powerful solutions that amplify engagement and build loyalty.

Founded in 2005 with offices around the world and a global content network of more than 500 merchants and 2,000 online stores offering millions products and services, Loylogic, the new paradigm of points-based e-commerce and e-payment solutions, is the partner that the world’s leading loyalty programs trust with making their points and miles loved more. For more information please visit loylogic.com.

Loylogic Inc.
Freihofstrasse 22
CH-8700 Kuesnacht/Zurich
Phone: +41 43 500 51 55
Email: press@loylogic.com