Frequent flyer programs: a failure in competitive strategy, with lessons for management

Terrence J. Kearney

35 citations0/0 files storedJournal of Services Marketing

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Customer Service Quality and Loyalty Consumer Market Behavior and Pricing Aviation Industry Analysis and Trends

Abstract

Discusses frequent flyer programs, promotional programs aimed at increasing brand loyalty among the important business travel market segment. Shows how what seemed like a good marketing strategy has turned into a nightmare for nearly all parties concerned; airlines have found that the programs cost more than they are worth. Draws lessons from the airline frequent flyer programs that might be of interest to any marketing manager who is interested in using promotional programs to create competitive advantage.

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1994Consumers' Perceptions of Airlines: A Correspondence Analysis Approach in a Global Airline Industry 2015Forming cognitions by investing in a form: Frequent Flyer Programs in US air travel post-deregulation (1981–1991)2016Influence of Customer Loyalty Program on Organizational Performance: a Case of Airline Industry 2005Leveraging affiliations by marketing to and through associations

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