In the 2001 Walter Kirn novel, Up in the Air (see review on page 63), Ryan Bingham’s goal is a million frequent-flyer miles. By the time George Clooney played him in the 2009 movie based on the book, Bingham’s goal had been inflated to 10 million miles.
Bingham’s mission to enter the hallowed upper echelons of the frequent-flyer world, as it grew ten-fold in its move from print to screen, reflects a growing traveller focus on accruing more and more miles. But it’s not just about getting more miles; it’s about getting more from those miles. What “more” actually means differs from traveller to traveller.
Frequent flyer programmes (FFPs) are the start of the relationship between the traveller and the airline.
Randy Petersen, the editor and publisher of Inside Flyer magazine, has since 1986 devoted his life to making sense of the vast array of different frequent flyer programmes to travellers. He says there is one simple calculation that many people miss when picking which loyalty programme to remain steadfast to.
“The first thing you need to do is determine what you want out of an FFP. Are the miles for upgrades, free trips or merchandise? That’s the mistake most people make – they don’t give enough thought to their reasons for joining.”
Most people start out with an airline that’s convenient for them and has the most flights to places they go to for work or leisure. Vince Socco, a top executive with a multinational firm, who travels 200 days of the year, says it is a no brainer living in Singapore. “I fly Singapore Airlines (SIA) because it has the most connections from Singapore to any part of the world. It’s too time consuming to take Cathay Pacific, which is good, but I’d have to make the connection
in Hongkong.”
The wide spectrum of different programmes that flyers now have to pick from originally sprang from the basic grocery-store sticker-collecting bonus rewards, and really started to gather steam once booking systems went computerised. American Airlines, Bingham’s airline of choice in the movie, was the first on the scene in 1981 with AAdvantage, which was quickly followed by United’s Mileage Plus. Other airlines rapidly caught on, producing similar versions with the same mantra: the more you fly, the more miles you get.
Airlines eventually started to work together, forming dual partnerships, predecessors of today’s global alliances – Star Alliance, oneworld, SkyTeam – that now allow travellers to book flights more easily and reach more destinations, thanks to member carriers acting in concert on reservations and schedules. Using alliance carriers, miles are credited and can be used interchangeably. FFP guru Petersen advises: “Look beyond the airline and to its partners. The true measure of a traveller is how he uses his miles internationally.
“These days, it’s not so much joining a specific programme; it’s the alliance that’s key.” Choosing two airline FFPs belonging to different major alliances, is a good way to maximise the accumulation of miles, he observes.
Some airlines, such as those in the Middle East, have resisted joining alliances but codeshare with a number of alliance partners, so travellers still do not miss out on helpful connections.
Now that you can earn miles with almost every purchase you make, the loyalty programme industry is growing faster than the airline industry itself, and has become a successful separate revenue source for airline companies. Currently, experts estimate that about 60 percent of miles earned are done through other means than flying, like hotel stays, credit card spend, car rental and the like.
Joyce Faye Wong, who manages public relations for Cathay Pacific’s Asia Miles, one of the biggest programmes in Asia, agreed, saying: “A lot of people think you can only use it for free plane tickets or upgrades. But you can redeem for hotel stays, car rental, dining packages, or even retail items like wine or clothing.”
Christine Garrido, a former Beijing hotelier and now web travel marketer, adds: “When I lived in China, I used to travel a lot. Then, I was loyal to my Krisflyer programme (of Singapore Airlines) and put my points there. Now that I don’t travel as much, I’m loyal to my credit card, which still helps me when I want to go on holiday.”
It’s easy to get lost in the welter of benefits offered by loyalty programmes. Petersen studies about 170 of these for his work, but personally favours 30 of them for different aspects. “They each have things I like, such as miles that don’t expire, or ability to redeem rewards with fewer miles. No single FFP answers everything I want.”
Socco holds Solitaire status in Krisflyer and is clear about his priority, which is being able to get seats on last-minute flights. As his trips are usually short haul, he usually takes only carry-on baggage, which means getting his bags off the carousel first doesn’t please him as much as it would a long-haul flyer. Socco says that booking at the last minute has its advantages, because seats that were originally blocked for travel agents, have suddenly been “liberated”.
Of course, picking a programme that suits one’s specific needs takes a little bit of research. “This is where Google becomes your best friend,” says Petersen. “It helps you find places where members of these various frequent flyer programmes get together and discuss their experiences.
“The internet is the best thing that’s happened all these years to FFPs. It’s allowed us to get a glimpse into the workings of other loyalty programmes.”
Most seasoned travellers will tell you that if it’s easy to redeem their rewards, they’re happy. Krisflyer, one of the most popular FFPs around, is also one of the most controversial, having gained a reputation for making it tricky to cash in one’s points.
Steve Briggs, managing director of Image Makers Asia, who travels enough to be a gold member with both THAI Airways’ Royal Orchid Plus and bmi’s Voyager programmes, is a case in point. Responding to an SIA promotion to fly them and promising extra bonus points to receive upgrades, he dutifully did the required sectors, only to experience great difficulty in being granted the incentive. Briggs recalled that “full flights” were the reasons given to him and the posters, whom he tracked on various forums, for being denied their redemption.
“I had to keep insisting on the fact they had enticed me to fly with them instead of THAI, and only then did they grant the upgrades. If I hadn’t done that, they would not have honoured their offer.”
Asked to comment on Brigg’s complaint, SIA spokesperson Nicholas Ionedes says: “The redemption process is actually hassle free if you’ve planned your trip ahead, and especially, when booking a straightforward point-to-point itinerary like Hongkong-Singapore-Hongkong. SIA has invested in making online booking quick and easy by including a view of flight availability over a seven-day period and enabling bookings to be amended or even cancelled.
“For complicated itineraries, the booking process can take a bit longer. Our best advice continues to be, always book well in advance and have some flexibility with travel dates.”
However, the forums are full of people either singing the praises of or condemning various FFPs at any given time, which shows it’s vital to consider specific travelling habits when joining any loyalty scheme.
An important point to think about is what kind of ticket you’re going to be flying on. “If you fly Business or First Class, I find ‘status’ ends up meaning very little that the ticket purchase hasn’t already gotten you,” says Omar Khan, a leadership consultant and author. “For me, it’s quality first, then convenience. It’s not ‘convenience’
if you end up where you don’t
want to be.”
Often, people using points for plane tickets are unable to get tickets even if they try to book way in advance, as there are only a few seats reserved for point flyers on many airlines. One way to get around this is to book a non-direct flight, but that certainly saps a large part of the feeling of privilege that comes with being a member of a loyalty programme.
More travellers share information about which programme is doing what. As soon as people feel the promises they have been made are empty, they are going to look elsewhere.
Keeping a promise seems like a simple concept, particularly in an industry obsessed with loyalty. Indeed, it is the littlest things that matter most when it comes to fostering the devotion the industry relies upon.
George Rowlands, aftersales manager of a luxury automaker, who believes he travels enough to maintain top tier in two FFPs, has this to say: “While on a Cathay Pacific flight, I saw an attendant approach a passenger, address him by name, gave him a small pen and asked if there was anything they could do for him. That was pretty impressive to me.”
Rowlands’ observation addresses the core of the issue – in order to engender loyalty, you must show a certain amount of loyalty yourself. Rowlands has some more miles to go before he reaches Solitaire status on Krisflyer, at which point he is considering switching to Cathay Pacific’s Marco Polo because of difficulties he’s had with redeeming his points. “I understand that frequent flyer programmes cost money; I understand the cost cutting companies have had to go through,” says Rowlands.
“I’m in business and customer service too. But airlines can still do little things that money can’t buy or show flexibility in dealing with the customers who have flown with them many times.”
However, one person’s experience with a certain programme doesn’t necessarily mean that the next person will feel the same way. Quek Buan Choon, a Singaporean businessman based in Shanghai, says: “I’ve always had positive experiences with Krisflyer. One time, the deadline for reaching 50,000 points was coming to an end, and I needed 1,000 more points to make it. I wrote in, and they were pretty understanding and extended the deadline.”
For those based in or who travel to Asia, there is certainly no shortage of programmes to choose from, and these frequently dish out a range of sweeteners and promotional extras. THAI Airways, for example, is celebrating its 50th anniversary this year, and members of its Royal Orchid Plus plan can get extra miles for booking online, as well as 25 percent more on international flights in May. For its new Hongkong-Milan service from March 28, Cathay Pacific is offering Diamond members of its Marco Polo Club flying First or Business Class a complimentary transfer to Hong Kong International Airport by Maserati as well as miles.
Asia Miles points are interchangeable on airlines including Cathay Pacific, American and British Airways. One nifty addition to its site is iAuction, where you can bid for packages, tickets and even cars with your points. Cathay Pacific and Dragonair have their own loyalty programme, Marco Polo Club, that works along with Asia Miles.
The largest European airline frequent flyer programme, Miles and More, has 13 partner airlines. It was originally created by Lufthansa in 1993. It now has an iPhone application called MemberScout to connect users with other members for travel advice on restaurants, hotels or even for a face-to-face meeting. It also alerts the users of affiliated businesses where they are.
Asked to describe the challenges airlines face in keeping customers from roving, United’s managing director for Pacific South, Jake Cefolia, says: “The environment around securing and retaining loyalty can be best described as hyper-competitive.”
There has also been occasional poaching of high-tier members.
Last year, Star Alliance airlines offered Hongkong-based oneworld regulars the chance to automatically match their FFP status with a Star Alliance airline of their choice. The only condition was to take at least one flight on a Star Alliance airline.
Which means, it’s all up to you and your needs. Petersen of Inside Flyer used to advise travellers to “consolidate their miles in one programme.” But in today’s environment, he says: “People now take advantage of the many different types of FFPs.
“Loyalty doesn’t last long anymore. With all the security measures and inconveniences at airports, most passengers are unhappy.
“It’s tougher and tougher to have loyal customers.”
Walter B Dias, Continental managing director, Greater China and Southeast Asia, however, believes the case isn’t lost as long as airlines remember the basics of “maintaining excellent products and safe, clean and reliable flights”.
“That should be our priority no matter what we do, as well as treating our customers with dignity and respect.”
