Wednesday, June 5, 2024 OAG Aviation reveals that travelers are eager to fly and plan trips, but they remain cost-conscious and, depending on their generation, are less swayed by traditional airline loyalty programs. According to OAG’s latest survey, Beyond the Ticket: Winning Traveler Loyalty with Rewards & Ancillary Services, insights from 2,000 travelers indicate that while loyalty and frequent flyer programs remain popular, airlines need to adapt their approach for younger travelers who are less likely to be enrolled than their older counterparts. Only 65% of Gen Z and 70% of Millennials are enrolled in airline frequent flyer programs, in contrast to 89% of Baby Boomers and 80% of Gen X.
The primary barrier to joining these programs is inconsistent travel with a single carrier or brand. The survey suggests that the best way for airlines to boost loyalty program adoption and engagement is to allow customers to use earned points across different aspects of their travels. This aligns with younger generations’ preference for rewards tailored to their travel habits.
For example, 50% of Gen Z and 49% of Millennials want to use points with vacation rental providers. Additionally, 73% of all travelers wish to use their airline rewards points for hotel accommodations, followed by 53% for car rental services. Other findings on traveler preferences influencing loyalty and purchasing decisions include: OAG enables businesses throughout the travel ecosystem—including booking eng.