Frequent fliers reach new heights with more reward trips during 2005
The IdeaWorks Company has analyzed the 10-K annual report filings of the largest U.S. airlines to determine frequent flier reward activity for 2005. By any measure, frequent flier programs have a large impact on the U.S. airline industry in terms of travel activity, competitive behavior, program revenues, and company balance sheets.
The airlines and frequent flier programs analyzed by IdeaWorks provided a record 15,581,000 reward tickets to their members during 2005. The activity analyzed in the report captures more than 88% of the 745 million passengers that flew on all US-based airlines during 2005.
Here is a sampling of the observations from the analysis:
- All of the nine airlines analyzed posted increased 2005 reward activity with the exception of American Airlines and US Airways.
- Delta Air Lines, and its SkyMiles program, clearly leads all other airlines in the number of reward tickets issued during the last three years.
- Miles earned though credit card relationships now exceed 60% of the total miles accrued in the largest frequent flier programs.
Michael Verikios
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Wednesday, May 24, 2006