Traditional airline loyalty programs are losing their appeal with Generation Z and millennials

Traditional airline loyalty programs seem to be gradually losing their appeal with Generation Z and millennials. So what's motivating this new breed of traveler? What alternatives do these young passengers prefer for their travels? Let's find out what trends are shaping the air travel landscape for future generations.

Preferences of Generation Z and Millennials

Young travellers, especially those from the generation Z and millennialsshow a clear preference for awards adapted to their travel and booking habits. These generations are looking for more flexibility and personalization, unlike older generations who were often content with traditional loyalty programs.

According to a recent report, 61% of Generation Z travelers and 49% of millennials don't join loyalty programs because they don't travel often enough with a single airline or brand. In addition, the length of the rewards claim also discourages these young travelers.

Airline Solutions

To counter these trends, airlines are adopting new strategies. One of the most popular is the issuance of co-branded cards which allow you to generate miles even when flying with different airlines. For example, a traveler can earn miles SkyMiles by flying Delta outbound and Southwest inbound.

In addition, airlines establish partnerships with third-party platforms to attract young travelers, who often prefer the low-cost accommodations available on sites like Trip.com rather than booking through major hotel chains.

Example of a Promotion

A good example of this strategy is provided by Flying BlueAir France's frequent flyer program. They are currently offering a promotion where customers can earn two miles for every euro spent on Booking.com. To benefit from these advantages, bookings must be made via the Flying Blue member portal.

Data Transparency

Another crucial aspect in gaining the trust of these generations is transparency in the data collection. Generation Z, in particular, expects companies to explain clearly how customer data is used. This generation, having been born with the Internet, is very aware of the stakes involved. online privacy.

Airlines therefore need to communicate clearly and transparently about why certain data is collected and how it is used. For example, the U.S. Department of Transportation (DOT) recently announced that it would be reviewing the personal data security passengers of the country's ten largest airlines.

Challenges ahead

Faced with the declining appeal of traditional loyalty programsairlines must continue to innovate by offering more flexible rewards better adapted to the needs of their customers. travel habits younger generations. In addition to co-branded cards and third-party partnerships, transparent communication on data use is essential for building trust. trust with these customers.

In conclusion, to remain relevant, airlines need to adapt to the new expectations of Generation Z and millennial travelers, by focusing on flexibilityand personalized rewards and the transparency in data management.

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