Can Airline Alliances Still Deliver Value to Passengers?
Skift Take
The declining value of cross-over loyalty programs aside, alliances offer benefits to long-haul customers making connections, but their politics make reaching consensus among members on products and services difficult. As the growth of joint ventures, and other airline collaborations show, there are other ways airlines can deliver value to customers and a seamless passenger experience.
If you’re wondering whether there’s any added value offered to passengers from alliances in the age of diminishing returns on loyalty programs, you’re not alone.
Airlines have been scratching their heads about the value of alliances too.
At the CAPA World Aviation Summit in Helsinki this week, various panels reviewed the competitive changes taking place in a slow process of globalization in the last global industry which is still, for the most part, strictly separated by borders.
Global airline alliances were originally set up as a way to work around the limitations of various nations’ access to air routes, to support the connections of increasing numbers of the global travelers created by open trade in other industries, and to provide buffers in harsh economic climates. On the customer side, alliances have touted universal standards of service, frequent flyer program benefits, access to lounges for member flyers, and
