It will soon cost more to use British Airways Executive Club Avios to book partner awards, diluting the overall value of the UK's largest airline's loyalty program.
Travel Loyalty News
The Skift Business of Loyalty covers the world of hotel, airline, and other consumer loyalty programs in the travel industry. Read more coverage of loyalty here.
Ever since Alex Cruz joined British Airways as its chief executive, the company has been on a cost-cutting binge. Now, Executive Club, the airline’s loyalty program, is in the crosshairs.
The airline last week announced that the price of booking-partner award seats through the Executive Club is going up. Passengers using British Airways Avios to book travel on the airline’s Oneworld partners, which include American Airlines, Cathay Pacific, and Qantas, can thus expect to spend more for their bookings soon.
Curiously British didn’t mention how its prices were changing in its announcement last week — only that movement was afoot — but a few clever frequent flyers have pieced together the changes by calling booking centers and manually compiling the route data. In a nutshell, partner prices for most short-haul routes are going up — but only by a few percent.
Still, British missed an opportunity to be more transparent with its plans for the Executive Club. The new changes go into effect on May 30.
— Grant Martin, Business of Loyalty Editor
Skift Stories and More Expert Insight
DoorDash Partners With Wyndham Rewards at 3,700 U.S. Hotels: No room service? No problem. DoorDash has partnered with Wyndham Hotels & Resorts to offer free food delivery to hotel guests at 3,700 properties in the U.S.
American Express Allows Passengers to Use Loyalty Points to Bid for Flight Upgrades: New flight upgrade capability is coming to the family of American Express credit cards that use Membership Rewards points as a loyalty currency. American Express and Plusgrade, a tool that brokers upgrade inventory across a variety of airlines, announced this week that Membership Rewards points can now be used to bid for upgrades on existing flight reservations.
Air France-KLM Losses Grow as Competition Intensifies: It’s been a tough winter period for some of Europe’s biggest airline groups, with extra seats flooding into market causing problems in the seasonally weak first quarter of the year.
Expedia CEO: If United Doesn’t Talk New Deal, It Will Be ‘Completely Bewildering’: United and Expedia Group’s distribution agreement expires at the end of September. In the run-up to that deadline, the two companies have been battling it out in court — and in the court of investor and analyst opinion — during their respective earnings calls.
IHG CEO Warns Against Hotel Brand Bloat: As his company prepares to launch a new all-suite brand, InterContinental Hotels Group CEO Keith Barr had some frank talk for the industry.
British Airways CEO Says Transformation Is Not Over Yet: Since taking over as CEO and chairman of British Airways in 2016, Alex Cruz has endured his fair share of criticism over some of the changes he made to the airline, particularly with regards to food on short-haul flights. But Cruz, speaking at Skift Forum Europe in London on Tuesday, said the changes were necessary in turning the carrier into a more customer-focused airline as well as one that is much more financially stable.
Aer Lingus to launch AerSpace Business Class: Aer Lingus is edging toward a more traditional carrier service, with plans to launch a European Business Class service called “AerSpace.”
Hacking Uber: Earn Points, Cash Back, and Credits Every Time You Ride: Uber is making it really easy to rake in extra points, cashback, and credits with a combination of deals out there right now.
Grant Martin [[email protected]] curates the Skift Business of Loyalty newsletter. He is director of product marketing at TripActions. Skift emails the newsletter every Monday.
Have a confidential tip for Skift? Get in touch
Photo credit: The British Airways Airbus A320 at London (Gatwick) airport. Mike McBey / Flickr