Get Discount Airline Ticket Prices thru New Coalitions
You can get discount airline tickets prices in the next few months through newly enhanced frequent flier programs from the Star Alliance and Delta SkyMiles coalitions.
As the economy continues to batter most businesses including airlines, major airlines are looking into cultivating closer relationships with loyal fliers by making their frequent flier programs more attractive.
This week, Continental Airlines joined the Star Alliance and decided to eliminate some of its requirements before travelers can enjoy their reward points. After the transition is completed, Continental customers can already enjoy their travel rewards without making the Saturday night requirement and can already earn elite membership miles on discount airline fares. Fellow Star Alliance members include US Airways and United Airlines.
Early this month, Delta SkyMiles was formed by Delta Air Lines and Northwest Airlines to merge their frequent flier accounts, with Delta launching a new elite program for travelers flying at least 25,000 miles yearly.
Basili Alukos, a Morningstar analyst who monitors airline stocks, said that frequent flier programs benefit loyal fliers through discount airline ticket prices, but these programs also benefit airlines in big ways, such as borrowing money from business partners and fliers and obtaining crucial travel and consumer information for free.
For instance, according to Alukos, American Express purchased last year $1 billion worth of SkyMiles through its credit card venture with Delta and pledged to buy another $1 billion over the next year.
Southwest Airlines, meanwhile, is finalizing a new scheme to earn revenues from its Rapid Rewards frequent flier program.
Alukos added frequent flier programs greatly benefit airlines, so they are doing their best to entice travelers to become loyal members. With these programs, airlines can sell future travel and can estimate travel demand.
Airlines have started making reward travel redemption more easily, according to Randy Petersen of InsideFlyer.com. He said that United will soon remove its fee of $75 to $100 for booking reward tickets within 3 weeks of the travel date.
In addition, airlines have also been making it easier for fliers to reach the elite status so they are encouraged to fly more often. Holders of co-branded can use spending on their cards to increase reward points.
Last May, American Airlines launched one-way reward tickets for travel at least 12,500 miles. This year, Delta and United have also started offering mileage discounts on award tickets, essentially offering discount airline ticket prices.
