Travel Loyalty Programmes to Focus on Personalised, Flexible CX In 2025

Travel-based loyalty programmes tend to appeal to higher spending customers, presenting businesses with the opportunity to boost levels of customer engagement and benefit from higher CLVs.

Topics

  • Travel-based loyalty programs continue to climb in popularity thanks to the sector’s ability to build loyalty through highly personalised customer experiences, according to a new report from Rocket Travel by Agoda.

    The report highlights that the top five airline loyalty programmes alone saw a 7.75% average growth in valuation from 2020 to 2023 while some travel loyalty programmes in the financial services sector have tripled in value since 2019.

    While the report noted a dip in levels of customer satisfaction for many customer loyalty programmes post-Covid because of reductions in benefits, there was now an opportunity to re-ignite customer enthusiasm through more engaging online experiences.

    Other benefits include the ability to search based on distance to key points of interest, find refundable or flexible travel options, filters based on pricing data and localised languages.

    Meanwhile interactive tools proactively recommend options to the customer based on their preferences – like deep discounts for price-sensitive travel planners or options with high earning potential for points-hungry members – drive increased repeat rate and added long-term value from each customer.

    The report also noted that travel-based loyalty programmes tend to appeal to higher spending customers, presenting businesses with the opportunity to not only boost levels of customer engagement but also benefit from higher customer lifetime values.

    Damien Pfirsch, Head of Rocket Travel by Agoda, the strategic partnerships arm of Agoda, said, “Unlike other industries, travel is something that people are emotionally invested in. By offering real-world experiences that customers really care about, it’s easier for brands to turn transactional relationships into long-term partnerships with their customers.”

    He added, “Digital travel platforms are uniquely engineered to let customers design their own, highly personalised experience thanks to great search capabilities and a wide selection of destinations and accommodations – all at value-driven prices. The technology is also highly customisable, so brands are able to offer their loyal customers an enjoyable experience with all the look and feel of their main site.”

    Topics

    More Like This