Frequent Flyer Programmes (FFPs) are no longer merely an extravagant luxury for major carriers. That is the the message that emerged from the first FFP conference taking place in Madrid on 17-18 February. The event was co-organised by Global Flight Management, a consultancy set up in 1996 as specialist in loyalty programmes, and was supported by this magazine.
Around 150 delegates from more than 60 airlines worldwide gathered to debate current FFP issues, along with a number of leading suppliers offering an increasing range of loyalty products. Several IT suppliers now offer reasonably priced solutions that allow airlines of all sizes, including low-cost carriers, to consider an FFP. Some solutions are web-based, but even ASP (application service provider) or licence solutions can be obtained for far lower prices than in the recent past. Upfront costs well below $100,000 are easily achievable.
Most airlines launching new loyalty schemes these days are low-cost carriers, but it is particularly important for them not to approach the FFP topic from a pure cost perspective, but from the more holistic CRM approach described. Several suppliers are strategically focusing on airlines in this growing market segment with their FFP and customer relationship applications, such as HITIT Computer Services, SEDITEL or SITA
About the author?Ravindra Bhagwanani, who authored this article, is general manager with Global Flight Management, which offers a range of management-related services to airlines in the FFP and CRM field.?www.globalflight.net
Source: Airline Business
