Airlines Mull How to Measure Loyalty: Points or Dollars?

Airline loyalty programs are at a crossroads as Delta, Southwest, United and Qantas have all followed the lead of hotels and other retailers, and transitioned to revenue-based loyalty programs. Additional airlines are expected to follow along or introduce hybrid mileage- and revenue-infused programs over the next few years, according to a recent report, Revenue-Based Accrual as the New World Order, from IdeaWorks Co. Still, American Airlines Group, is on record as saying it will stick to its mileage-based program as it works on integrating AAdvantage with US Airways' Dividend Miles, and Lufthansa, which is spinning off its loyalty program, pledges to give more focus to non-elite flyers, a group that often gets short shrift when programs shift from miles to revenue at their core, IdeaWorks states. "Frequent flyer program execu