Skift Take
Lufthansa's test partnership may or may not work out. But what's certain is that all major travel rewards programs have broad opportunities to use their customer databases in ways that luxury retailers such as Aston Martin and Omega will actually like.
Since the pandemic started, Lufthansa and other airlines have been desperate to get customers back in the air. But they've been attempting to revive travel without having loyal customers redeem miles for free flights — a practice that's less lucrative than persuading travelers to redeem miles for non-flight rewards instead.
One of Lufthansa Group's attempts this year to innovate in mileage redemption involves a fresh twist on consumer database marketing. The German company has encouraged members of its Miles & More loyalty program to sign up for a deals site called Dezerved, which loyalty tech vendor Loylogic Group launched earlier this year. The members-only online shop lets Lufthansa's elite members buy luxury goods and services at a discount with a mix of miles redemptions and payments.
"Travel and luxury brands have a huge interest in building direct relationships with consumers, given the success of companies like Warby Parker with direct-to-consumer models," said Dominic Hofer, CEO of Dezerved and Loylogic. "We give these brands a platform to acquire proven loyal customers. We call it a direct-to-loyal-consumer model."
While Lufthansa officially joined earlier this year, Dezerved, privately owned and based in Zurich, has only recently filled out its marketplace. Brands that have signed up include carmaker Aston Martin, watchmakers Omega and Parmigiani Fleurier, electronics manufacturers such as Bang and Olufsen (B&O) and Sennheiser, fashion houses Gucci and Prada, and five-star resorts from the Six Senses group.
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