Frequent flyer programs for European low-cost airlines: Prospects, risks and implementation guidelines

摘要: Abstract The continuous growth of passenger numbers masks the fact that European market for low fare air travel is radically changing. New airlines, takeovers as well bankruptcies are reflecting strong competitive pressures within and from established network airlines fighting back to retain their shares. low-cost (LCAs) operate with significant differences in unit costs most them reporting marginal profits or losses. This suggests many participants will re-evaluate business model depart aggressive low-cost, no-frills positioning by using service features such frequent flyer programs (FFPs) offer something more than simply cheap tickets. author assesses prospects problems involved setting up FFPs outlines how a program should be designed LCAs increase customer loyalty long-term profitability.