Loyalty programs are all about numbers. Award Charts, earning and burning, all weighed in as a part of a business plan at the core of which lies how many miles will be minted, billed and how many of those extinguished and paid for during the year. So, it becomes sort of important to catch your breath every time a milestone is hit. After all, bargaining power is based on the number of members you have in the program. So are costs of servicing the loyalty of a member.
JetPrivilege reached one such milestone this past week. They are now 5 million members large, which makes it a pretty strong family to be a part of. JetPrivilege was taken over by Etihad Airways as a part of the deal for Jet Airways’ equity investment, and at that point of time back in 2013, they were about 2.4 Million members strong, which means they more than doubled in size within a couple of years or 3!
India, as a market for loyalty programs is pretty minuscule as compared to the US of A, for instance, where with a population of 330 million people in its home nation has over 67 million members in the AAdvantage program (2011 numbers/wikipedia). So, as the number of fliers within India grow, so will the number of members of loyalty programs and the whole industry. Air India has about 2 million or so members in their loyalty program for instance, from memory.
Overall, I still feel enthused that there is a lot more benefits to come via loyalty programs, and while I am trying to not think about the changes to JetPrivilege as of August 2016, I’m hoping I’d be able to adjust and they won’t be as bad as they sound.
What do you guys think about this 5 million milestone of JetPrivilege? Any good memories of the program?