British Airways Responds to Backlash with Loyalty Program Revisions

---

British Airways (BA) has announced significant changes to its frequent flyer loyalty program, the British Airways Club, in response to mounting criticism from customers.

The airline’s shift from a distance-based rewards system to one focused on spending has raised concerns among frequent flyers, particularly those who travel for leisure or are small business owners.

Overview of Changes

Initially unveiled in December 2024 and set to take effect on April 1, 2025, the new program will award one Tier Point for every pound spent on tickets and ancillary services.

This transition has been criticized for making it increasingly difficult for many travelers to reach elite status, with critics claiming that the changes favor high-spending business travelers over leisure passengers.

In light of the backlash, British Airways has introduced several adjustments aimed at appeasing its loyal customer base:

• Extended Bonus Points Offer: Customers can now earn up to 550 additional points per flight depending on their cabin class, a move intended to provide more value throughout the year.
• Guaranteed Bronze Status: Frequent flyers who complete at least 25 flights annually will automatically qualify for bronze status. This status includes benefits such as access to business class check-in and complimentary seat selection for economy ticket holders.
• Revised Status Thresholds: While the spending-based model remains, BA has clarified that achieving silver status will require a minimum spend of £7,500 annually, while gold status will necessitate £20,000.

Customer Reactions

The initial announcement had sparked outrage among frequent flyers and travel experts alike. Critics argued that the new system effectively “washed its hands of the leisure market,” making it nearly impossible for casual travelers to attain gold status, which offers perks like lounge access and increased baggage allowances.

Colm Lacy, British Airways’ Chief Commercial Officer, defended the changes by stating that they aim to create a more equitable rewards system.

He emphasized that the intention is not to reduce the number of members in each tier but rather to recognize customer loyalty in a fairer manner. Lacy noted that the modifications would help prevent “gamification” tactics previously used by some customers to achieve elite status through indirect routes.

Industry Implications

Experts suggest that British Airways’ aggressive pivot towards a spending-based loyalty program may set a precedent for other airlines in the UK and Europe.

Gilbert Ott, founder of God Save The Points, remarked that many US airlines have already adopted similar models with positive outcomes for customer benefits.

As British Airways prepares to implement these changes, it remains to be seen how they will affect customer loyalty and competitive dynamics within the airline industry.

The airline’s willingness to adapt its strategy in response to feedback highlights the ongoing evolution of loyalty programs in an increasingly competitive market.

Also Read