BA announces more changes to loyalty scheme and says ‘right thing’

British Airways (BA) has recently revealed significant changes to its loyalty programme in an effort to create a fairer system. The airline’s loyalty scheme will now award points based on the amount spent rather than the distance flown or fare class. Customers will earn one point for every pound spent, with a requirement of 20,000 points per year to qualify for the prestigious gold status. This status offers benefits such as access to first-class lounges and enhanced baggage allowance.
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The initial announcement of these changes in late December 2024 sparked backlash, with frequent flyer website headforpoints.com accusing BA of neglecting the leisure market. The website claimed that it would be challenging for small business travellers, economy travellers, or self-funded leisure travellers to attain gold status under the new system. In response to these concerns, British Airways has extended a bonus offer allowing customers to earn up to 550 additional points per flight based on their cabin class for the remainder of the year.
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Moreover, the airline has introduced a guarantee of bronze status for customers taking at least 25 flights annually, such as commuters. This status offers benefits like access to business class check-in desks and free seat selection from seven days before departure, even for economy ticket holders. Colm Lacy, British Airways’ chief commercial officer, emphasised that the shift to awarding points for spending is aimed at recognising customer loyalty and promoting the right behaviours. He clarified that the intention is not to reduce the number of members in each tier but to ensure a loyalty scheme that rewards loyalty effectively.

Industry experts have weighed in on the changes, with Gilbert Ott, founder of travel website God Save The Points, highlighting the emotional attachment people have to loyalty programmes. Ott noted that while the bonus offer may create a sense of gamification, loyalty schemes in the US based on spending have often resulted in better benefits for passengers. British Airways’ decision to revamp its loyalty programme is seen as a bold move, making them one of the first in the UK, and even in Europe, to adopt a spending-centric system.

The loyalty scheme overhaul, set to take effect from April 1, includes rebranding the programme from “Executive” to the British Airways Club. Additionally, there are new avenues for earning points, such as through British Airways Holidays, the airline’s package holiday division. These changes aim to modernise the loyalty programme and align it with evolving customer preferences and industry standards.

Overall, British Airways asserts that the new loyalty scheme changes are designed to benefit customers by creating a more equitable and transparent rewards system. By shifting towards a spending-based points system, the airline aims to foster genuine loyalty among its customers and discourage practices like exploiting loopholes to earn points. As the aviation industry adapts to new trends and customer demands, British Airways’ loyalty programme transformation stands out as a proactive step towards enhancing the overall customer experience.