BackTravel loyalty runs deep in the United States. Of the millions of Americans that belong to a loyalty program, nearly half belong specifically to a “travel” loyalty or rewards program. Meanwhile, 53% of brands with loyalty programs will leverage “incentive travel” to reward customers. In other words, loyalty travel solutions are in high demand and will remain increasingly popular throughout 2024.
So, what are the best loyalty solutions in the travel industry? How can organizations ramp up their loyalty travel solutions to rival the competition and re-engage and retain their audience? In this comprehensive guide to the best travel loyalty solutions of 2024, we’ll explore the critical components of loyalty solutions in the travel industry that brands must navigate this year.
1. Discounts are a Vital Loyalty Travel Solution
When questioning, “How do travel loyalty programs work,” the answer almost always involves some type of discount program. After all, 96% of the population uses coupons to spend less on each purchase while shopping with their favorite brands. As such, a branded discount program has quickly become synonymous with consumer loyalty programs for travel.
Arrivia, a global leader in loyalty travel solutions, surveyed 2,200 consumers for our 2024 Travel Trends Report, revealing that discounts remain a vital loyalty travel solution. As per the report findings, “price” and “value for money” are consumers’ top considerations for travel booking. Unsurprisingly, “good value for money” is also the leading driver of ultimate brand loyalty.
2. Exclusive Memberships Work as a Loyalty Travel Solution
Speaking of branded discounts, exclusive memberships have also emerged as loyalty travel solutions that offer more than just frequent traveler loyalty points and miles. Beyond points programs for travel, many travel businesses have begun to offer exclusive club memberships that promise access to discounted deals, unique products, cashback rewards, and other perks.
Exclusive memberships as loyalty travel solutions can benefit almost any travel company, from airlines and travel agencies to hotel brands, vacation rentals, and even tour operators. For one, these coveted deals help to enhance customer retention in travel. Secondly, businesses can charge monthly or annually for access to travel membership benefits, creating a new revenue stream.
3. Tiered Loyalty Programs are Great Loyalty Travel Solutions
Tiered loyalty programs have quickly overtaken travel rewards systems nationwide. Loyalty tiers, or membership levels, are mechanisms brands employ to recognize and motivate dedicated customers. Tiers are organized according to each customer’s involvement and expenditure patterns to cultivate enduring loyalty and promote recurring transactions.
As customers progress through a tiered program, they gain access to progressively appealing benefits. For instance, new members may gain access to discounted deals, whereas members who spend above a certain threshold receive early access to new travel products. In 2023, consumers voted “status tiers that provide new rewards at higher levels” as their top financial reward.
4. Lifecycle Marketing Drives Revenue as a Loyalty Travel Solution
Lifecycle marketing is the culmination of every marketing touch point a customer interacts with on their path to purchase. As a component of travel loyalty management, lifecycle marketing analyzes dozens of customer interactions to better understand their concerns, motivations, and pain points, then applies those insights to boost customer lifetime value (CLV).
Lifecycle marketing strategies that can drive revenue as loyalty travel solutions include:
- Pay-per-click (PPC) advertising across search engines and social media networks.
- Direct-to-consumer (D2C) advertising like SMS text messages and mobile push alerts.
- Promotional events like limited-time discounts, free trials, and sweepstakes contests.
5. Omnichannel Communication is a Loyalty Travel Solution That Reaches More Customers
Your customers might love your loyalty program in person—but what’s your mobile presence looking like? At a time when the majority of customers access travel loyalty platforms via smartphone mobile applications, an omnichannel loyalty strategy can bridge the gap between physical and digital experiences as well as simultaneously connect with a broader audience.
Omnichannel loyalty is an approach that integrates the actions carried out both online and offline. It emphasizes connecting with customers through various channels, including mobile apps, email, membership cards, and social media. This approach maintains consumer awareness, enhances brand discoverability, and fosters heightened customer engagement.
6. Immersive Experiences are a Loyalty Travel Solution That Propels Engagement
While omnichannel is a robust loyalty travel solution in and of itself, brands can take their travel loyalty management up a notch with immersive experiences. Immersive experiences go beyond the one-dimensional note of email newsletters or physical membership cards to create another avenue for interaction with richer multisensory experiences that lead to deeper brand engagement.
Immersive loyalty travel solutions ran the gamut to include elements like:
- Flat interfaces, including traditional web pages and mobile app-based experiences.
- Natural interfaces, including haptic (touch), sound, and scent-driven experiences.
- Extended reality interfaces, including augmented and virtual reality experiences.
7. Experiential Benefits Should Be Built into Travel Loyalty Solutions
Experiential travel rewards have been on the rise since 2019, with no signs of slowing in 2024. In fact, the number of loyalty travel solutions that have begun to offer experiential benefits jumped from 61% to 78% in just one year, with updated travel itineraries hitting loyalty programs left and right. In 2024, brands must strive to extend rewards beyond miles and points loyalty perks.
Experiential benefits can take several shapes, though they primarily rely on the ultimate customer experience. For instance, a robust customer service strategy, complete with a knowledge library for user assistance, can be a great travel loyalty solution. Similarly, offering travel-adjacent perks, like free WiFi on flights and complimentary upgrades on rental cars, can boost customer satisfaction.
Explore arrivia Loyalty Travel Solutions
In 2024, loyalty customers will expect more from their travel loyalty programs than they have in the past. Fortunately, the above components of loyalty solutions in the travel industry will surely please even the most varied demographics. If you’re seeking a turn-key approach to satisfying your loyal customers, look no further than arrivia’s vast suite of trusted loyalty travel solutions.
From exclusive branded discounts to omnichannel communications and experiential benefits, arrivia’s white label loyalty travel solutions can be customized to your company’s branding, offering a simple method to generate member engagement that drives loyalty, retention, and, ultimately, your bottom line. Explore arrivia loyalty travel solutions today to revive your loyalty program.
