TAF PUBLISHING

This study evaluates the impact of FFP on consumer behavior. It assesses determiners and moderators of effective FFP design in a representative customer survey (n = 502) of Miles & More members in Germany. The study finds that FFP impact all levels of the customer behavior chain, particularly customer attitude, brand image, booking behavior, customer loyalty, sustainable customer relationships, and passengers' value perception. FFP building blocks interact: Service, status, and monetary awards must be effectively combined to maximize customer impact. A broad and far-reaching partner network and transparent redemption options are essential to convince cus- tomers of the program's value. Airline safety and quality are additional essential determiners of customer booking and loyalty behavior. FFP mainly addresses frequently flying business customers on short-distance flights. Airlines should develop their programs to appeal to this customer group and ensure perceived FFP honesty by transparent and reliable redemption conditions and a comprehensive service package awarding loyal customers reliably.