ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Typical awards include a free ticket, food and beverage perks, or a free upgrade from economy seating to higher seating class. Some airlines also offer “elite” programs which provide check-in and boarding priorities, and “affinity” credit cards which earn mileage credits when you use them for purchases.

Detailed explanation-2: -The frequent flyer program is an incentive program operated by an airline to reward customers for their continued loyalty. As a traveler, you earn free miles for the miles that you fly on a particular airline.

Detailed explanation-3: -In 1979, Texas International Airlines created the first frequent-flyer program that used mileage tracking to give ‘rewards’ to its passengers, while in 1980 Western Airlines created its Travel Bank, which ultimately became part of Delta Air Lines’ program upon their merger in 1987.

Detailed explanation-4: -Airline loyalty programs or frequent flier programs (FFPs) are incentive schemes run by airlines to reward their passengers, foster traveler loyalty, and support retention. The initial idea was simple and straightforward: The more people fly, the more points or miles they earn, the more perks they get.