British Airways Forced to Justify 'Aggressive' Changes to Loyalty Program

British Airways has defended reforms to its loyalty programme, claiming that shifting to a spending-based structure will result in more fairness, not fewer incentives.

The airline recently changed its reward scheme from one based on distance flown to one based on the amount spent, with passengers receiving one point for every pound spent.

This shift provoked criticism from frequent flyer website headforpoints.com, which accused the airline of abandoning leisure travellers and making it nearly impossible for small business, economy, or self-funded leisure travellers to obtain gold status.

Gold level provides benefits such as access to first-class lounges and a greater baggage allowance and typically requires 20,000 points annually.

In response to the worries, British Airways has announced an extension of its bonus offer. For the rest of the year, passengers can earn up to 550 more points on each flight, depending on cabin class.

Furthermore, the airline has implemented a guaranteed bronze status for frequent travellers who take at least 25 trips per year, aimed at habitual commuters.

Bronze-level perks include access to business class check-in desks and free seat selection up to a week before departure, even for economy ticket holders. British Airways argues that these modifications are intended to establish a more equitable rewards system for all its customers.

British Airways chief commercial officer Colm Lacy stated that providing spending points is "the best way of recognizing our customers' loyalty, and we're confident it's the right thing to do."

He explained to the PA news agency, "This is not about limiting the number of members in each category.

"The focus for this is making sure we have a loyalty scheme that rewards people for the right behaviours."

Mr. Lacy stated that "one of the benefits" of the modifications is that they will make it more difficult for people to use "gamification and loopholes" to get points, as "that is not really rewarding loyalty."

Previously, some customers chose to take many flights on circuitous routes to reach their goal, as these lower, less convenient tickets frequently let them attain statuses.

Gilbert Ott, proprietor of the travel website God Save The Points, stated that individuals have an "emotional attachment to loyalty" and that the extra offer creates "a little bit more of that game feeling."

He stated that many loyalty schemes in the United States are already based on spending, which has frequently resulted in passengers receiving "better benefits because airlines have the economics behind them."

He said about British Airways: "It's aggressive because they're the first in the UK—and one of the first in Europe—to adopt a system in which money is the primary motivator.

"But my gut is, if you look in five years, almost everybody (will have done) the same."

The changes, which take effect on April 1, include removing the word "Executive" from the program's name, which will now be known as the British Airways Club.

There are also new opportunities to earn points, such as through the airline's package holiday section, British Airways Holidays.