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A Business Traveler's guide to...Airline Alliances

- Thursday, Dec 17th 2009 - 475 views
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Exec Digital - A Business Traveler's guide to...Airline Alliances - With business increasingly being conducted on an international scale, the ability to schedule seamless travel is vital
A Business Traveler's guide to...Airline Alliances
Exec Digital

With business increasingly being conducted on an international scale, the ability to schedule seamless travel is vital

By Rebecca Waters

Airline alliances have greatly changed the way we travel, making international travel a more seamless experience for frequent business travellers. Together, strategically based member airlines have the capability to move business travellers around the world more comfortably, offering worldwide access, improved choice and convenience, consistent service and the ability to be recognised and rewarded for their loyalty.

Since the formation of Star Alliance in 1997, the race commenced to enrol the most airlines and offer the most destinations and routes worldwide. From that time onwards, global airline alliance membership has been growing, with the alliances recruiting new members to extend their geographic coverage and boost passenger benefits. Today, the three main alliances – Star, SkyTeam and oneworld – combined, now numbers 43 airlines (plus 48 affiliates/associates).

The benefits

There are many benefits to be gained for business travellers as a result of international alliances, from hub synergies, better lounge access, and more online options for travel. Some of the most exciting benefits include frequent flyer programmes, which allow passengers to accrue and redeem miles, as well as earn qualification miles toward Elite status.

Corporations can also qualify for a number of benefits. For example, Corporate Plus, the Star Alliance Corporate Programme, offers travellers financial, managerial and travel advantages right across the board, including discount incentive schemes and value proposition.

Member airlines also benefit from the alliance structure by gaining greater brand recognition, improving market positioning and increasing reach to new destinations.

Future alliances

“Perhaps the most crucial alliance benefit during this time of economic challenges facing the aviation industry is the cost-savings aspect,” says Bob Somers, Managing Director of Global Sales, Delta Air Lines, part of the SkyTeam alliance. “Alliances leverage their airline partners to reduce and manage costs, making it advantageous for airlines to apply for alliance membership, ultimately allowing for alliances’ continued expansion.

“As we have seen in the past year, and certainly will continue to see in the future, alliances, as well as deeper partnerships between member airlines, will provide passengers new ways to experience seamlessness.”

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