What travelers find rewarding is changing and travel companies are considering how best to forge meaningful customer relationships going forward in what is still a transactional space.
During the "New Customer Loyalty" panel at The Phocuswright Conference in November, executives from AirAsia MOVE, Capital One and Hilton examined how loyalty evolves beyond transactions to include emotional and experiential connections.
Oral Muir, vice president of partnerships, experiences and distribution for Hilton, said he defines loyalty as a “mutual relationship” built over time. He emphasized the importance of creating “emotional currency” through personalized service that makes travelers feel at home so the destination becomes a place they want to return to and bring their family to year after year. “It’s about listening to the customer and helping them find new ways to dream, shop and stay with us,” he said.
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He was joined on the panel by Jenn Scheurich, managing vice president of Capital One Travel & Retail Experience and Nadia Omer, CEO of online travel agency AirAsia MOVE, who also shared views on fostering loyalty among travelers.
Omer said it’s essential to make loyalty
programs flexible to gain a more significant share of wallet, appealing to
budget-conscious travelers. Companies should find opportunities to spend and earn
rewards wherever customers spend their money, whether at duty-free, during
a trip, or just buying their weekly groceries at home.
“The ultimate goal
is that whenever they think about MOVE, they think about best value; whenever
they think about our points, they think of them being just like cash,” she
said.
Scheurich said that value, perks and
responsiveness during customer pain points are critical loyalty drivers.
Experiences are also highly valued.
“Whether you have a really
heavy spending customer who wants that incredible, sweet experience at an
amazing boutique hotel in Paris, or you have a customer who is earning points
to pay for that family vacation or that visit to a family member, we want to
make sure that they have a really clear, compelling path to those things and a
product design for them,” she said.
The panel also touched on the importance of understanding customer behavior and providing value beyond transactional loyalty. Watch the full session below moderated by Lorraine Sileo, founder and senior analyst of Phocuswright Research.