Right now, the airline is leaning heavily on its loyalty arm as a core growth engine after a turbulent few years that saw investor frustration and a reputational reset. The frequent flyer business has bounced back alongside the broader group, and the focus has shifted from survival to how to squeeze more value from its 18 million strong membership base without pushing customers too far.
A key part of the strategy is to broaden where and how points can be used, including opening access to premium economy seats on a major Middle Eastern partner for the first time. That sits alongside earlier moves to increase the points needed for certain reward seats and to limit access for entry level members to the most luxurious cabins on partner airlines. Revenue from loyalty hit about $556 million last year, and the airline wants to almost double that figure within four years, using richer earn options, more partners and higher value redemptions as levers.
Behind the scenes, investors are also weighing a separate risk, potential rule changes from the central bank around credit card surcharges. Any crackdown on high fee, points earning cards could make those products less attractive and in turn slow the flow of points that keeps airline loyalty programs so lucrative. The airline argues its program looks more resilient than its main domestic rival’s because roughly 80% of its co branded cards earn points directly with the program rather than via bank reward schemes, and because it has 30 plus direct earning cards and several hundred more partners across travel, retail and services.
In the bigger picture, this loyalty push looks like a high stakes balancing act, with the airline betting that broader redemption options, more premium seat access and a huge partner network spanning nearly 50 airlines and more than 1000 destinations will keep members engaged even as some rewards become harder to reach. If it gets the balance right, the program seems set to become an even more powerful profit driver. If not, the mix of regulatory uncertainty, card changes and member frustration could slow the ambitious march toward that $1 billion target.
