Airline

Optimizing Loyalty Breakage Economics for a Global Airline

Our case studies showcase real-world examples of how we've helped businesses enhance loyalty, optimize customer experiences, and achieve measurable growth through tailored strategies.

Optimizing Loyalty Breakage Economics for a Global Airline

Together with On Point Loyalty, one of the world’s largest airlines quantified and validated a shift in the expiry policy for its loyalty program.

Client Challenge

Operating in a highly competitive market, the airline was evaluating changes to its points expiry policy. Any adjustment, however, could materially affect the loyalty liability recorded on its balance sheet.

Our Approach

Combining loyalty strategy expertise with actuarial modelling, On Point Loyalty guided the client through a structured assessment of the proposed policy change and its financial implications.

Business Impact

The engagement provided the client with the confidence to implement a revised expiry policy while maintaining control over financial risk. Following implementation, On Point Loyalty continued to advise on breakage management, embedding actuarial expertise into the airline's ongoing liability management processes.