Southwest Airlines wanted to do something to show appreciation to members of its Rapid Rewards loyalty program. As a result, Southwest Airlines has partnered with loyalty currency management global firm Points to offer members a 25% bonus on all Rapid Rewards points purchased through July 16, 2013 – marking the first time Southwest has offered a bonus on points purchases.
Angie Russell, Manager of Partnership Loyalty Marketing for Southwest Airlines, told Loyalty 360 that the airline wanted to show appreciation and gratitude to those customers “who put their trust in us.”
Southwest Airlines has a rich history of offering “positively outrageous service” to its customers, Russell said.
“Customer loyalty is an extension of our customer service commitment,” she explained. “The Rapid Rewards program enables us to reward our members for engaging with our brand. From being recognized as the No. 1 loyalty program for award seat availability or no blackout dates, Rapid Rewards provides real value to our members. Southwest wants to be top of mind when it comes to our customers’ travel needs whether for a family vacation or a business meeting.”
In addition to buying points, Rapid Rewards members now have the option to Gift and Transfer points to friends and family as part of the new Points-powered services. Rapid Rewards members also have the flexibility to buy additional points while booking a flight - online or via the customer service center - for redemption at any time.
Points' solutions enhance the management and monetization of loyalty currencies ranging from frequent flyer miles and hotel points to retailer and credit card rewards for more than 45 partners worldwide.
“Southwest is thrilled to enhance the Rapid Rewards program for our Members by giving them additional options for how they can use their Rapid Rewards Points through gift and transfer options, all via a central location on southwest.com,” Russell said. “The 25% bonus is our way of celebrating these new features while rewarding our valuable Members.”
Russell said Southwest Airlines is encouraging Rapid Rewards members to visit the new site and try out the new features.
“Through the Rapid Rewards Points Center, Members can continue to purchase the Rapid Rewards Points they need for a flight, but now they can also purchase points to give as gifts or transfer points from their Rapid Rewards account to another -- all from one location,” she said. “This bonus offer gives us a chance to reward our Members for doing just that.”
Southwest Airlines values the customer feedback it receives.
“We’re always looking for ways to enhance our Rapid Rewards program for our Members,” Russell added. “Our Members have always loved the flexibility of our program, but they wanted the ability to transfer or give points as a gift to family or friends. The new Rapid Rewards Points Center enables them to do both in a central location.”
Points CEO Rob MacLean told Loyalty 360 that loyalty is not a new concept, but the way members are interacting with their loyalty programs has changed.
“We feel that the loyalty landscape is at a critical crossroads,” MacLean said. “We know that customer loyalty is driven by the ability to use the points and miles they’re accruing and the ability to earn points and miles in their everyday life. Faced with reward program overload, however, many members are starting to opt out. Frequent flyer programs for example, have long been an attempt to breed passenger loyalty. Airline brands have assumed that if travelers can redeem for tickets, rewards or preferential treatment by flying one airline or alliance, they will.”
With so many loyalty programs vying for attention today, consumers require unparalleled loyalty engagement while businesses need a platform that delivers repeatable ease-of-use, and one that simplifies the rewards/redemption process, MacLean said.
“We want consumers to feel like they are getting real value from their rewards programs - and we try to encourage loyalty by empowering customers with services that offer more choice and flexibility,” he said.
MacLean said the Buy, Gift, and Transfer service was created in response to an industry need to give members more flexibility with their loyalty program; and give loyalty programs more tools to increase member engagement.
The Buy Gift and Transfer service gives loyalty program members more control over the points and miles they’re working hard to earn, MacLean said.
“It empowers them with the chance to reach a reward goal faster than they might have previously, with the ability to buy points and miles right when they need them, or with the opportunity to help a friend or family member reach a goal through Gifting or Transferring,” he explained. “It also gives loyalty programs a new way to increase member engagement: by empowering their members to do more. By improving customer engagement, in turn, we also help our partners improve program engagement.”
Ultimately success, MacLean said, is measured by “seeing our partners’ businesses grow, and contributing to increased engagement among their members. We offer real-time program tracking and measurement to ensure success in everything we do for our Partners. As we continue to develop our data and analytics programs and embrace big data, our measurements for success are becoming more sophisticated and our program tactics are more and more targeted to ensure our partners achieve success.”
MacLean defines engagement through interaction and loyalty by increased customer visits and purchases with a particular brand.
“The two go hand in hand,” he said. “True member satisfaction and loyalty is gained when members can easily redeem and use the points and miles they have worked hard to earn, and reach goals faster. It’s about encouraging and supporting the cycle of earning and burning loyalty currency for loyalty members.”
Loyalty and engagement are at their highest when a customer feels the brand has their best interests in mind, MacLean added.
“In the loyalty industry this means making sure that the consumer’s efforts to earn and stay loyal to a specific brand are rewarded in a tangible and meaningful way,” he said. “Loyalty isn’t just about giving away points or miles; it’s about answering the needs of customers and making sure it’s easy for members to reach reward milestones.”