The Airline Rewards Game Is Getting Tougher to Win

The Airline Rewards Game Is Getting Tougher to Win

Assessment

Interactive Video

Business

University

Hard

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Airline rewards programs have evolved from a mileage-based model to a spending-based one, causing fluctuations in point values and making it harder for customers to find deals. Bloomberg's analysis shows that point values now align more closely with cash prices, reducing flexibility. While airlines argue the new system offers benefits like fewer blackout dates, it has also become a significant revenue source. The changes have attracted regulatory scrutiny, and future government actions will depend on the administration's stance. Occasional flyers may benefit from exploring options rather than staying loyal to one airline.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How have airline rewards programs changed in terms of earning points?

Points are now earned based on the number of flights taken.

Points are now earned based on the number of destinations visited.

Points are now earned based on the distance traveled.

Points are now earned based on the amount of money spent.

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What did Bloomberg's analysis reveal about the value of airline points?

The value of points is consistent across all flights.

The value of points is higher for international flights.

The value of points fluctuates based on demand and availability.

The value of points is lower for domestic flights.

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How do rewards prices now compare to cash prices of flights?

Rewards prices are unrelated to cash prices.

Rewards prices are generally lower than cash prices.

Rewards prices are generally higher than cash prices.

Rewards prices closely match cash prices.

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one benefit airlines claim about the new rewards system?

There are more blackout dates.

It's harder to earn points from everyday spending.

Reward flights have become more expensive.

It's easier to earn points from everyday spending.

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What has been the response from lawmakers and regulators to the changes in airline rewards programs?

They have praised the changes for being customer-friendly.

They have ignored the changes completely.

They have scrutinized the changes and announced probes.

They have encouraged more airlines to adopt the changes.