“Air miles” are bonus programs of a number of airlines and related organizations (some hotel chains, duty-free shops, car rental companies, and the like). Under incentive programs, a frequent flyer is awarded a certain number of points for each mile spent in the air; the passenger can then exchange these points for airline tickets or other services. Such premium-mile accumulation programs make it possible to tie a customer fairly firmly to a company.
More than 130 airlines offer mileage accumulation programs to their passengers. Currently, more than 120 million people worldwide use various schemes. Every year, airlines provide 14 million free airline tickets—that is, tickets earned through mileage accumulation programs. Passengers have learned to exchange their miles not only for hotel rooms or car rentals, but also to pay restaurant bills and sea cruises with them. In addition, consulting companies are emerging and successfully operating that advise on how to make the most advantageous use of accumulated miles. Now that these programs have become widespread, airlines are in a panic.
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