Hip Digital Media and Airline Information Release Survey Results To Loyalty Industry
Music Incentives Used To Reward Survey Participants
Dallas, Texas - May 13 2008 - Hip Digital Media, the leading consumer experience network and Airline Information, an established innovator in the loyalty industry today released survey results surrounding strategic initiatives and challenges affecting frequent flyer plans for the airline industry. The survey followed Airline Information's 4th Annual Frequent Flyer Program (FFP) Conference, "Taking Loyalty to Financial Heights," which took place in Istanbul in March of 2008.
Hip Digital and Airline Information distributed custom branded digital download cards and emails inviting participants to receive free music downloads provided by Hip Digital Media. In addition, Hip Digital also produced a custom designed website http://www.ffp2008.hipdigital.com for the Airline Information survey allowing visitors to participate in the incentive program. Airline Information and Hip Digital Media's survey reached an audience of over 3,000 industry executives, resulting with 60% of survey participants who redeemed music instantly after taking the survey.
"The FFP 2008 Survey provided us an excellent snapshot of industry opinions on relevant industry topics. As world leaders in loyalty deployment and analysis, Airline Information and Hip Digital Media demonstrated how a simple and attractive music download proposition can increase the return rate of survey participation through incentives," said Peter Diemer, Executive VP of Strategy and Development at Hip Digital Media.
The conference tackled FFP strategies and issues, such as international accounting standards, reward management, loyalty, credit card partnerships and the need for loyalty currency. The FFP 2008 Conference hosted over 300 delegates represented by 75 international airlines and top experts and suppliers in the industry.
Key findings of the FFP Survey revealed:
- 75% of participants think internal FFPs should purchase seats from revenue management.
- 66% said yes, a loyalty program can be recession proof
- 77% said yes, 5 years from now co-branded credit cards will still be the major source of revenue for FFPs.
- When asked about the most important benefit to an airline from potentially spinning-off its FFP as a separate business unit, 40% of those surveyed said FFP increased customer satisfaction. 30% said FFP provides liability relief, and the remaining 30% said it provides cash from the sale.
"The survey results suggest that frequent flyer programs will continue to lead the generation of ancillary revenues, particularly through co-branded credit cards, for the industry." Says Roger Williams, Co-founder and Managing Partner, of Airline Information. "I am also pleased to see that loyalty managers are actively taking measures to manage their liability more responsibly and deliver value in the form of award seats and substantive lifestyle rewards like music downloads to the customer."
Without question, demand for incentives, rewards and new options through existing or new loyalty programs is tremendous. As the market evolves, so will new opportunities to integrate incentives into FFP's. Additional discussions will be on-going as the industry continually looks for new and improved ways to connect with the consumer.
About Hip Digital Media:
Hip Digital Media is the leading consumer experience network. Hip Digital offers innovative customer experiences and digital campaigns for Fortune 500 brands. Hip Digital Media brings together communities, music, brands and consumers through custom built technology, including (PACET), its Content Management System, which allows for turnkey creation of powerful online consumer experiences.
For more information please visit: www.hipdigitalmedia.com
About Airline Information:
Airline Information is an established innovator in commercial aviation management conferences and publishing. Over 200 airlines regularly attend Airline Information conferences and forums worldwide. The firm provides airline professionals and industry suppliers with free high-quality online publications as well as professional guidebooks in loyalty, CRM, eCommerce, and ancillary revenue development. For more information please visit: http://www.airlineinformation.org
For more information on the results of the survey or to receive the entire report, please contact Axis Marketing & Public Relations at (310) 276.2220 or email smiller@axismarketingpr.com.
PR Contact for Hip Digital Media, Inc.:
Sarah Miller
Axis Marketing & PR
Tel: 310 276-2220
smiller@axismarketingpr.com