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Managing the Risks of Rewards

Are hospitality and travel companies managing the risks of their rewards programs?

 

Building customer loyalty is a core component of airline and hotel companies’ strategy, but at what price? The current status of loyalty data security presents both an opportunity and a threat for hotels and airlines.

Companies that can persuade their customers to share detailed information about their interests, hobbies and preferences can create a highly valuable and customized experience: the more information they gather, the more they will be able to personalize the travel experience, and the tighter their bond with customers. But if they fail to live up to their custodial responsibility to secure customer information, that bond can be shattered in an instant.

Deloitte’s Travel, Hospitality, and Leisure practice’s consumer loyalty data security survey and point of view polled frequent travelers on their behavior and perspectives to provide deep insights into their security expectations of loyalty programs. Key takeaways from the survey can be accessed here.

For updates on our loyalty research or to see how we can help, contact deloittetravelhospitalityleisure@deloitte.com.

As used in this document, “Deloitte” means Deloitte LLP and its subsidiaries. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting.

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