theglobeandmail.com
Aeroplan Overhauls Rewards Program, Shifting to Dollar-Based Earning
Aeroplan is overhauling its rewards program, starting January 1, 2026, shifting from mileage-based to dollar-based earning of points and status qualification using Status Qualifying Credits (SQC) earned through flights, partners, and credit cards, impacting frequent and casual flyers differently.
- What are the key drivers behind Aeroplan's decision to revamp its rewards program?
- The changes prioritize revenue generation by incentivizing increased spending. Elite members, particularly business travelers, will benefit from higher point and SQC accrual, while casual flyers may see less change. The new system offers greater flexibility in reward choices, allowing members to select perks aligned with their travel habits.
- How will Aeroplan's new point and status qualification system impact both frequent and casual flyers?
- Aeroplan is revamping its rewards program, shifting from mileage-based to dollar-based earning starting January 1, 2026. Members will earn one Aeroplan point per dollar spent on Air Canada base fares, with elite members earning two to six times more points based on their status. Status qualification will also change, using Status Qualifying Credits (SQC) earned through various avenues, including flights, partners, and credit cards.
- What are the potential long-term implications of Aeroplan's new system for the airline's revenue and customer loyalty?
- This shift signifies a broader trend in loyalty programs to reward high-spending customers. The increased emphasis on SQC, earned not only through air travel but also various partners, broadens Aeroplan's revenue streams and member engagement. Future program iterations might further refine the SQC system or introduce new partnerships to enhance member value.
Cognitive Concepts
Framing Bias
The article frames the changes positively, emphasizing the increased earning potential for high-status members and the flexibility of the new rewards system. The headline and introduction highlight the impact on all members but the examples provided overwhelmingly favor those with high spending habits and status levels. The article uses language such as "boosting revenue" which reveals the company's motivation.
Language Bias
The article uses language that subtly favors high-spending members, such as describing them as "benefiting the most" and stating that "extra perks could be worth it." Terms like "cash grab" are used but framed within the context of how loyalty programs generally operate. Neutral alternatives for some of the language include more balanced descriptions of the changes and their effects on various member types.
Bias by Omission
The analysis focuses heavily on the changes and benefits for frequent flyers and high-spending members, potentially overlooking the impact on casual travelers who may not prioritize status or find the new system less advantageous. There is no detailed discussion on how the changes affect those who primarily use partner programs to earn points, only a brief mention that partner and credit card SQC earning is capped.
False Dichotomy
The article presents a false dichotomy by framing the changes as either beneficial for high-spending frequent flyers or inconsequential for casual travelers. It overlooks the potential for negative impacts on mid-tier members who might find the new requirements more challenging to meet and the nuances of how various user groups will be affected.
Sustainable Development Goals
The changes to Aeroplan may disproportionately benefit high-spending frequent flyers, potentially exacerbating existing inequalities in access to travel and rewards. While the program aims for a fairer system, the emphasis on spending to achieve higher status could disadvantage those with lower disposable income.