Lufthansa Looks to Profitable Frequent Flyer Program in Business Revamp
Germany’s Lufthansa plans to reorganize its frequent flyer program Miles & More in a bid to boost growth at the business, joining a trend among airlines, some of which have spun off customer loyalty schemes.
The revamp is part of a wider restructuring of Germany’s largest airline, which aims to boost operating profit to 2.3 billion euros ($3.2 billion) and includes 3,500 job cuts, the expansion of discount unit Germanwings, as well as outsourcing.
The Miles & More reorganization should be completed in the next couple of months, a spokesman for Lufthansa said on Monday, declining to provide details.
German newspaper Frankfurter Allgemeine Zeitung (FAZ) earlier reported the airline was planning to spin off the frequent flyer program, which has more than 20 million customers, as a standalone business.