|
U.S. Airlines Elevate Co-Branded Credit Cards to New Heights, reports Packaged Facts
Tuesday, August 20, 2019
Four U.S. airlines (American, Delta, Southwest, and United) each generate billions of dollars annually in revenue from loyalty programs, much of it from co-branded cards
ROCKVILLE, Md., Aug. 20, 2019 /PRNewswire/ -- The U.S. travel and hospitality industries are driving consumer use of co-branded and affinity credit cards, according to market research firm Packaged Facts.
In the recently released report Co-Branded and Affinity Cards in the U.S., 7th Edition, Packaged Facts estimates that co-branded credit cards generated $990 billion in purchase value last year. Travel and entertainment brands commanded 55% of spending, 70% of which was attributable to airline-branded credit cards. Packaged Facts further estimates that 44% of co-branded/affinity credit card users have a credit card affiliated with a travel and entertainment entity, most prevalently those affiliated with airlines, followed by hotels.
Co-branded credit cards play a very important role for airlines and their card issuers and networks, each of which benefit from credit card engagement and purchasing behavior. The cards play an integral role in frequent flyer loyalty programs, helping to drive flyer loyalty while generating billions of dollars of revenue for the airlines, much of it from partnerships with card issuers. Issuers gain revenue from interchange, card fees, and loan interest while also obtaining detailed information about not only their affluent card users but also about the broader swath of airline partner loyalty program members, which is generally shared with them as part of their partnership agreements. This information opens broad possibilities for credit card acquisitions and bank product and services cross-selling. Networks benefit from billions in card spending that travels through them.
Approximately 26 airline brands have U.S. co-branded credit card programs. All major U.S. airlines offer a co-branded credit card, as do smaller players such as Allegiant and Sun Country, for a total of 12 U.S. carrier card programs. Packaged Facts also counts 14 foreign carriers that offer co-branded cards issued in the U.S., bringing the total number of U.S.-based airline co-branded partners to 26.
"The U.S. airline co-branded credit card market is very well-developed. U.S. carriers lead the world in loyalty program and associated co-branded credit card revenue," says David Sprinkle, research director for Packaged Facts. "American, Delta, Southwest, and United are the four U.S. airlines who each generate billions of dollars annually in revenue from loyalty programs, much of it from co-branded cards."
About the Report
Co-Branded and Affinity Cards in the U.S., 7th Edition (published 07/2019, 168 pages) is available for $4,750 from Packaged Facts.
Media members please contact our Communications Manager Daniel Granderson at dgranderson@packagedfacts.com for a copy of the report summary. To purchase the report please contact Research Specialist Mark Hyer at mhyer@marketresearch.com or visit https://www.packagedfacts.com/updates/Affinity-Reward-Card.
About Packaged Facts
Packaged Facts, a division of MarketResearch.com, publishes market intelligence on a wide range of consumer market topics, including consumer demographics and shopper insights, consumer financial products and services, consumer goods and retailing, and pet products and services. Packaged Facts also offers a full range of custom research services. Reports can be purchased at our company website and are also available through MarketResearch.com.
For more essential insights from Packaged Facts be sure to follow us on Twitter (@packaged_facts), LinkedIn, and YouTube.
Media Contact: dgranderson@marketresearch.com
To Unsubscribe: dgranderson@packagedfacts.com
View original content to download multimedia:http://www.prnewswire.com/news-releases/us-airlines-elevate-co-branded-credit-cards-to-new-heights-reports-packaged-facts-300904454.html
SOURCE Packaged Facts
|
|
|
|
|
|
 |
PayDo Launches Unified Payment Infrastructure Suite for Digital Businesses | Jan 22, 2026
|
|
The New Identity Theft Crisis: AI Scams, Child Victims, and Credit Damage Are All Spiking | Jan 22, 2026
|
|
Fintech Startup BON Credit Secures $3.5 Million In Funding | Jan 22, 2026
|
|
AllSci Launches Hypothesis Publishing: A Seamless Way to Share, Connect, and Advance Scientific Ideas | Jan 22, 2026
|
|
Darwin CX Caps a Banner Year with AI Launch, Sold-Out Events, and Industry Book Launch | Jan 22, 2026
|
|
Gametime Launches "12 Days of Gametime" Holiday Giveaway in Partnership with Barstool Sports | Jan 22, 2026
|
|
Canadian Fintech Tuhk Inc., Founded by Ethoca and NuData Security Veterans, Raises US$6 Million Seed Round Led by FINTOP, with Lloyds Banking Group and Capital One Ventures | Jan 22, 2026
|
|
TSX Venture Exchange Market Data Now Available Across Over 40 Blockchains via Chainlink | Jan 22, 2026
|
|
Nudge Security Unveils Industry's Most Comprehensive AI Security Governance Platform | Jan 22, 2026
|
|
Young Adult Sports Fiction Debut Featured in LibraryBub Selection for January | Jan 22, 2026
|
|
|
|
