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State of Airport Loyalty Programs (2023)

Chapter: Glossary

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Page 52
Suggested Citation:"Glossary." National Academies of Sciences, Engineering, and Medicine. 2023. State of Airport Loyalty Programs. Washington, DC: The National Academies Press. doi: 10.17226/27279.
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Page 52

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52 Airport concession A business located in an airport that is engaged in the sale of consumer goods or services to the public under an agreement with an airport, another concessionaire, or the owner or lessee of a terminal (LAWA 2020). Application programming interface (API) A code that enables two software programs to communicate. An API defines how a developer should request services from an operating system (OS) or other application and expose data within different con- texts and across multiple channels (Lutevich and Nolle 2022). Cash back A loyalty/rewards program benefit that refunds the member a small per- centage of the amount spent on each purchase (Segal 2021). Customer data platforms (CDP) A software package that consists of a centralized database that has the ability to ingest, integrate, manage, and deliver customer data to other technology solutions in order to personalize the customer experience (CX) (CDP.com 2022). Customer loyalty program/Rewards program A marketing approach that recognizes and rewards customers who pur- chase or engage with a brand on a recurring basis (Salesforce 2022). Customer relationship management (CRM) A technology for managing all your company’s relationships and inter- actions with customers and potential customers (https://www.salesforce .com/crm/what-is-crm/). Frequent flyer program A customer loyalty program offered by airlines. Lounge (airport) A space in the airport that offers selected passengers more comfortable seating, quieter environments, and often better access to customer ser- vice representatives before boarding. National Plan of Integrated Airport Systems (NPIAS) The National Plan of Integrated Airport Systems (NPIAS) identifies nearly 3,300 public-use airports that are included in the national air- port system, the roles they currently serve, and the amounts and types of airport development eligible for Federal funding under the Airport Improvement Program (AIP) over the next five years (FAA 2018). Points Basic units in a customer loyalty program to track members’ transactions and other activities with the program and its partners. Primary hub An airport that receives at least 0.05% of the annual U.S. commercial enplanements (FAA 2022a). Glossary

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In the early 1980s, airlines created loyalty programs to encourage passenger loyalty. Within the last decade, European airports followed suit, building their own loyalty programs by collaborating with airport vendors, such as restaurants, duty-free shops, and parking facilities, to provide value-added service to travelers. Airports in the United States have slowly started to embrace the trend by creating their own airport loyalty programs or collaborating with third-party loyalty program providers.

ACRP Synthesis 131: State of Airport Loyalty Programs, from TRB's Airport Cooperative Research Program, provides a comprehensive overview of the current status of U.S. airport loyalty programs.

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