| Article ID: | iaor201388 |
| Volume: | 12 |
| Issue: | 1 |
| Start Page Number: | 8 |
| End Page Number: | 15 |
| Publication Date: | Jan 2013 |
| Journal: | Journal of Revenue and Pricing Management |
| Authors: | Basumallick Debraj, Ozdaryal Burak, Madamba-Brown Cristina |
| Keywords: | behaviour |
The first step at evaluating the economic cost and benefits of a frequent flyer program lies in understanding the customer's perception of the value of a mile. This study outlines a methodology taken to estimate perceived value of a mile while using them for future air travel. This estimate can be further used to drive strategy on the attributes of new redemption products and their impact on customer behavior.