Performance Evaluation of Biman Loyalty Club as Frequent Flyer Program

Frequent Flyer Program (FFP) is the first loyalty program which was applied in most airline companies to build and keep strong relationship with customers. This study investigates the performance of a FFP of Biman Bangladesh Airlines, named Biman Loyalty Club (BLC) and uses primary data purposively collected from 62 respondents. Among the BLC members, male members are more active than the female members, most of them are middle aged, well-educated and Bangladeshi citizen (by birth). Pvt. limited company job holders are more frequent traveler than other occupation holder and travel for business purpose. Flight related benefit is main reason for joining BLC. Since members having membership with other airlines FFP, the BLC may face threat of competition from two frequent flyer programs: Star Alliance and British Airways Executive Club. Finally, 80.6% of the FFP members are motivated by this customer retention activity which has very positive impact for Biman Bangladesh Airlines Ltd. This study can be further extended for large sample size using various statistical methods.