If you’re amongst the hundreds of thousands of people who accumulate frequent flyer awards, you may have wondered how these programs came to be. The first documented tracking of customers by airlines occurred in the early 1950’s by United Airlines. It wasn’t until 1972, however, that Western Direct Marketing for United Airlines started a frequent flyer reward program. Unlike the incentives we are used to today, travelers would often receive plaques or other awards to show the airline’s appreciation for their loyal business.

In 1979, the frequent-flyer program really got going when Texas International Airlines started to track mileage as opposed to the number of tickets purchased. In the 80’s, Western Airlines, Delta Airlines, American Airlines, Continental Airlines, Air Canada, and British Airways all joined the party. From there, the incentives for frequent flyer programs exploded. By the start of 2005, 14 trillion frequent-flyer points were accumulated by travelers across the globe. A man by the name of Tom Stuker, who frequently flies from Melbourne, Australia to Los Angeles and back again, has accumulated more than 19 million miles on United Airline flights. He is expected to pass 20 million miles with the airline carrier in the coming year. Travelers like Stuker have made airlines develop different levels of awards and tiers within their loyalty programs.

The biggest evolution in the frequent flyer industry has been the partnerships formed with credit card companies. These partnerships have transformed frequent flyer programs into rewards programs that help people accumulate points in the air and on the ground alike. Each major airline not only has partnerships with certain credit card companies but with a number of affiliated restaurants, department stores and more. There are bonuses available all over the place to help people accumulate points faster than ever. It just takes utilizing a credit card at the designated locations for extra incentives and rewards.

How points can be utilized vary by airline, but we take great pride in offering cash for the miles our customers accumulate – because while some free food or clothing is always appreciated, there’s nothing as truly helpful as cash compensation. We would love to hear more about your history with frequent flyer programs. What’s your favorite and how has it changed over the years?