Travel: the loyalty currency of the future?
Travel-as-a-service is quietly transforming how financial institutions, loyalty providers, and brands engage their most valuable customers.
According to McKinsey & Company’s State of the Consumer 2024, consumer brands who offer premium products in relevant categories can help improve brand loyalty, with experiential travel being called out as a category where “splurge activity” is common even across middle-income and aging consumers. So, It’s not just Gen Z and millennials who are prioritising experiences over products, and it speaks to a strategic shift in how value is perceived.
At the same time, we’re seeing loyalty programs under increasing pressure. Traditional earn-and-burn mechanics are losing relevance in an era where consumers want Immediacy, flexibility and meaning, particularly when it comes to redemption of rewards, and that's where embedded travel comes into it's own.
By integrating travel and experiences directly into retail ecosystems, banking apps, fintech, and loyalty, brands are unlocking:
Increased engagement and app dwell time
Higher spend per customer through aspirational reward journeys that deliver true value
Deeper emotional connection through memorable moments, not just points
Embedded travel isn't a future trend, it's already happening. Why?
Because travel activates something most loyalty programmes can’t: emotion
Adding travel as a service to your existing loyalty program give your brand:
A high perceived value product without significant discounting
Natural segmentation opportunities with the ability to curate experiences and products, and truly personalise the experience
A path to aspirational engagement that deepens over time
Commercial opportunity driving revenue and improved profitability of the program
The takeaway: Loyalty is no longer about transactions, it's about transformation, and nothing transforms like travel.
If you're a brand or financial institution looking to future-proof your loyalty strategy, start with one question:
Are you helping your customers unlock experience or just collect points?
Let’s talk if you’re exploring embedded travel models or want to understand how this could fit into your loyalty or digital engagement roadmap.