Packaged Facts releases research study that finds co-branded airline credit cards contribute USD 379bn

Packaged Facts reports that, according to a research study, airlines remain a co-branded credit card force, contributing USD 379 billion in total 2018 US co-branded card purchase value, the company said.

The study places four airlines among the top 10 US co-branded credit card programs by purchase value. On the surface, little has changed–each of the four airlines (American, Delta, Southwest, and United) among the Top 10 have remained with their respective card issuers and networks for years.

Airlines have become more aggressive in pursuing partner relationships offering them better economics, which has resulted in a spate of high-profile contract negotiations resulting in additional revenue concessions granted to the airlines by those partners.

A key trend favoring airlines in this regard is consolidation, which has placed a greater concentration of power in the hands of fewer major airlines. But airline-branded card users also remain coveted for household incomes and card spending rates that place them comfortably within the affluent space, which is a boon to networks and issuers keen to capture card-based income streams and airlines keen to grow their loyalty.

Packaged Facts, a division of MarketResearch.com, publishes market intelligence on a wide range of consumer market topics, including consumer demographics and shopper insights, consumer financial products and services, consumer goods and retailing, and pet products and services. Packaged Facts also offers a full range of custom research services.