According to United Airlines CEO Scott Kirby, the Chicago-based airline has big goals for its MileagePlus loyalty program in the years ahead: “We believe that winning brand loyal customers sets up … the potential to double the [earnings] from our loyalty program in the years to come.”
This comment came during United's most recent quarterly earnings call – and while Kirby didn't elaborate on how United plans to achieve this goal, you'll find a new(ish), not-so-subtle hint displayed on United's website.
When searching for MileagePlus award flights, travelers will see special “Cardmembers pay” banners on some (but not all) flights advertising a lower price for United co-branded cardholders. In some cases, the savings can be quite substantial like this 50,000-mile discount on a first class award from Newark (EWR) to San Francisco (SFO).
Critically, this new banner appears if you're searching for award fares without a United credit card – a smart way to drive interest in the full portfolio of United cards.
This example – where the “Cardmembers pay” price was almost a third of the cost of the normal price, isn't the norm, United says. According to United, the “Cardmembers pay” benefit offered an average of 32% savings off the original cost in 2024.
Cardholder discounts are nothing new. United has offered increased “saver” awards to cardmembers for years. Meanwhile, Delta offers its cardholders a 15% discount on Delta SkyMiles rates on Delta-operated flights.
But United's system is much different – and in some cases much better. That's because while Delta offers a blanket discount on all fares, United appears to be offering totally different fare inventory altogether.
So while United doesn't offer a blanket percentage discount like Delta – it can offer massive savings like this.
While you can save more than 50% on award flights with a system like this, the savings aren't all spectacular. In some economy flight searches, the savings were minimal. They have to get back to that 32% average somehow …
In this case, you're only saving 1,800 miles by being a cardholder – which is not nothing – but it isn't the close to 70% discount we found on some other fares.
Why is United Doing This?
During its third quarter earnings call Thursday, United said it's MileagePlus loyalty revenue was up 9% from 2024, which is a solid jump. But CEO Scott Kirby told investors on the call that he wants the loyalty program to double by the end of the decade.
“We’re just beginning to realize the full potential of the loyalty program,” he said.
To realize that full potential – a program that is twice the size it is now by 2030 – Kirby and his team needs to start showcasing the power of United's co-branded credit cards. Showing travelers what their missing on the booking page is a smart way to do that.
Loyalty programs are increasingly the engine that drives airline profits – and without their lucrative co-branded card agreements, most airlines wouldn't be profitable at all. As Kirby put it, the loyalty program makes the business recession proof.
It's the same strategy at Delta, which announced a 12% year-over-year increase in Delta SkyMiles loyalty earnings from 2024. In their earnings call, Delta said it could earn $10 billion from its credit card partner American Express in the long term and dropped the staggering stat that nearly one-third of active SkyMiles members hold a Delta co-branded card. That's a big and surprising number – something United is clearly striving for as well.
Ultimately, it's hard to make money flying planes. But loyalty programs are much more lucrative for the airlines. That's why the country's two foremost airlines – Delta and United – are investing heavily in them.
Bottom Line
United wants to double its loyalty program revenue by the end of the decade, and one crafty new marketing strategy could help it do that – and save cardholders a boatload of miles on their next flight in the process.
On United flights, you can now see the miles price a credit cardholder would pay underneath the regular price – a smart way to drive interest in United's credit cards in what has become a loyalty arms race in the U.S. travel market.