Frequent-flier programs create switching costs for the buyer.

Name: Frequent-flier programs create switching costs for the buyer.
Brand: Quizplus
Rating: 4.9 (40 reviews)

Question

Quizplus · Accepted Answer

Frequent-flier programs offer incentives and rewards to customers for using the same airline repeatedly, creating a sense of loyalty and attachment. This loyalty makes it more difficult for customers to switch to a different airline without sacrificing their accumulated benefits, thus raising the switching costs.

Frequent-Flier Programs Create Switching Costs for the Buyer