Several Airlines Sweeten Frequent-Flyer Programs

Frequent flying is about to become more frequent.

To spur travel during the slow winter months, several airlines are offering free tickets to travelers who take a certain number of trips during the next two months.

Continental Airlines became the latest airline to join the ticket giveaway Monday with a program that awards a free ticket to frequent flyers who make two round trips on Continental by April 6. A frequent flyer can earn more trips by taking more flights.

Continental’s program is richer than similar programs announced by rivals United, American, Northwest and Midway airlines. Those airlines require frequent flyers to take three trips before getting a freebie.

The promotion comes at a time when the airlines are suffering from higher fuel costs and slow ticket sales. Several airlines reported sharply lower earnings for the last three months of 1989, and many analysts expect the industry to continue its laggard performance through the first three months of this year.

To cover increased costs, the airlines recently raised one-way fares by 4% and imposed greater increases on fares used most often by business travelers. Analysts said the fare hikes would discourage some travel, but they said the frequent-flyer promotions might counteract that effect somewhat.

Peter Tanous, a columnist for Frequent, a magazine for business travelers, said the promotion is likely to encourage a modest increase in business travel. “People might now be willing to take that marginal trip to get the free ticket,” he said.

Tanous said the airlines will feel the effect of the promotion on revenue later, when frequent flyers use their free tickets during the fall redemption period.

To qualify for the tickets, travelers must join frequent-flyer programs and pay for trips that cost $98 or more. The free tickets can be used between Sept. 4 and Dec. 14, except during Thanksgiving. Northwest is also allowing participants to use free tickets during May.