Summary
- Vietjet’s SkyJoy loyalty program is unique in the budget airline industry, leveraging its parent company and partnering with HD Bank to tap into a large customer base.
- SkyJoy has already attracted 9 million members since its launch in December 2022 and aims to expand to over 300 partners, making SkyPoints the go-to currency in Vietnam and beyond.
- The program offers various types of award tickets and redemption options, including Fixed Point tickets, Final Deal tickets, and Market Fare tickets, providing opportunities for members to save on flights throughout the year.
It’s rare to see budget airlines have a loyalty program, they are usually reserved for pricey full-service carriers. However, Vietnam’s fast-expanding Vietjet is bucking that trend, launching its SkyJoy program in May. Let’s Talk Loyalty’s Paula Thomas sat down with Sereen Teoh, former CEO of SkyJoy, to discuss the unique aspects of the program and how it plans to thrive.
Leveraging group assets
While it would be hard to turn a profit with just Vietjet backing a loyalty program, the scheme actually taps into its parent Sovico Group to add more partners. Currently, Vietnam’s HD Bank is the partner in SkyJoy, meaning you can earn from banking and flying and redeem for either product as well. Teoh estimates this opens the doors to 20 million unique customers, 12mn coming from Vietjet directly.
SkyJoy is wasting no time in tapping into this member base either, as of 31st July, the program has already brought in 9 million members, an impressive feat since December 2022. 6.4 million came from Vietjet, while 3.5 million came from banking, with another 100,000 from other sources. The program is targeting a massive expansion to over 300 partners, hoping to make SkyPoints the go-to currency for all consumers in the country and beyond.
Photo: Vietjet
The program is also pushing members to spend points frequently, offering several types of award tickets to keep dropping prices. The strong online infrastructure, all established in less than a year, is a huge step for SkyJoy. Notably, it’s not only the airline at the center of the program. HD Bank offers nine different points-earning products, including co-brand cards, insurance, loans, car financing, and much more. This overlap makes it a lot more effective for both companies in terms of adding new customers.
Redeem for flights
SkyJoy closely resembles a full-service loyalty program rather than one that simply offers discounts on flights. There are four tiers, Red, Silver, Gold, and Diamond, that each earn 2/8/10/12 SkyPoints for every VNĐ 10,000 ($0.43) spent with the carrier. These miles can come in handy at any time as well, with three notable redemption options.
The first is the typical Fixed Point tickets, with a limited inventory on all 262 routes (including long-haul services) operated by Vietjet, offering up to 70% in savings. The second, and most exciting, is Final Deal tickets, which offer a 90% discount on unsold tickets for select routes, effectively allowing members to fly for a relatively nominal amount (by the airline’s standards). However, both of these are harder to come by since they aren’t the most profitable for the program.
Photo: VietJet
However, Market Fare tickets are available year-round and are effectively dynamic pricing based on the current price and allow for Cash+Points as well. These are meant to cut down on ticket prices during peak travel periods and will see most members use their points here. This is an intricate system for a new program but one that will be very useful as mileage balances grow.
Learn much more about the program, its member base, and what’s to come on the Let’s Talk Loyalty podcast below!
What do you think about Vietjet’s new SkyJoy program? Let us know in the comments.