#233: Etihad Guest - Powerful Propositions Building Emotional Loyalty

PAULA: Welcome to Let’s Talk Loyalty, an industry podcast for loyalty marketing professionals.

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PAULA: Hello and welcome to today’s episode of Let’s Talk Loyalty, where I’m delighted to be joined once again by Kim Hardaker, Managing Director of the Etihad Guest Programme and the Vice President of Loyalty and Partnerships at Etihad Airways.

PAULA: What I love about Kim’s work is her unwavering focus on creating meaningful experiences.

PAULA: And in today’s conversation, you’ll hear all about the latest campaigns and initiatives that Etihad Guest are most proud of.

PAULA: Kim has a background in brand, marketing and advertising on the agency side in Sydney, as well as having led the development of world-leading digital experiences for Qantas Loyalty.

PAULA: Now based in Abu Dhabi, Kim leads Etihad Airways travel and lifestyle loyalty programme, Etihad Guest, where customers are still at the heart of everything she does.

PAULA: So she continues to focus on delighting their members, while also ensuring commercial value to the business.

PAULA: Etihad Guest has been awarded the best frequent flyer programme in the Middle East and North Africa, as well as multiple industry awards in 2021 for their innovative mobile app, including the prestigious Loyalty and Awards for the best use of technology.

PAULA: She has recently received her Certificate in Behavioural Economics from the University of Toronto, and as well as her leadership of Etihad Guest, Kim also acts as an advisor for some of the Middle East’s largest retailers and payment providers.

PAULA: So, Kim Hardaker, welcome back to Let’s Talk Loyalty.

KIM: Thank you, Paula.

PAULA: Nice to see you again.

PAULA: Nice to see you too, Kim.

PAULA: The last time we saw each other was back in Ireland.

PAULA: It was.

PAULA: Well, you say back in Ireland.

PAULA: I say very first time in Ireland, and wow, yeah, what an incredible experience.

PAULA: And oh, so green.

PAULA: Oh, so green, my goodness.

PAULA: And you spoke beautifully, so I got a quick update in terms of what we’re gonna talk about today for our global audience.

PAULA: But tell me, I mean, the whole conference was fantastic.

PAULA: Did you enjoy the country as well by the sound of it?

KIM: Absolutely.

KIM: The conference was really quite something.

KIM: And I think for all of us post-COVID, so nice to be together and share what’s been going on.

KIM: That’s a lot has happened for a lot of different brands in the last two years.

KIM: And although I didn’t get to see too much of Ireland, I definitely will be going back.

KIM: That beautiful Kilkear Castle, if I pronounce that correctly, really was something quite magical.

KIM: And yeah, really enjoyed it.

KIM: Beautiful Irish hospitality as well.

PAULA: There you go.

PAULA: And I will say as well, I have really been impressed over the years, Kim, with how Etihad as an airline has supported Ireland.

PAULA: So lots of wonderful sponsorships and just as a destination for you guys, you’ve really done it very well.

PAULA: So yeah, just a really nice, really nice to have you in the country actually, just to celebrate that.

KIM: Thank you, I’m happy to hear that.

PAULA: Great, great.

PAULA: So let’s get into our conversation for today, Kim.

PAULA: As you know, my new opening question is trying to understand what is everybody’s favorite loyalty programme, either professionally, obviously you can’t say your own, or just personally one that you actually get to use on a regular basis.

PAULA: So please do tell us, what is your favorite loyalty programme?

KIM: I do love this question because I feel like my answer is very controversial for someone that works in loyalty, to not actually name a traditional loyalty programme.

KIM: So the brand I am most loyal, which I would say, the quintessential components of loyalty for me is Spotify.

PAULA: Why do I say.

KIM: Because as a music lover, Spotify uses data of things that I love, things that I interact with, and things that I engage with using the app or the web, and serves me more of what I really enjoy.

KIM: It also brings me surprise and delight of things that maybe I didn’t know about that I might actually really enjoy.

KIM: And for a paid service, I always think, if it were really a more expensive paid service, would I pay more?

KIM: What is the true test of my loyalty?

KIM: And the answer is absolutely.

KIM: I think from my perspective, it’s relatively affordable for the value I get back.

KIM: Now, non-traditional obviously in regards to traditional benefits, but I think in regards to something really valuable to me that I think tapped into an experience that wasn’t offered in the market prior to its entry is something.

KIM: So it sits on the top, non-traditional loyalty, but something that drives a lot of loyalty from me and that feeling of recognition and reward.

PAULA: Yes.

PAULA: Well, I love that you use a controversial one, Kim, because life would be boring if we all just followed the rules all the time.

PAULA: So I like that.

PAULA: I originally would have probably resisted Spotify perhaps.

PAULA: Maybe I’m just not as much of a music lover as you.

PAULA: But what I would say, though, Kim, is I’m very pleased that they’re supporting the world of podcasting.

PAULA: So I don’t know if you listen to podcasts as well on Spotify’s music, but they’ve done an awful lot to build up, I suppose, other forms of entertainment, so audio as well as that whole music piece.

PAULA: So, yeah, I think it’s a wonderful choice.

KIM: Thank you.

KIM: Thank you.

KIM: I think, yeah, and absolutely I do listen to podcasts and they’ve had a few really quite big headlines on things like that recently.

KIM: But in my past working in advertising agencies, we actually had a couple of engagements or presentations from them in the early days.

KIM: And equally, their data capabilities and what they do with that data, you know, from a traditional loyalty sense or CRM sense is really quite impressive.

KIM: There’s lots of headlines in the news about, you know, those capabilities.

KIM: But I think adding to your original question, it does, yeah, ticks quite a few boxes.

PAULA: Yeah.

PAULA: And I suppose when I often think about my own definition of loyalty as an industry, as distinct from me personally, it is about driving behavior change.

PAULA: Like, that’s what I love about what we do.

PAULA: The fact that you can actually go, here’s something that people would love.

PAULA: And let me see if I can tempt them or tease them or reward them into using that.

PAULA: So the fact that they actually get you perhaps to listen to new music that you wouldn’t have listened to or discovered otherwise is absolutely fantastic.

PAULA: Yeah.

PAULA: Superb.

PAULA: Yeah.

PAULA: When I think about the old days, I guess it would have been your friend, you know, or, you know, we would just be talking about music amongst ourselves and kind of recommending.

PAULA: Yes.

PAULA: I was afraid to show my age.

PAULA: There you go.

PAULA: My God.

PAULA: And if somebody really fancied you, they’d make you a mixtape.

PAULA: It was a real sign that they were serious.

PAULA: Oh, dear.

PAULA: So much in common.

PAULA: My goodness, Kim.

PAULA: So listen, back to Etihad Guest.

PAULA: It’s been actually two years, would you believe, since we got together on this show, Kim?

KIM: I do not believe it.

KIM: No, it feels incredibly long.

KIM: But yet, even not that far.

KIM: Yes, I feel like many of us feel that way at the moment.

PAULA: It is a bit bonkers, actually.

PAULA: But I do remember we had a lot of conversations because I suppose it was such a disruptive time.

PAULA: And thank God, I think we’re all coming out into a relative sense of normality.

PAULA: Certainly in Ireland, I’m sure you experienced that as well.

PAULA: So I know you guys have been extremely busy with Etihad Guest over that couple of years.

PAULA: So with a few of your, I suppose, high profile campaigns and propositions that we’re going to talk to our listeners about today.

PAULA: So first of all, I was going to ask you about the Australia campaign, Kim, because this was one that I know was a huge undertaking just in terms of logistics and I suppose branding and marketing the whole destination of Abu Dhabi and really inspiring people to start traveling again.

PAULA: So would you tell us all about this wonderful Australia campaign that you ran for Etihad Guest Members?

KIM: Sure, I would love to.

KIM: So for those that may have listened to our podcast two years ago now, as you say, they may recall thoughtfulness being at the heart of the strategy for our programme.

KIM: So throughout COVID, it became an increasingly important pillar in our strategy as traditional loyalty, in particular from a travel and lifestyle programme like ours, became increasingly difficult for us to be able to show and engage our members at such a tumultuous time and a non-traditional time or non-traditional experiences and behaviours that we were all a part of, whether it’s personally or professionally.

KIM: So with thoughtfulness at the heart, and obviously we had thankfully passed through the many tier initiatives that we were doing, the extensions, the promotions to keep everybody’s status on track, and a variety of other things that think were definitely what many programmes were doing at the time, was how we looked to engage and recognise how large communities of our members around the world have been impacted or are seeing the return to travel.

KIM: And I think Australia was very high in the headlines throughout COVID for being one of the most restrictive markets in regards to travel, both outbound and inbound.

KIM: And Australia is actually one of our top five markets, and some of the listeners may be familiar, we have a very strong relationship with Virgin Australia and Velocity Frequent Flyer, which we’ve had for quite some time.

KIM: So together, we share a really engaged community for domestic and international travel.

KIM: So it was a brief, we discussed with the team to say, what’s something that we could do that would be really different that would show our thoughtfulness, but also really celebrate the markets reopening?

KIM: As many know, Aussies do love to travel.

PAULA: Totally.

KIM: They tend to be seen everywhere around the world.

PAULA: Yes, it’s incredible, actually.

KIM: That is true, actually, I would say.

PAULA: That is true.

KIM: And so we workshopped a few ideas, and the team came up with an incredibly bold idea to start with, which at first we didn’t actually know would get approved, which was to charter an aircraft full of just Etihad Guest members and bring them to Abu Dhabi.

KIM: I always giggle at this a little bit and encourage people to think about, if you imagine after a pandemic, working for an airline, and obviously times were tough walking into a boardroom and saying, can we charter an aircraft?

PAULA: Exactly.

PAULA: The whole thing.

KIM: Got this great idea.

KIM: But we have an incredibly supportive and open-minded and creative thinking executive committee and CEO.

KIM: And we had done the thinking through and the hard work to say, how do we ensure that this is commercially sensible while also delivering on lots of value metrics, which may not be commercially driven, because at the end of the day, as a loyalty programme, metrics are many.

KIM: And this initiative did really fire on a few different cylinders.

KIM: So once we got that approval, we launched what is an extension of a campaign we did in 2019 called Your Special Guest to be our special guests.

KIM: And as part of our special guest, which is dedicated to our Australian members, we encouraged our audience in Australia to tell us in 25 words or less why they would like to visit us in Abu Dhabi and jump on this world first or very first Etihad Guest flight.

KIM: We were absolutely bowled over by the number of entries of members new and past telling us some incredible stories of why traveling to Abu Dhabi would be so meaningful for them.

KIM: I think to add as well, the traveling to Abu Dhabi was not just the flight, but we also hosted these members for four nights and five days, gave them some wonderful experiences around Abu Dhabi, from visiting the desert to visiting some of the cultural and religiously important areas of Abu Dhabi, and obviously plenty of free time to enjoy the sunshine.

KIM: For any Aussie listeners, it has been raining in Australia for a very long time as well, so I think some sunshine and some blue skies was very well appreciated.

KIM: And so in 25 words or less, and the team, we collectively read those entries internally as well, and chose 100 members and their plus ones to join us on this trip.

KIM: So it was, as you mentioned at the beginning and without going into the detail, logistically, a wonderful learning experience.

PAULA: Yes, I can imagine.

KIM: But wow, what an amazing experience to be a part of.

KIM: So not only did we host the guests on the flight and also in Abu Dhabi, but we did a celebration at Abu Dhabi Airport, sorry, at Sydney Airport.

KIM: So at the gate, we had some drinks and some canapes.

KIM: We were able to, for the crew and the captains, to be able to be part of the experience.

KIM: It also was coinciding with Etihad’s 15-year anniversary of flying to Australia.

KIM: So there was some great content that we’d had from some events.

KIM: We’d been running there as well.

KIM: So on board the aircraft, we had desserts, we had a cake, we had a special menu, some special on-board announcements to welcome everybody on board the flight.

KIM: So that was our special guest.

KIM: And I think throughout that process, we also got these wonderful opportunities to speak with members and for the members to meet other members as well and bring the community together in a way that was also really important.

KIM: I recall there’s a few people actually that we’re still in contact with, that we connected with throughout this experience as well.

KIM: That from arriving in Abu Dhabi or arriving in Sydney Airport, independently didn’t know each other, to seeing them on the activities around Abu Dhabi that had made lifelong friends.

KIM: So it was really quite powerful to see that excitement towards travel, that positivity, being able to create an experience that brings people together.

KIM: And then the icing on top really is not only did they come to Abu Dhabi, we had an incredible number of people travel onwards.

KIM: So obviously it was just a nice stopping off point.

KIM: We had people meeting family around the world, whether in the UK or in Europe.

KIM: And we also coordinated to secret meetings for family here in Abu Dhabi.

KIM: So we had one lovely family that had a daughter that was at university here in Abu Dhabi.

KIM: So we organized a wonderful moment when they arrived in Abu Dhabi, that she was there waiting for them and also another family.

KIM: So those families who hadn’t seen each other for two and potentially two plus years.

KIM: So to be able to reunite families, allow them to travel, experience the beauty and the wonders of Abu Dhabi, and enjoy that thrill of flying and traveling once again.

PAULA: Yeah.

PAULA: You know, you always make me want to cry with your campaigns, Kim.

PAULA: I could just imagine.

KIM: As an Aussie as well, I think we could easily identify with that as well.

KIM: I had friends and family and equally myself.

KIM: There was a long time I couldn’t hug my parents or visit my friends.

KIM: And that was, I think, how many Australians, whether inside the country or out, it was an emotional time.

KIM: So, yeah, it was really, really great to be able to be a part of that as well as a fellow Australian.

PAULA: Totally, totally.

PAULA: Well, I can only imagine, as you’ve said already, Kim, you know, the joy, the excitement and the challenge.

PAULA: I can imagine if I was trying to write 25 words to win something like that.

PAULA: My God, the amount of thinking that would have to go into making it like something that would absolutely be a winner.

PAULA: So I would say that even reading all of those entries must have been a joy to hear all of those kind of wonderful stories.

PAULA: But just you mentioned early on, Kim, in that whole piece around, you know, your C-suite is clearly incredibly supportive.

PAULA: And you have said that all along.

PAULA: So, you know, there’s clearly a real vision there with that, you know, idea of thoughtfulness.

PAULA: And I think I’ve said it to you before.

PAULA: People do feel that, like, we all know loyalty programs can feel so transactional, and we all focus on trying to build the emotional side.

PAULA: But the fact that that’s the pure intention of something like this is really something that comes through.

PAULA: But I’d love to just ask what kind of commercial justification were you using?

PAULA: Was it building brand?

PAULA: Was it PR value?

PAULA: Just I know you won’t be able to tell us the metrics, but just what kind of business case did you have to put together to make that something that they were excited about for you?

KIM: Sure, yeah, I can talk to some of the high level metrics.

KIM: So definitely in regards to engagement.

KIM: So that’s a metric.

KIM: And I think we actually may have talked about that, Paula, last time I was on.

KIM: We have a proprietary score called our customer engagement score.

PAULA: Yes, yes, yes, you did.

PAULA: Yeah.

KIM: So that score not only looks at active members in the most traditional KPI of a loyalty program, but also stitches together other commercially led KPIs, such as Redemption or Accruals and a variety of other touch points.

KIM: So we can use that score very flexibly, actually, not just to look at engagement, but we also have a financial value attached to that as well.

KIM: So that’s a quick win for us.

KIM: Obviously, when it comes to looking at onwards travel, so naturally, we saw people, whether it was redeeming their miles or flying commercially for their onwards travel around the world.

KIM: So that was definitely a contribution.

KIM: But really, I think, sorry, and the PR value, which you also mentioned as well, but really starting at the top.

KIM: And maybe going back to your previous point about that thoughtfulness, is it’s so much the core of our DNA that we understand the value, even though from a dollar value, may not always have an equivalent in a business case, the power of the activities and the authenticity really does make a difference for us.

KIM: And I think there is also a component of trust to that, because it has been something that we have focused on over the last three years since we relaunched in 2019.

KIM: And with the support of the Executive Committee and being able to demonstrate the power of thoughtfulness across a variety of different activities, is seeing also that long-term impact.

KIM: And so I also think it’s an interesting point, right, of how business cases will evolve over time, as loyalty can be very transactional, and in some situations will always be by its nature.

KIM: But how that different kind of loyalty that we’re all experiencing, or some of us are delivering or designing, as you and I speak, will need a different type of business case.

KIM: Because I think the traditional, the loyalty programs are not as traditional as they used to be, and therefore the way we address or calculate value will need to come along with that.

KIM: So I will be interested to see that.

KIM: We pushed ourselves at the beginning because we were taking a leap of faith, especially when we had relaunched the program.

KIM: And now over time, given our focus and that feedback and really the importance we place on customer feedback and some of our softer metrics is really helping us establish a new way of reporting.

PAULA: Yeah, yeah, yeah.

PAULA: I was literally just thinking, and maybe you have this figured out, but certainly in my days we didn’t.

PAULA: And it was, you know, how do you quantify the impact of these initiatives, even on the headline brand?

PAULA: So obviously Etihad Airways in your case, you know, so it’s one thing to drive engagement within Etihad Guest, which is fantastic, but the halo effect that you drive for the airline itself, I think is something that must start to appear in the P&L.

PAULA: And maybe that is something that you’ve cracked already, but it’s definitely something, I think, for people listening to be thinking about more and more.

KIM: Agree.

PAULA: Yeah, fantastic.

PAULA: And actually the other thing I was thinking about as well, I had Fred Reichelt on the show back in December, Kim, who’s the guy now, most people wouldn’t probably know his name, but he’s the guy who invented Net Promoter Score, that whole framework.

PAULA: I mean, the man is an absolute god.

PAULA: He’s a fellow of Bain & Company, so wonderful consulting firm.

PAULA: But all of these kinds of things that you’re talking about, I mean, I wasn’t ever expecting to hear the word love coming through from that kind of business discussion, but it’s coming through in what you’re saying, it’s coming through in what he’s saying.

PAULA: So actually genuinely loving your customers and your members is a good business strategy.

PAULA: So I’m just super happy that more and more people are copying on to that.

KIM: It’s funny, isn’t it?

KIM: Because I think historically the idea of even that word being on a document or being used in a corporate sense, it would be non-traditional, right, or unexpected.

KIM: But I think it really boils down to some of the core values, the core human values that are coming through and I would say more present since COVID because it did force a lot of things to go back to basics.

KIM: And Fred may have been using that terminology for many years before, but I think that’s a really interesting space because we all talk about simplicity and that we need to simplify our engagement or simplify the way people are rewarded.

KIM: And those core values by nature are simple.

KIM: So I really like that example.

PAULA: Yes, yeah, no, absolutely.

PAULA: So you’re absolutely right.

PAULA: Actually, simplification is another one where, you know, anytime I do see a campaign that I actually understand and that I also like, like it’s almost a feeling of relief, you know, that you can see something that is hugely impactful without having to jump through hoops, you know, and try and figure out how do I get there or whatever.

PAULA: So again, I can hear like with your 25 words and, you know, hosting, you know, what was the terminology you used, Kim?

PAULA: Be our guest, was it, for your…

KIM: Our special guest.

PAULA: Our special guest, lovely.

PAULA: Yeah, so that kind of concept, I can imagine the excitement now in Australia.

PAULA: So I’m a little bit envious that Ireland didn’t get to benefit or, you know, other markets.

PAULA: But then I guess we didn’t suffer with the borders closed, like you guys did.

PAULA: So yes, yeah, definitely the one to do it.

PAULA: So well done.

PAULA: Absolutely brilliant story, Kim.

PAULA: What was it going to ask you about next?

PAULA: Two other things.

PAULA: I think the next one was around a really important campaign you have, I think, at the moment.

PAULA: I think it’s your most high-profile one, Kim.

PAULA: And I know it’s called Conscious Choices and seems to be doing a wonderful job, very comprehensive proposition all around the whole importance of sustainability and what Etihad Guest is doing to support the airline, I guess, with this critical, I suppose, concept for all of us.

PAULA: Particularly, I suppose, again, coming out of COVID, I think we’re back to the reality of we do have other big problems in the world that we need to focus our attention and energy on.

PAULA: So will you tell the listeners all about the Conscious Choices Proposition?

KIM: Sure, I would love to.

KIM: So for Etihad, sustainability is one of our core priorities and a strategic objective that has been a lot of part of the focus and part of the discussions that we have been leading.

KIM: I would say comfortably, we are a front runner in many of the sustainability activities with a clear pledge for the reduction in our carbon emissions and for our net zero to be by 2050.

KIM: There’s been some more recent releases as to we are fast-tracked.

KIM: We are ahead of that commitment through a variety of different initiatives and we’ll continue to focus on how we can do more and also rally together the industry as we all very much have a role to play and how we can make travel more sustainable.

KIM: So leaping off that point is conscious choices, which is Etihad Guest’s contribution to our sustainability strategy and how we could engage our community of members around the world to be able to empower them to make more conscious choices, whether that’s while they’re flying or in their every day.

KIM: So for us, it was, I mean, use the word campaign for us.

KIM: The word we’re using is chapter.

KIM: So it’s not a new part.

KIM: Sorry, it’s not a new programme that has to be joined per se.

KIM: It’s a complementary set of sustainability initiatives that we have launched as part of the programme.

KIM: So if we take a step back as to the strategy that I spoke to, so thoughtfulness being the pillar, and this is really for us the thoughtfulness towards our environment and our communities within that are a key focus of our sustainability initiatives.

KIM: So a big part of this process and actually this strategy design is how we can ensure that this is complementing the initiatives that are already in play and also helping to apply a future lens to aviation, but also how our members are engaging with their own sustainability initiatives.

KIM: So excuse me, whether that is reducing their carbon footprint, and there’s a variety of ways that obviously that can be done through to offsetting their carbon footprint.

KIM: So as part of Conscious Choices, our members have 18 different choices that they can be rewarded for.

KIM: And that is whether, as I said, they want to reduce their carbon footprint through choosing to go for a digital-only card, going away from that standard plastic card and their kit, through to carrying less luggage.

KIM: Now, this was a really interesting one, because it was part of this education process of how could I travel more sustainably without having to make major changes or with little behavior change, but it’s an awareness.

KIM: And so as little as five kilos less luggage can have a significant reduction on traveling passengers’ carbon footprint.

KIM: So using pieces like of education like this to help people travel more sustainably, and those conscious choices are rewarded with our status currency, which is tier miles.

KIM: Equally, we have liberated our loyalty currency, our Etihad Guest Miles to also enable members to be able to minimize their carbon footprint through a variety of different options, whether that’s using the miles in our redemption store for more sustainably or ethically sourced products.

KIM: There’s quite a lovely range of products on there for around the world, including some that just launched two days ago.

KIM: Actually, we’ve worked with a local artist to use our leftover or recycled on-board materials, such as leathers and fabrics, to make some really lovely handbags and some other activities.

KIM: So they are now on our reward store.

KIM: And through to carbon offset.

KIM: So we work with our partner out of New Zealand, who’s Carbon Click, where we’ve actually designed a set of carbon offset types.

KIM: Now going to a range of high quality carbon offset projects, which are supplied by Carbon Click.

KIM: And those offsets are designed to be purposeful in regards to it’s a short haul flight.

KIM: It could be a long haul flight.

KIM: It can even go towards driving a small car through to an SUV, through to offsetting your house in regards to the operating electricity, for example, the footprint of operating your home.

KIM: So we’ve made those nice little bite size chunks of carbon offsets that are starting from as little as 203 Etihad Guest Miles, so that people can actually make a positive step forward using our currency.

KIM: And again, it’s whether, not just from offsetting your travel, but if you have a personal goal towards your carbon reduction, that those types of offsets that we’ve designed means that those miles can also go towards your own activities as well.

KIM: So that’s, I hope, an overview of the Conscious Choices that have been launched with.

KIM: And then shortly after we launched Conscious Choices, we announced with one of our newest partners, which is Talibat, who is, for those around the world, one of the UAE’s top food delivery services or actually logistics companies, where we agreed that we would offset all of our members’ deliveries via the Talibat service or partnership using our card-linking programme, Miles on the Go, that all of those deliveries are now offset.

KIM: So there is a lovely badge attached to that as well.

KIM: So all of these Conscious Choices are in Etihad Guest’s profile.

KIM: And they are effectively, yeah, badges that members can earn and, as I said, get rewarded for with their tier miles.

KIM: So we are constantly engaged with our members and our partners and working very closely with our sustainability team to see how we can introduce new Conscious Choices, provide members more choice because Etihad is a brand of choices.

KIM: And we’ve also used our customer advisory board, which I think I mentioned last time we spoke as well.

KIM: We have around in our key markets because sustainability has many different topics or many different, I suppose, progress in different markets as well, which we’re really familiar with.

KIM: So we’ve spoken to our members in different markets to say, how do these Conscious Choices resonate with you?

KIM: Where do you think we could be doing more work on education, for example?

KIM: Where can we be providing more choices and equally?

KIM: How we can provide more rewards for making responsible choices?

KIM: So the TMI miles I mentioned, what’s present now, we’re obviously working through some of the great feedback to be able to give people more recognition and reward.

KIM: And equally, how we encourage more people to participate.

KIM: So I think one of the key parts of our strategy is it’s not about it’s really about encouraging positive change, as opposed to taking anything away from people that are already enjoying the services.

KIM: So as part of that, in parallel with our education and recognizing positive behaviors together, and we see ourselves as part of this community.

KIM: As I said, we all have a responsibility for the environment and how together that we can really make a positive impact and a positive change.

PAULA: Yeah, and it is incredibly powerful, Kim.

PAULA: Thank you for that wonderful explanation.

PAULA: What I really liked, and I was watching your beautiful launch ad actually just before we came on air together.

PAULA: And what struck me about it was the fact that it’s kind of focused on this taking action.

PAULA: Because I do think there’s a it’s, you know, I think in the past, you know, there’s lots of brands that have, you know, put big goals up there in terms of, you know, claiming to be sustainable.

PAULA: And maybe that is something they’re working towards.

PAULA: But to make it something that I can do as an Etihad guest member, which is practical, it’s in my control.

PAULA: And you’re facilitating that with 18 choices.

PAULA: Like, actually, that’s that’s an awful lot of choices for something that is sometimes difficult to measure, difficult to educate people around.

PAULA: And as you said, actually, Kim, it’s a lifelong proposition now, I guess, that people over time will increasingly need more options, but already to have 18 choices to, you know, to feel that connection and make a conscious choice is fantastic.

KIM: Thank you.

KIM: Definitely more work to do in that space.

KIM: And because it’s an evolving landscape, I think, in regards to sustainability, I think for us, you know, we were one of the first, if not the first in market from a loyalty programme point of view.

KIM: I think there are some other great examples of a brand in the same industry doing some great things too.

KIM: And I mean, we are so happy to see it.

KIM: It’s not about only, you know, we don’t, we all need to be doing our bit.

KIM: And, you know, I celebrate every brand and everybody that’s participating in that to make a difference.

KIM: Because it’s the momentum and the sum of the parts and collective mindset towards making that change that is really going to be able to, yeah, really, really see us make a difference.

KIM: So we’re really excited about it.

KIM: It’s been really positive in regards to the number of members that are engaged.

KIM: So we’re close to about 6% of our active members are participating and making conscious choices, which is phenomenal given we launched in January.

KIM: So good progress and the team are continuing to work on not only the conscious choices, but how we make it easier.

KIM: How do we make that more simple for our members to be a part of, find choices that suit them, and also help to, you know, really recognize and hero those that are really committed to making more conscious choices to ensure that they are recognized for the efforts that they’re making.

PAULA: And I would love to see at some point or here in the future, Kim, you know, some of the measurements around what Talibat are able to achieve in partnership with Etihad, you know, because, you know, we’re all so fond of our delivery services from Talibat.

PAULA: So I’m sure they’ll put some fascinating statistics together at some point in terms of, you know, how much offsetting you can do through that partnership with them.

PAULA: So actually delivering something at scale in everyday life, as you said, I think it’s another lovely concept.

KIM: And I think it’s the power of brands coming together.

KIM: You see more and more announcements and commitments come from brands around the world and, you know, industries outside of ours as well.

KIM: And, you know, obviously we talk about us providing choices, but, you know, being able, brands coming together to be able to even, you know, magnify or amplify that is also, I think, an exciting space.

KIM: And I know Talibat also have, you know, a very thorough and focused sustainability vision that they are working towards.

KIM: So we’ll continue to be looking, continuously be looking for opportunities to expand that while also, you know, continuing discussions with other partnerships.

KIM: How can we take that forward and hero other fantastic activities that are happening in this space?

PAULA: Yes, yes.

PAULA: And I’m a big fan of partnerships, Kim.

PAULA: I’ve often said on the show, like, that’s actually how I got into loyalty.

PAULA: And to me, there is so much power when you can find two brands that do have similarly aligned vision and brand values, I guess, as well.

PAULA: So it sounds like that’s an increasing direction you’re going in general as well, is it?

KIM: For us, it always has been.

KIM: We have an incredible portfolio within Etihad Guest across all of the different key categories and some, I think, for us, you know, unexpected or new.

KIM: So Talibat being one of our newest.

KIM: And also with the launch of our card linking Miles on the go, we’ve been able to create new types of partnerships that probably wouldn’t have existed before, given really empowered or enabled by, you know, some great tech that’s coming out in the marketplace.

KIM: So, I mean, I might just jump on to Miles on the go if that works for you.

PAULA: Literally about to ask him because it’s probably my favorite concept that you guys did in the last couple of years.

PAULA: I mean, it was just genius.

PAULA: So, yeah, please do explain.

KIM: Thank you.

KIM: So if I take a step back from the partnerships component, so Miles on the go for us was our baby that was launched in January, sorry, June 2019 as part of the Etihad Guest Mobile app.

KIM: And a long time coming, I think as we were trying to push the boundaries to liberate our currency in more channels and with more partners than we had a now existing offering.

KIM: And, yeah, for those not familiar, it is our version of card linking, but as opposed to the traditional sense of card linking, the card linking is actually done via our mobile app.

KIM: So throughout our mobile app, it’s linking any Visa card.

KIM: Obviously, we prioritize our wonderful range of portfolio, sorry, of our co-brand credit cards.

KIM: But by linking the credit cards into the app, then using those credit cards with any of the partners that are signed as part of Miles on the go, that’s tapping at the POS, that’s also shopping online.

KIM: We have quite a few online partners as well.

KIM: Members receive a push notification from the Etihad Guest app that enables them to either redeem real time for the, for Etihad Guest Miles for that purchase or accrue Miles for that purchase.

KIM: So yeah, a simple load of the cards, a simple tap of the push notification, and we have been able to connect members now with over 900 partners across the UAE.

KIM: Some global partnerships as well, such as Farfetch.

KIM: Many may know as a high-end online fashion retailer.

KIM: Three weeks ago, four weeks ago, just before Ramadan, actually we launched Abu Dhabi Duty Free in Abu Dhabi Airport as well.

KIM: Tell about I mentioned and a nice roadmap still to come.

KIM: But I think for us, those partnerships, why that’s made that possible is the tech is very easy turnaround.

KIM: It has little to no requirements from the partner.

KIM: No heavy lifting.

KIM: The heavy lifting is done on our side or is the way that that’s set up.

KIM: But equally, no heavy lifting on the member side.

KIM: And that for us was the key.

KIM: I made reference to our intention to launch this much, not in the middle of COVID.

KIM: We did the maths.

KIM: That was not the ideal launch timing, but it ended up being the ideal launch timing because, as we touched on the beginning, we were looking for ways for members to be able to continue being recognised and rewarded as part of our loyalty programme.

KIM: And while they may not have been using their currency for flights, they could use that for the everyday.

KIM: We saw economically how spending was changing, so we wanted to be able to give that flexibility for the currency.

KIM: So that simplicity is everything for us, everything for the members and for the partners alike, so that we can see those partnerships into market very quickly, the currency being as seamless as possible.

KIM: And actually, it just made me think we only just at the end of Eid announced our newest campaign, which actually heroes the world of Etihad Guest and the 900-plus partners.

KIM: So we have a wonderful range of partners here.

KIM: We’ve got an amazing support network and the ability for members to be able to earn and burn in hundreds and hundreds of different locations means the programme becomes more rewarding for everyone in our community.

PAULA: Absolutely.

PAULA: And I know, for example, within those 900 partners, Kim, you have the top shopping malls in Abu Dhabi.

PAULA: So really kind of premium destinations that people really love to shop in.

PAULA: So the fact that you can have that experience again, just by having linked the card already in the app, I just, as you said, it was perfect.

PAULA: And I suppose helped you guys, you know, complete the picture of becoming a lifestyle brand, you know, at a time when being in airline was probably the most difficult it’s ever been.

PAULA: So really a lovely, lovely result all around.

KIM: Yeah, we’re very happy.

KIM: Always more work to go.

KIM: The technology landscape is forever changing and not without its challenges, but the challenges we accept.

KIM: It’s really about continuing to make it the best it can be and providing that choice and that recognition for our members.

PAULA: For sure.

PAULA: Brilliant.

PAULA: So listen, the last part I wanted to ask you about, Kim, was I know you have some, I suppose, a new version of the beautiful campaign we talked about together two years ago, which was called Your Special Guest.

PAULA: So you haven’t, I don’t think, released this new version or round two of this just yet, but can you give us any hints as to what to expect with your special guest round two?

KIM: I can give you a hint, but that’s about it, Paula.

PAULA: Go on, I’m dying to know.

KIM: So the very first round of Your Special Guest was right smack bang in the middle of the pandemic.

KIM: So thoughtfulness, what we were asking our members was to nominate someone that had been thoughtful.

KIM: This time around, the second launch of Your Special Guest was people that had been thoughtful not only to those around them, excuse me, but equally to the community or to the environment.

KIM: So not so much of a focus, obviously, just on COVID because thoughtfulness was actually happening everywhere, you know, even before COVID.

KIM: So without giving away too much of our secrets, there is, you know, again, some incredibly thoughtful, kind people, people that are really committed to making a change and equally, you know, a change in the world and how they can influence those around them to, you know, do more and be more.

KIM: And, you know, really, I suppose, stepping forward and showing, you know, what good looks like.

KIM: So more to come in the not too distant future.

KIM: But so, yeah, we’re equally excited about some launching that and sharing more positivity.

PAULA: Wonderful.

PAULA: My goodness.

PAULA: Well, my eyes will be wide open throughout the summer, of course, watching all of your communications.

PAULA: Hopefully, we’ll see that coming to market very soon, Kim.

PAULA: So listen, I have asked all of my questions.

PAULA: I feel fully up to date now and Etihad Guest, Kim.

PAULA: So thank you for explaining it all so beautifully.

PAULA: Was there anything else you wanted to mention before we wrap up today?

KIM: No, I think they were some of the highlights for us right now.

KIM: And yeah, I appreciate the time chatting Paula.

KIM: It’s always a pleasure.

KIM: And yeah, I hope we get to do this in the not too distant future.

PAULA: Absolutely.

PAULA: Wonderful.

PAULA: Well, on that note, Kim Hardaker, Vice President of Loyalty and Partnerships and Managing Director for Etihad Guest, thank you so much from Let’s Talk Loyalty.

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