By Daniel Johnson
Air Transat has announced plans to start a new loyalty program with Desjardins Group and Visa.
The launch, planned for the second half of this year, will offer travellers exclusive benefits and an improved experience, the airline said.
The announcement comes after Transat suspended its BonBon rewards program in August of last year, according to the Association of Canadian Travel Agencies and Travel Advisors.
Barry Choi, who runs the Money We Have personal finance and travel website, said it is not yet clear whether the new loyalty program will be similar to Air Canada’s Aeroplan program, or closer to the previously existing BonBon program that was less consumer-facing and more focused on travel agents.
“I think if they go to the consumer-facing route, that’s where things can really start to get interesting,” he said in an interview.
“Because I would compare it to other airlines, when you think about West Jet, Porter and Air Canada, they all have their own credit cards already, where consumers can earn points on everyday purchases, which then can be redeemed for flights, hotels and car rentals.”
Choi said that having a loyalty program generally “makes sense” and can help the company make use of consumer data.
“It’s kind of funny; you’d think that they would have something like this already. Every single brand I know has a loyalty program for this reason, yet they seem to be behind,” Choi said.
The program is a fundamental pillar of Transat’s business strategy, said Xavier Szwengler, the vice-president for marketing and distribution at Transat, in a news release on Monday.
“It allows us to strengthen ties with our customers while accelerating sustainable value creation for Transat and its investors.”
More details on the program will be released in the coming months, he said.
Dan Iwachiw, vice-president and head of product at Visa Canada, said that the organizations will introduce a “suite of cards designed to bring more travel opportunities, meaningful rewards, and exceptional payment experiences to Canadians.”
Air Transat reported its first full-year profit since 2018 in December.
For its full fiscal year, Transat earned $241.9 million, thanks to a stellar third quarter, compared with a $114-million loss in fiscal 2024.
Air Transat flies mainly to destinations in Mexico, the Caribbean and Europe, and only two destinations in the U.S. As demand for flights to Florida, Las Vegas and other stateside spots has plummeted, the airline sought out destinations farther afield.
Air Transat is owned by parent company Transat A.T. Inc.
