Sign up. Members-only access. Premium perks. These buzzwords have long defined the loyalty landscape, enticing travelers with the promise of exclusivity, rewards, and convenience. But in today’s crowded marketplace, where nearly every brand offers a subscription-based model or tiered membership system, and consumers juggle multiple memberships across airlines, hotels, and travel platforms, are we witnessing loyalty fatigue? The answer is yes.

“Loyalty fatigue is real—but it signals an opportunity, not an end,” says Ali Ozbay, Vice President of Marketing and Communication at All Inclusive Collection. “The era of purely transactional loyalty—points-for-stays, discounts-as-reward—is giving way to a new model built on experiential relevance, emotional connection, and brand alignment with lifestyle.”

According to Ozbay, today’s luxury and premium travelers are increasingly over-subscribed, belonging to multiple programs with overlapping benefits, which dilutes their perceived value. They are digitally empowered, expecting real-time, personalized experiences rather than generic points or rigid tiers. More than anything, they are experience-focused, valuing access, recognition, and curated moments over discounts, and gravitate toward brands that reflect their values.

“When a loyalty program doesn’t evolve,” says Ozbay, “it feels irrelevant or commoditized.”

He says, “Rather than becoming obsolete, loyalty should be reimagined. The most forward-thinking programs are shifting from transactional models to relationship-based approaches.”

Programs that involve complicated point systems, delayed gratification, and numerous restrictions are particularly off-putting, as today’s consumers demand simplicity and immediate value. 

Stéphane Laguette, Chief Commercial Officer at Atmosphere Core, says the brand has intentionally moved away from traditional points-based loyalty models. “We focus on genuine recognition and heartfelt appreciation,” he explains, adding that all guest stays are acknowledged—regardless of whether they return to the same resort or visit a sister property.

“Consumers want more than just points—they’re looking for experiences that resonate emotionally and feel personally rewarding,” says Priyanka Lakhani, Senior Vice President, Commercial EMEA at Collinson International.

According to Lakhani, experiences like airport lounge access through services such as Priority Pass and LoungeKey are no longer seen as extras. “They make people feel recognized and appreciated, which has a lasting impact on how they connect with a brand.”

EVOLVING FROM TRANSACTIONAL BRANDS 

The solution lies not in dismantling current loyalty structures but in building upon them thoughtfully. 

Recent research by Collinson supports this shift in consumer expectations. 80% of customers say they choose brands based on the rewards they offer, while 74% remain loyal for the same reason. When deciding whether to sign up for a bank or payment card, 35% of consumers cite rewards and benefits as influential, and 45% consider them highly influential.

“In a saturated market, it’s clear that benefits aren’t just perks—they’re decision drivers,” Lakhani says. “Travel-related experiences, in particular, continue to lead because they offer emotional value and enhance everyday interactions.”

Lakhani adds that a range of benefits—from lounge access and wellness options to retail offers—can play a key role in customer acquisition, engagement, and retention. “The focus now is on delivering experiences that reflect what customers actually want, not just what brands think they should want.”

Ozbay says, “The key lies in layering personalized, emotionally resonant experiences on top of existing reward mechanics rather than replacing them outright. The All Inclusive Collection, for example, emphasizes ‘All in, all for you’—putting the guest at the center of a tailored journey of freedom, ease, and curated quality. This approach transforms loyalty from points accumulation into a holistic guest relationship built on value and memory-making.”

He suggests that brands can retain traditional point systems while introducing tiered experiences such as private performances, culinary journeys, or wellness retreats. “Experiences create stories, and stories build emotional loyalty. We encourage sharing and advocacy by creating shareable moments like Hyde Festival VIP passes or SO/ Rooftop Mixology Masterclasses.”

Ozbay also notes that traditional loyalty programs treat all members of a tier the same. “Recognize loyalty through thoughtful gestures, like celebrating a repeat guest’s favorite spa treatment or acknowledging their child’s previous Rixy Club activities.”

He says that by embedding emotional recognition, experiential access, and lifestyle relevance, travel brands can reposition loyalty as a relationship economy—one where long-term engagement is driven not by math but by meaning.

According to Laguette, consistency and memory are key: “Our personalized approach to customer relationship management ensures that each guest experience builds on the last, creating a sense of continuity and belonging.”

Rather than discarding current reward structures, the path forward is to enhance them. 

Personalization is key to getting this right. By analyzing guest behavior and preferences, loyalty programs can offer tailored experiences that feel relevant and rewarding. 

BUILDING A 360-VIEW OF THE GUEST 

Experts say that personalization starts with comprehensive data integration. Ozbay says, “Personalization begins with intelligent data collection and integration,” allowing front-line teams to deliver real-time recognition and customized service. 

PERSONALIZING AT SCALE 

Brands must go beyond static loyalty tiers. AI and dynamic segmentation can help predict guest preferences, from spa treatments to retention incentives. Ozbay echoes this approach in the All Inclusive Collection strategy, where AI-powered systems tailor offers and communications “in real-time, enhancing the sense of individualized care without sacrificing efficiency.”

Experts stress the importance of personalization across every touchpoint. From pre-arrival messages to post-stay thank-you emails, communication should feel uniquely tailored. “We integrate personalization across all touchpoints—from pre-arrival communications to on-property concierge services and post-stay engagement,” says Ozbay. 

A  CRAVING FOR AUTHENTICITY 

Today’s travelers are seeking more than luxury—they’re after meaning. “Modern travelers crave experiences that are immersive, story-worthy, and emotionally resonant,” says Ozbay. 

Mass-market experiences no longer satisfy the modern traveler. “Whether it’s a curated vegan food tour or a fitness experience tailored to a guest’s energy level, personalization must extend to programming. Ozbay reinforces this idea with examples from the All Inclusive Collection: “They don’t just want a kids’ club—they want a mini-world where their children are thriving independently.”

Delivering exclusive experiences efficiently requires the right mix of systems, local partnerships, and empowered staff. Ozbay highlights the importance of creating personalized, scalable lifestyle offerings: “It’s about crafting aspirational lifestyles that resonate with people’s values, habits, and dreams.”

Ultimately, loyalty will no longer be about rewards—it will be about resonance, trust, and delivering a brand experience that aligns with the traveler’s identity.