I think the biggest update for me was how the rewards programs are inseparable in some sense from the airlines. I think your language too of ordinary flight being a loss leader helps to describe it as well; the airlines couldn’t just have the valuable rewards program, because having the underlying less-profitable flights that make it possible!
Thanks for writing this up! I really liked this related podcast episode with Patrick McKenzie: https://open.spotify.com/episode/1QqFw5hlHKRrjRUTVLfKRV?si=ptVmFvXQRKaPwRNTg1Ollg
I think the biggest update for me was how the rewards programs are inseparable in some sense from the airlines. I think your language too of ordinary flight being a loss leader helps to describe it as well; the airlines couldn’t just have the valuable rewards program, because having the underlying less-profitable flights that make it possible!