Air India, IHG Hotels & Resorts join forces on loyalty programme

Introduction

Air India and IHG Hotels & Resorts have announced a strategic partnership that links their respective loyalty programmes, creating a seamless way for frequent flyers and hotel guests to earn and redeem points across both brands. The new arrangement allows members of Air India’s Maharaja Club to accumulate points when staying at any IHG property worldwide, while IHG One Rewards members can convert their points into Maharaja Points for use on Air India flights and related services. This collaboration reflects a broader industry trend of cross‑industry loyalty integrations designed to deepen customer engagement and drive incremental revenue.

What Happened

In a joint press release, Air India and IHG Hotels & Resorts confirmed that the two companies have formalised a partnership that integrates the Maharaja Club and IHG One Rewards programmes. Under the agreement, Maharaja Club members will automatically earn IHG points for every eligible dollar spent on room rates, food and beverage, and ancillary services at more than 5,600 IHG hotels spanning 16 brands, including InterContinental, Holiday Inn, and Crowne Plaza. Conversely, IHG One Rewards members can exchange their accumulated IHG points for Maharaja Points at a 1:1 conversion rate, unlocking the ability to book Air India flights, upgrade cabins, or access other airline‑related benefits.

The partnership went live shortly after the announcement, with both companies updating their digital platforms to reflect the new earning and redemption options. Members can now view combined balances, track cross‑brand activity, and redeem points through a single, unified interface on the respective loyalty portals. The collaboration also includes a suite of co‑branded promotional offers, such as bonus point accelerators for stays during peak travel periods and limited‑time discounts on flight‑plus‑hotel bundles.

Key Details

Earn rates have been calibrated to ensure parity between the two programmes. Maharaja Club members earn one IHG point for every US $1 spent on qualifying hotel spend, mirroring the standard IHG One Rewards earning structure. In return, IHG One Rewards members receive one Maharaja Point for each IHG point transferred, with no additional fees. Both programmes have introduced tier‑linked benefits: Gold and Platinum members of either programme enjoy priority check‑in, complimentary room upgrades, and late‑checkout privileges when staying at partner properties.

To facilitate the exchange, IHG has integrated a “Maharaja Points” option directly into its points redemption menu, while Air India’s loyalty portal now features an “IHG Points” balance display. The conversion process is instantaneous, allowing members to move points between accounts in real time. Additionally, the partnership extends to IHG’s “Club” and “Resort” properties, ensuring that members can benefit from the full breadth of IHG’s global footprint, from business hubs in major capitals to leisure resorts in exotic destinations.

Background

Air India’s Maharaja Club, launched in 2015, has traditionally focused on rewarding flight activity, offering members mileage accrual, tier upgrades, and ancillary perks such as lounge access. Over the years, the airline has sought to diversify its loyalty offering by partnering with hotels, car‑rental firms, and retail brands, but a comprehensive hotel‑points integration had remained elusive until now.

IHG One Rewards, the rebranded evolution of IHG’s former loyalty scheme, serves a global membership base of over 100 million guests. The programme emphasizes flexibility, allowing points to be earned across a wide range of hotel brands and redeemed for free nights, experiences, and even airline miles through existing transfer partners. By adding Air India to its portfolio of airline partners, IHG expands its appeal to the growing market of Indian and South‑Asian travelers who value airline‑hotel synergies.

Why It Matters

The alliance strengthens both brands’ competitive positioning in a market where loyalty is increasingly tied to convenience and choice. For Air India, the partnership provides a tangible incentive for frequent flyers to remain within the Maharaja ecosystem, especially as the airline seeks to rebuild its reputation and market share after years of financial challenges. Access to IHG’s extensive hotel network enhances the perceived value of Maharaja Points, making them more attractive for both business and leisure travelers.

From IHG’s perspective, the collaboration opens a direct channel to India’s burgeoning middle class, a demographic that is rapidly expanding its international travel footprint. By enabling IHG members to convert points into airline miles, IHG taps into a new redemption motive that can drive higher point accrual and, ultimately, increased spend across its hotel portfolio. The partnership also signals IHG’s commitment to deepening its loyalty ecosystem through strategic, cross‑industry alliances.

What Happens Next

Both companies have outlined a phased rollout plan. In the first six months, the focus will be on seamless integration of account linking, marketing the new earning and redemption pathways, and launching joint promotional campaigns. Training for front‑line staff at both airlines and hotels is underway to ensure that members receive consistent, high‑quality service when accessing cross‑brand benefits.

Looking ahead, Air India and IHG intend to explore additional layers of collaboration, such as co‑branded credit cards, joint travel packages, and shared data analytics to personalise offers. The partnership will be reviewed annually, with performance metrics—including point conversion volumes, incremental revenue, and member satisfaction—guiding any refinements or expansions of the programme.

Conclusion

The Air India–IHG Hotels & Resorts partnership marks a significant step toward a more interconnected loyalty landscape, offering members a richer, more flexible rewards experience. By bridging airline mileage with hotel points, the two companies not only enhance the value proposition for existing members but also attract new customers seeking seamless travel solutions. As the travel industry continues to evolve, such collaborations are likely to become a cornerstone of loyalty strategy, driving both customer loyalty and sustainable growth for the brands involved.