Ryanair’s surprise launch of its “Prime” subscription last week isn’t a traditional loyalty program—it’s a paid membership model. For €79 annually (or £79 in the UK), travelers get reserved seats, travel insurance, and monthly fare discounts. But why introduce this now? What’s the strategy behind it?
The move signals a shift in the airline’s approach, prioritizing upfront revenue and customer retention over traditional loyalty points. While the details of the program have caught attention, the real significance lies in Ryanair’s push to reshape how budget airlines interact with travelers.
Mike Putman, CEO of Custom Travel Solutions (CTS), the software-as-a-service private-label platform for closed-user groups such as membership organizations and loyalty programs to sell travel, shares his take on this Ryanair’s recent launch has stirred conversations across the travel industry.
The subscription model explained
“Ryanair’s Prime membership is a strategic attempt to lock in customer loyalty while offering real, tangible benefits,” explains Mike Putman. “With perks like free seat reservations, travel insurance, and exclusive fare promotions, they’re betting that even travelers who fly just three times a year will see value in the plan.”
Historically, Ryanair has operated with a no-frills, pay-for-what-you-use model, avoiding complex loyalty schemes. However, as competition in the European low-cost carrier market intensifies, a subscription-based model allows Ryanair to drive customer commitment while securing a steady cash flow.
A strategic business move
The limited initial rollout—only 250,000 memberships available—creates an element of exclusivity, encouraging early adoption. By locking travelers into the Ryanair ecosystem, the airline ensures that members will likely prioritize its flights when booking future travel.
Mike Putman, sees this as part of a broader industry trend: “Ryanair’s ‘Prime’ membership reflects a growing shift toward value-driven offerings. It’s not about points—it’s about tangible savings and convenience. Airlines are realizing that travelers prefer straightforward benefits over complex loyalty schemes.”
Moreover, Ryanair’s subscription pricing is more aggressive than Wizz Air’s competing program, giving it a clear competitive edge.
Who really benefits?
Frequent travelers—especially those flying at least once a month—stand to gain the most. The combination of monthly promotions and free seat reservations makes the subscription particularly attractive for those with flexible schedules.
For occasional travelers, however, the value proposition is less certain. While Ryanair claims that flying three times a year justifies the membership cost, it ultimately depends on whether the promotional fares align with the traveler’s plans.
Putman advises caution: “Subscription models are great for customer retention, but travelers need to do their homework. Occasional flyers should check whether they’d genuinely benefit from the savings before committing.”
A trend with lasting implications
The rise of subscription-based models in aviation follows trends in other industries, from streaming services to e-commerce. More airlines may adopt similar approaches to generate predictable revenue and strengthen customer relationships.
However, this shift is not without controversy. Environmental advocates argue that incentivizing more frequent travel could conflict with sustainability goals. While Ryanair’s model focuses on cost savings, it doesn’t directly address its impact on carbon emissions.
Mike concludes: “Subscription-based travel is an innovative approach, but the industry must balance cost-saving initiatives with sustainable practices. Ryanair’s move could set a precedent, and it will be interesting to see how other airlines respond.”
