Speculation that Etihad Airways will one day join the Star Alliance has bubbled on and off for several years.
One reason for the persistence of the rumour is that Star Alliance is the only airline alliance without a member based in the Gulf. Saudia is a member of SkyTeam while the oneworld alliance includes Qatar Airways.
The rumours had died down a little pre-COVID-19 as Etihad went through an intensive process of cutting costs and boosting revenue.
Joining an alliance is a costly and time-consuming exercise. It is questionable whether Etihad had the appetite or resources to take on a project of that size.
However, the COVID-19 pandemic has, in some ways, changed everything. With travel demand likely deflated for an extended period, airlines are having to rethink their entire business models and simultaneously reimagine their loyalty programmes.
Etihad has seized the opportunity to innovate with everything from the most fashionable face mask in the sky to bundling at home COVID-19 testing for premium passengers.
There are three excellent reasons why it may make sense for Etihad Airways to join the Star Alliance in a post COVID-19 world.
1. More connections from Abu Dhabi
Before COVID-19 Etihad had already abandoned the ambition of competing head-to-head with Emirates to become a global network airline. The airline’s focus is now on supporting Abu Dhabi’s development by bringing people to and from the emirate. The launch of the Air Arabia Abu Dhabi joint-venture is an example of that new strategy in action.
Joining Star Alliance would make it significantly easier for travellers to get to and from Abu Dhabi. support that strategy. At a stroke, it would add a host of new direct and one-stop connections to between Abu Dhabi and the close to 1,300 destinations in the Star Alliance network.
Etihad is going to have a smaller network post-COVID-19. However, it could work with Star Alliance partners to bring feeder traffic from hubs in Frankfurt, Chicago, Beijing, Vienna and Tokyo to Abu Dhabi.
Keep in mind that Abu Dhabi has the added advantage of a US Pre-clearance facility. That makes Houston, a big hub for United, an obvious candidate as a new destination should Etihad join the alliance
2. More opportunities to earn and spend miles
In response to COVID-19 Etihad Guest has launched a bunch of new ways for members to earn and spend miles during the pandemic. Today you can earn miles on everyday shopping and spend them on hotel bookings in the UAE and around the world.
However, travellers will eventually return to the skies. The challenge when they do is that Etihad’s smaller network will put a limit on the ability to earn and spend miles from flying. Etihad will not be flying to every destination an Etihad Guest member is going to want or need to get to.
Joining Star Alliance would transform the value of the Etihad Guest programme and in particular Etihad Guest Miles overnight. As part of the alliance, Etihad Guest members would be able to earn and redeem miles on all 27 member airlines.
Star Alliance is the biggest of the three main airline alliances. Its members include five Skytrax 5 star airlines; ANA, Asiana, Eva Air, Singapore Airlines and Lufthansa. Star Alliance airlines fly to nearly 1,300 destinations in 195 countries.
Etihad Guest members would be able to earn and spend Guest Miles on travel to almost any destination they needed to reach if Etihad joined the Star Alliance.
3. Elite status benefits on Star Alliance
If Etihad were to join Star Alliance, Platinum Tier members of Etihad Guest would receive Star Alliance Gold status. This would entitle them to elite privileges when travelling on any of the 27 Star Alliance airlines. The main benefits of Star Alliance Gold are:
- Priority Check-in
- Priority Baggage Handling
- Airport Lounge Access
- Priority Boarding
- Extra Baggage Allowance (Either an extra 20kgs or an extra piece depending destination)
It would also become much easier to earn and maintain elite status with Etihad Guest. Any flights on a Star Alliance airline would count towards Etihad Guest status. This would include the 20 destinations that Star Alliance carriers currently fly direct from Dubai International (DXB).
The additional benefits of earning Etihad Guest Platinum status over Gold Guest are pretty minimal. It basically boils down to access to the First Class lounge in Abu Dhabi (which it is possible to pay to access) and an extra 5kgs of baggage on certain routes.
These benefits are so meagre that for most people is not really worth pursuing Platinum status unless it fits with their normal flying pattern. However, the calculation would be very different if Etihad Guest Platinum came with Star Alliance Gold status.
Personally, I no longer fly enough with Etihad to retain Platinum. However, if it came with Star Alliance Gold status I would definitely move some of my travel over to Etihad to ensure I kept Star Alliance Gold status.
Using Etihad Guest status to get Star Alliance Gold
Etihad Guest Platinum and Gold members can currently get a status match to Star Alliance Gold with TAP Air Portugal. This is a particularly good deal for Guest Gold members who are matching a mid-tier in Etihad Guest for the top tier in Star Alliance.
With Etihad depositing Tier Miles in members accounts every month this is a fairly low-risk time to explore what else is out there in the travel loyalty world.
The status match is not completely free. You need to either buy 4,000 miles or subscribe to the airline’s Club TAP Miles&Go. The cheapest option will cost €99 EUR.
The offer is also open to Emirates Skywards Platinum and Gold members. Apply for your Star Alliance Gold status match here.
Will Etihad join Star Alliance?
Joining Star Alliance would obviously be fantastic for Etihad Guest members, particularly those with elite status.
In a post-pandemic world of smaller airline networks, there is even more benefit to Star Alliance of having a member in the Gulf and to Etihad of having access to the alliances 1,300 destinations.
It also helps with Etihad’s strategy of supporting the development of Abu Dhabi’s economy by bringing visitors to and from Abu Dhabi.
Will it happen? I hope so.
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The Expat Flyer aims to help make the most of their airline miles, points and travel. I hope you found this post useful. If you did consider subscribing below to receive all new posts by email.
You can expect lots of information about Etihad Guest as well as Skywards, the loyalty programme of Emirates and flydubai. I will also plan to share my thoughts on the best credit cards for points and miles earning in the UAE.