Currensea, the payments technology platform behind co‑branded debit cards for Hilton, United Airlines and Marriott Bonvoy, has published new research suggesting Europe’s loyalty market is on the brink of major change.
The whitepaper, The Reinvention of Loyalty, examines how shifting consumer behaviour, tighter household budgets and the rise of AI‑driven travel search are reshaping how travellers engage with loyalty programmes.
The report highlights a growing challenge for airlines and hotel groups: despite loyalty programmes becoming increasingly important profit engines – IAG recently set a €1 billion profit target for its Avios division within five years – Europe remains significantly underpenetrated. Currensea’s polling found that more than a quarter of high‑income frequent flyers in the UK are not members of any airline loyalty scheme, and nearly a third do not belong to a hotel programme, leaving brands without a relationship with a sizeable group of valuable travellers.
A key reason, the report argues, is that the US‑style credit‑led co‑brand model does not translate neatly to Europe, where debit cards dominate consumer spending – accounting for 77% of all card transactions, rising to 85% in the UK . Currensea says this mismatch has created an opportunity for co‑branded debit cards that integrate directly with customers’ existing bank accounts, removing friction and encouraging everyday use.
The company’s own data shows strong engagement: the highest‑spending quartile of cardholders spends more than £36,700 a year, with over half of all spending directed towards lodging, dining, travel and leisure. Seventeen per cent of spending goes directly to partner brands, and more than 75% of cardholders have used their card abroad, spending across an average of four countries.
The report also warns that agentic AI will soon reshape how travellers search for and book trips. As AI tools begin comparing prices, points and redemption options automatically, loyalty programmes that rely on habit or friction may become vulnerable. Currensea argues that programmes offering meaningful benefits, status and strong brand connection will be more resilient in an AI‑mediated booking environment.
James Lynn, Currensea’s co‑founder and CEO, says the combination of debit‑based co‑branding and multi‑bank integration is what makes the model suited to Europe. “The battle for loyalty is moving from the screen to the transaction layer,” he said, noting that co‑branded cards offering genuine rewards will become increasingly important as AI automates more consumer decisions.
The whitepaper follows Currensea’s recent expansion into continental Europe and its recognition as the UK’s second fastest‑growing fintech in the Financial Times FT1000 ranking.
