Loyalty programs have become a key part of marketing in the hospitality industry as well as retail, sport and entertainment. They have grown by leaps and bounds in recent years, leading not only to opportunities for customers but also to new career paths for future industry leaders.

This fall semester, the University of South Carolina’s School of Hospitality and Tourism Management will offer Hospitality Loyalty Strategy. Instructor Darron Kirkley created and will teach the new special topics class.

"This comes up in marketing classes, but we’ve never had a class focused specifically on brand loyalty and affinity," Kirkley says. "It's such a big thing. Virtually every single company has a loyalty program, regardless of whether it's hospitality, retail, whatever it may be. For American Airlines, according to many analysts, the loyalty program is more valuable than the airline itself. It brings in that much revenue."

Kirkley is an expert on such programs from several perspectives. In addition to his academic role, he serves as tourism manager for Chesterfield County, South Carolina, where he oversees the county’s tourism marketing program. He is also a frequent traveler for both business and pleasure and a user of rewards programs.

Through the Hilton Honors program, Kirkley recently won the opportunity to spend a night in a specially constructed pop-up hotel on the course at the RBC Canadian Open. Exclusive perks like that are a sign of the way loyalty strategy has grown and evolved.

"Back in the day, it was all simple: get a free night, get a free meal. Now we're in much more of an experience economy. People want to do something that somebody else can't do, and we're seeing brands really change to offer that. You can still get your free night, but now other opportunities are there too," Kirkley says.

Kirkley has cashed in his own loyalty points for meals cooked by chefs from Top Chef, a meet and greet with country stars Lady A followed by a private performance, a flight on a small plane offering overhead views of Dublin and more. 

"There are so many different opportunities and partnerships. At the end of the day, points are currency," he explains.

The class, open to all majors, will examine loyalty programs from both sides. Kirkley will focus on the business mindset and strategy involved, as well as the career opportunities in the growing rewards industry. As a bonus, he will also share his expertise on making the most of rewards as a consumer.

"The class will have some tips and tricks, don't get me wrong," he explains. "But really what I want the students to get out of it is to see how much lifetime value means with a consumer, how changing the psychology, the behavior of how loyalty works, and how it's all about trying to get people to change their habits to go to your brand."