airline_alliances

Airline Alliances Explained: Benefits, Major Players, and Other Types of Partnership

AltexSoft Editorial Team
AltexSoft Editorial Team

 It's highly unlikely that any airline would cover every region and destination on Earth—a good reason for carriers to cooperate with each other to provide their customers with an expanded route network, offering more opportunities. For now, many of the world-famous airlines belong to global alliances. In this post, we explain what airline alliances are, discuss today's biggest players in the industry, explore their services, benefits, limitations, and mention some other types of airline partnerships.

What is an airline alliance?

An airline alliance is a partnership between two or more airlines to expand routes, share resources, and establish a smooth travel experience for international passengers who get access to multiple destinations and more convenient airway connections.

The participating airlines carry out mutually agreed-upon commercial policies, coordinate scheduled flights, and ensure high service quality and security standards. At the same time, they maintain a high degree of financial independence and preserve brand identity.

star alliance logo on a plane (than probably belongs to one of the member airlines)
Sometimes you can see the alliance’s logo right on the plane. Source: ARGS

It’s impossible to belong to more than one alliance at the same time. By doing so, a carrier could expand its market reach, but it also would decrease the ability of other member airlines to stay competitive.

Yet alliance members may go into other forms of partnership—like a codesharing agreement or joint venture—with other airlines, no matter whether they belong to the same alliance.

For example, Qatar Airways (Oneworld)  has a strategic partnership with Virgin Australia which isn’t a member of any alliance. Lufthansa (Star Alliance) maintains codeshare agreements with no-alliance LATAM, Air Malta, and others. We’ll discuss these types of relationshipslater on.

There are three key benefits airlines get when joining a global alliance.

Increased market coverage. Member carriers can expand their networks without investing in new aircraft. Instead, they offer new destinations and longer routes to their passengers by picking up and connecting existing partner flights.

Lower operational costs. In an alliance, airlines can share resources and important facilities such as transit lounges, terminal space, ground handling services, or maintenance bases. They also may run common marketing programs and use the same IT system. All these reduce overall costs while still guaranteeing a consistent level of service.

Customer satisfaction. Members of an alliance work together to provide their passengers with the following benefits.

  • A larger choice of destinations and flights. This is particularly important for business travelers, who often have tight schedules and complex itineraries with multiple connections.
  • Smooth travel experience. By coordinating schedules, alliances reduce waiting and transfer time between flights. They also take care of baggage and rebook passengers on other flights or provide alternative travel arrangements in case of delays or cancellations.
  • Ability to earn and redeem frequent flyer points (also called miles) from all member airlines.

Currently, there are three global airline alliances operating in the air travel industry — Star Alliance, SkyTeam, and Oneworld. They account for 43 percent of the global market. Below, we’ll have a closer look at each of the Big Three.

Large airline alliances compared

Here are some figures to know when comparing the large airline alliances

Star Alliance: the largest provider with over a thousand lounges and solutions for corporate travel

Founded: 1997

Headquarters: Frankfurt, Germany

Membership: 25 airlines

Coverage: 192 countries (about 98 percent of the globe), 1,160 destination airports,17,500 daily departures, 1,000+ lounges

five airlines that were founders of star alliance
There were five airlines participating in the foundation of Star Alliance. Source: Airways Mag

Star Alliance was launched in 1997 by five founding member carriers: Lufthansa, Air Canada, Thai Airways, SAS, and United Airlines. The alliance’s mission is to provide seamless service to international passengers and improve the customer experience for travelers. At present, Star Alliance comprises 25 member airlines, among them some of the world’s top carriers, each having its distinctive culture and services. In 2024, SAS officially left Star Alliance and joined SkyTeam . In early 2026, ITA Airways is expected to join the Star Alliance after being inducted into the Lufthansa Group in 2025.

Star Alliance members

All 25 Star Alliance member airlines and their logos.

In 2024, Star Alliance was named the World’s Leading Airline Alliance at the World Travel Awards. This was the fifth time in a row the alliance received this title. Let’s see what they have to offer to all stakeholders—airlines, corporate clients, passengers, and travel agents—besides regular benefits.

API access to Star Alliance services and data for member carriers

Star Alliance Developer Portal was created to integrate airline websites, apps, or systems with Star Alliance APIs. This enables carriers to link to Star Alliance services and source data on baggage, frequent flyer programs, or seat maps, enhancing the experience of app users or website visitors. The APIs are available exclusively for Star Alliance members and their IT providers but not to third parties.

All-in-one solution for corporate travelers

Star Alliance Corporate Plus is the all-in-one corporate travel program for multinational corporations. It allows companies to have a single contract covering all the member airlines, which considerably simplifies booking and managing travel arrangements. This means the companies can avoid all the hassle of dealing with multiple contracts and different booking systems. The extensive list of benefits offered by the Star Alliance Corporate Plus includes:

  • one global network covering 98 percent of the globe;
  • a single point of contact for the entire process from contract negotiation to lifecycle management;
  • a single contract to eliminate dealing with complicated administrative and legal procedures, as Star Alliance Corporate Plus offers a single agreement covering all member airlines in a company’s account;
  • a single, consolidated report for the companies with simplified performance tracking;
  • time-saving for processes using structured analysis and reporting capabilities from the Corporate Plus team to help businesses efficiently and timely optimize processes and operations; and
  • regional focus for such countries as China, Korea, and Brazil.

 

All in all, the program is designed to make business travel more efficient and cost-effective for corporate customers.

GDS access codes for travel agents

Authorized travel agents can book the alliance’s branded fare products using the GDS Access Codes. The proposition embraces

  • Circle Pacific Fares covering over 85 destinations in 25 countries and designed specifically for visiting Asia, North America, and Southwest Pacific. The itinerary must start and end in the same country and have a minimum of three stopovers in each of the above-mentioned regions. The available duration of stay ranges from 7 days to 6 months; and
  • Round-the-World Fares, or multi-destination tickets for journeys that start and end in the same country. The itinerary must have a minimum of two stops (with a maximum of 15). The fare allows for a flexible duration of stay, ranging from ten days to one year.

Agents can check availability and book fares via three main global distribution systems (Amadeus, Sabre, and Travelport), the largest Chinese GDS TravelSky or SITA system.

Online booking tools for travelers

The alliance provides several digital products for travelers. It includes

  • a flight booking tool to search and buy one-way and round-trip tickets across Star Alliance member carriers;
  • Round the World booking tool to plan a multi-destination journey and buy a single ticket covering the complete itinerary (read about Round the World Fares in the previous section);
  • Circle Pacific booking tool to plan and buy a single ticket for an itinerary that includes Asia, North America, and the Southwest Pacific (read about Circle Pacific Fares in the previous section);
  • a tool to look for and book lounges; and
  • a flight search tool powered by Skyscanner.

All these instruments make it easier for passengers to plan trips and book flights on all member carriers. They also prompt passengers to travel with the same alliance, which allows them to earn more frequent flyer program miles.

Frequent flyer program privileges

Star Alliance does not have a single frequent flyer program. However, all its member airlines run individual programs and, by joining one of them, a passenger is empowered to earn and redeem miles or points across the entire network. Travelers can join several programs, but since airlines manage them separately, there is no way to transfer miles between them or combine them into one.

When passengers reach elite status levels with a chosen program, they automatically gain one of two status levels offered by Star Alliance and acquire a card with either a Gold or a Silver status logo on it.

Silver status has two benefits — priority reservations waitlist and priority airport standby.

Gold status also includes

  • priority airport check-in,
  • priority baggage handling,
  • access to over 1000 lounges,
  • priority boarding,
  • extra baggage allowance,
  • a free upgrade to business first class on the Heathrow Express, and
  • Gold Track — access to dedicated lanes at 140 locations globally that enables passengers to get through airport security faster.

Gold Track is also available for customers traveling in first or business class on flights operated by the alliance members.

SkyTeam: the youngest global airline alliance with innovative products for businesses

Founded: 2000

Headquarters: Amsterdam, Netherlands

Membership: 18 airlines

Coverage: 160 countries, 1,000 destinations, 624 million annual passengers, 13,600 daily departures, 750 lounges

The youngest among the three major alliances, SkyTeam was established by Aeromexico, Delta Airlines, Air France, and Korean Air in 2000.

In 2022, Aeroflot was temporarily suspended shortly after the full-scale Russian invasion of Ukraine. Since then, Virgin Atlantic joined the SkyTeam in 2023, Czech Airlines ceased operations in 2024, ITA Airways officially exited from SkyTeam in April 2025, with plans to join Star Alliance in the first half of 2026. So at present, SkyTeam includes 18 airlines.

member airlines in SkyTeam

For now, there are 18 member airlines in SkyTeam

Here’s what SkyTeam offers to corporate clients and passengers.

Solutions for enterprises

The suite of business products includes the following five offerings.

Global Meetings is designed to save companies time and money on international event travel. Attendees book flights with discounts of up to 15 percent or benefit from promotional fares. Organizers, in turn, get personalized services, including a dedicated account manager to help with travel arrangements. Besides, they earn one reward ticket for every 50 passengers traveling to an event with Global Meetings. The program is available for events that have a minimum of 50 participants traveling by air and originating from at least two different countries.

SkyTeam Corporate Agreements simplify cooperation with airlines and centralize travel management for global enterprises. Instead of signing multiple bilateral agreements, they enter into one partnership with the SkyTeam alliance.

SkyTeam Corporate Connection targets China-based companies. They can sign a corporate agreement with 3 to 12 member airlines and get access to nonpublished fares with discounts.

SkyTeam Marine and Offshore offers pricing, ticketing, and support services to travel management companies servicing clients from shipping, offshore oil and gas, and alternative energy industries. The program focuses on movement of crew personnel from or to ships, offshore drilling sites, and energy farms.

Frequent flyer program privileges

Similar to Star Alliance, SkyTeam doesn’t have a separate frequent flyer program. Instead, passengers can join a program with any of the SkyTeam’s member airlines that best suits their needs and earn miles on flights operated by the alliance.

At the same time, SkyTeam grants Elite and Elite Plus Status Levels to passengers who have earned enough miles with their preferred loyalty programs.

Elite passengers take advantage of

  • priority reservation waitlist,
  • preferred seating,
  • priority check-in,
  • priority boarding, and
  • extra baggage allowance.

Elite Plus status adds

  • guaranteed full-fare economy class reservation on sold-out long-haul flights at least 24 hours before departure;
  • access to lounges worldwide, no matter what the class of travel;
  • priority baggage handling; and
  • priority immigration and security lanes.

SkyTeam Elite Plus members, along with SkyTeam's first and business class customers, can benefit from SkyPriority, a special airport services program that aims to provide a more efficient and seamless travel experience. The alliance also has Lounge Finder on its website to look for available lounges.

Oneworld: the smallest airline alliance with an expanded corporate travel program

Founded: 1999

Headquarters: Fort Worth, Texas, USA

Membership: 15 airlines

Coverage: 170 countries, 900 destinations, 500 million annual passengers, 13,000 daily departures, nearly 700 lounges

Oneworld is the smallest global airline alliance. It was established in 1999 and is now headquartered in Fort Worth, Texas, USA. There were four founding carriers: American Airlines, British Airways, Cathay Pacific, and Qantas. At present, Oneworld consists of 14 airlines. The 15th, S7 Airlines, was suspended in 2022; Fiji Airways joined in 2024; Oman Air is set to become the 15th member in June 2025.

Oneworld alliance

Oneworld alliance includes 15 member airlines

Collectively, Oneworld offers flights to more than nine hundred destinations in over 170 countries.

Corporate travel program for large businesses

The Global Corporate Travel Program is designed to offer a range of services for corporate clients and make business travel more efficient and cost-effective. The following are some key benefits and services of the program.

  • Airline discount. It can vary depending on the airline and specific terms of the corporate agreement.
  • Airport lounge access. Corporate travelers have access to Oneworld’s network of airport lounges worldwide, with a comfortable and convenient space to work and relax in before flights.
  • Priority services. Business travelers are eligible for priority check-in, boarding, and baggage handling that is both time-saving and stress reducing.
  • Customized travel solutions. The program offers such options as centralized billing and travel policy compliance management.
  • Oneworld events and conferences. This option includes discounted airfares for attendees of corporate meetings and events, as well as dedicated support.

Let’s say a large multinational corporation has employees who often travel to multiple locations around the world for business meetings and conferences. Enrolling in the Oneworld Global Corporate Travel Program can help the company take advantage of the discounted fares, flexible booking options, and priority services.

Round the world fares and booking tool for travelers

The Round the World Airline Tickets are branded fares that provide access to hundreds of destinations in 170 countries. There are three types of Oneworld Round the World trips.

Explorer (a continent-based fare) allows passengers to travel from city to city and continent to continent.

Global Explorer (a distance-based fare) grants access to an extensive list of airlines (such as Bangkok Airways, Aer Lingus, Jetstar, Jetstar Asia, Jetstar Pacific, WestJet, Qantas, and others).

Circle Pacific (an intercontinental journey for exploring continents that border the Pacific Ocean) would benefit travelers who want to visit multiple continents without actually flying all the way around the world. There are several continents passengers can choose as the starting point and the destination of their journey, such as

  • Asia (China, Cambodia, Indonesia, Hong Kong, Japan, Korea, Malaysia, Philippines, Singapore, Taiwan, Thailand, and Vietnam);
  • Southwest Pacific (Australia and New Zealand);
  • North America (namely USA and Canada); and
  • South America.

Round the World Airline Tickets offers its own booking tool to plan multi-city or multi-continent trips and buy them online.

Now let’s see what loyalty statuses and frequent flyer perks are available for passengers flying with Oneworld members.

Oneworld frequent flyer perks and loyalty statuses

As with other alliances, Oneworld doesn’t run an individual frequent flyer program, but offers three elite status levels—Ruby, Sapphire, and Emerald. A passenger can achieve them by aggregating miles with a loyalty program from a member airline.

Ruby status has the shortest list of privileges including

  • priority check-in;
  • access to preferred or pre-reserved seating; and
  • priority waitlisting and standby.

Next comes Sapphire status, that adds

  • access to Business Class lounges;
  • priority boarding and baggage handling; and
  • extra baggage allowance.

The highest status among the three is Emerald. In addition to all the above-mentioned perks, it offers access to First Class lounges and the ability to use a fast track/priority lane security pass to skip the queue at security screening.

Similar to other alliances, Oneworld offers an online tool to search for available lounges.

What are other types of airline partnerships?

Other popular forms of aviation industry partnerships include interlining, codesharing, and joint ventures. These agreements can be entered by members of the same alliance, carriers from rival alliances, or airlines that don’t belong to any group.

Interlining

Interlining is the most basic commercial agreement between airlines that allows them to sell each other’s tickets and services to passengers on itineraries with more than one flight. Interlining was introduced by IATA, the trade association representing the global airline industry in 1947.

Interlining enables passengers to buy a single ticket for complex itineraries with several flight legs, check in only once, and have their baggage transferred through to the final destination. In case of disruptions, travelers are rebooked to other flights.

One of the airlines signing an interlining agreement acts as a validating carrier that tickets an itinerary and must be a participant of the Airline Reporting Corporation (ARC) or the IATA Billing and Settlement Plan (BSP). Others are participating or operating carriers that actually serve legs of the trip.

Codesharing

Codesharing is a commercial agreement between two or more airlines that extends the concept of interlining. The program appeared in 1989 when American Airlines and Qantas provided the first connecting flights of this type. In addition to all interlining capabilities, carriers sell seats on each other's flights under their own flight numbers. For example, travelers booking a flight with Delta Airlines can find themselves on a flight operated by Air France. Still, the flight will have a Delta flight number.

As for additional benefits, codesharing enables airlines to expand routes without inflating fleet size, have more control over itineraries and pricing, and spread loyalty programs across partner flights.

Joint venture

A joint venture agreement is a partnership between two or more airlines to operate as a single entity on certain routes. This form of cooperation always requires government approvals. Airlines involved in a joint venture share their costs and revenues, and closely coordinate planning and handling flights.

Joint ventures are typically formed between airlines inside alliances. At present, there are three major transatlantic joint ventures created between the carriers:

  • Air France-KLM & Delta & Virgin Atlantic—all the airlines are members of SkyTeam;
  • American Airlines & British Airways & Iberia & Finnair & Aer Lingus & LEVEL—all the airlines except Aer Lingus are members of Oneworld; and
  • United Airlines & Air Canada & Lufthansa—all the airlines are members of Star Alliance.

Generally speaking, the level of integration between airlines would be the highest for joint ventures, and the lowest for interlining, while codesharing agreements and alliances are right in the middle.

The life beyond the Big Three

Not every carrier, even the large and world-famous ones, can easily enter an airline alliance as it’s always about meeting high standards. Therefore, many of them just can’t be accepted. The ones who can, though, are not necessarily seeing any sense in doing so.

For example, low-cost carriers (LCCs) operate on a different business model, and the strategies used by global alliances are simply not beneficial to them. LCCs focus on optimizing operations, reducing the number of services, and using secondary airports to offer low fares on regional flights. This is the opposite of what alliances typically propose (long-haul destinations, high-quality services, access to lounges, etc.)

No wonder LCCs aren’t part of global associations. There were a few attempts, but they failed. Value Alliance, created in 2016, was one. It was composed of six budget carriers with a combined fleet of 180 planes operating in the Asia Pacific market. The alliance served over 160 destinations from 17 hubs throughout Australia, North Asia, and South East Asia, covering a third of the world. That made it the world's fourth-largest alliance.

However, in 2023, its website shut down without any official announcement. Now the alliance is considered inactive.

Besides LCCs and small regional players that can’t join the big three alliances because of a high entry requirements, there are also large, full-service airlines with global reach who prefer to stay independent. This includes two UAE flag carriers — Emirates and Etihad. Both offer flights to most major cities worldwide via connections in their hubs — Dubai and Abu Dhabi— and don’t want to share this profitable traffic with others. At the same time, those Middle East airlines maintain multiple codeshare partnerships to offer their passengers an extensive network of destinations and the ability to earn miles on multi-leg flights.

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