IAG Loyalty has added Red Funnel to its Avios 'Shop with Brands' network, enabling members of The British Airways Club to earn Avios on ferry bookings between Southampton and the Isle of Wight. The partnership, effective immediately, offers 3 Avios per £1 spent on Red Funnel's vehicle ferry and Red Jet Hi-Speed passenger services.
Red Funnel, headquartered in Southampton, operates the original vehicle ferry route between Southampton and East Cowes, as well as the high-speed passenger link to West Cowes. This collaboration gives Avios members a new way to accumulate points on domestic travel, whether for leisure trips or visiting friends and family on the island.
Expanding the Avios ecosystem
The move is part of Avios' broader strategy to integrate travel, retail, and financial services, allowing members to turn everyday spending into rewards. By adding a ferry operator, Avios extends its footprint beyond airlines and into surface transport, a segment that has seen growing demand for loyalty integration.
To earn Avios, members must access the Avios Shop Online via the Avios website or app, select Red Funnel, and click through to the ferry operator's site to complete their booking as usual. Avios will be credited on eligible bookings, with no change to the booking process for customers.
Avios is the global loyalty currency of British Airways, Iberia, Aer Lingus, Vueling, Qatar Airways, Finnair, and Loganair. It serves millions of members across more than 200 countries, with over 20 million Avios collected and 16 million redeemed every hour through partnerships with brands like Nectar, American Express, Uber, Cabify, Repsol, and Royal Caribbean.
This partnership follows a trend of loyalty programs diversifying into non-air travel. For instance, Finnair Plus and Radisson Rewards have linked points and status, and Agoda and China Airlines launched a hotel rewards platform. Such moves reflect the industry's push to make loyalty currencies more versatile.
For travel agents and tour operators, the Red Funnel tie-up offers a new selling point for UK staycations. Clients planning trips to the Isle of Wight can now earn Avios on their ferry crossing, potentially influencing their choice of operator. The partnership also aligns with Avios' goal of being a one-stop rewards currency for all travel needs.
Red Funnel's inclusion in the Avios network is a strategic win for the ferry company, which competes with Wightlink on the same routes. By offering loyalty rewards, Red Funnel aims to attract and retain customers who are members of the British Airways Club, a demographic that values travel perks.
The announcement comes as the travel industry continues to recover and adapt to post-pandemic demand. Domestic tourism remains strong in the UK, and partnerships like this one are likely to become more common as loyalty programs seek to capture a larger share of travel spending.
Avios members can start earning on Red Funnel bookings immediately. The partnership is expected to be promoted through both companies' marketing channels, including email campaigns and social media.
