Airline alliances — groups of airlines that cooperate through formal agreements — began in the late 1990s. They exist so carriers can share resources, expand networks, and offer a better experience to passengers while reducing costs.
How alliances help airlines
- Lower costs: Members share operational staff (ground handling, check-in), facilities (lounges, maintenance), and other services.
- Bigger networks: Codeshare agreements let airlines sell routes they don’t operate themselves, greatly expanding destinations available to customers.
- Better service and loyalty: Shared benefits and smoother connections improve the passenger experience and encourage repeat business.
A practical example
Air New Zealand flies to London but not to dozens of other European cities. Through its Star Alliance partners (for example, Singapore Airlines or Lufthansa), it can offer customers many more European destinations using partner flights.
Why alliances matter to travelers
The value of an alliance depends on your travel patterns, but common advantages include:
- Access to many more destinations through partner networks.
- Often lower fares compared with buying separate tickets from different carriers.
- The ability to book a single ticket that takes you to a destination (or even around the world) using multiple airlines.
- Easier frequent-flyer mileage accumulation and redemption.
- A clearer path to elite status, which brings perks like priority check-in, lounge access, and preferred seating.
The three major alliances
- Star Alliance — the oldest and largest. Notable members: Air Canada, All Nippon Airways, Avianca, Lufthansa, Singapore Airlines, United.
- SkyTeam — the second largest; it has no member airlines based in Australia, so it’s less relevant for many Australian travelers. Members include Aeroflot, Air France, Delta, Garuda Indonesia, and KLM.
- Oneworld — formed shortly after Star Alliance; members include Qantas, American Airlines, British Airways, Cathay Pacific, Japan Airlines, and Qatar Airways.
Which alliance is best for you?
The short answer is, it depends on where you live and where you fly.
For example, based in Australia, Oneworld is often more useful because of Qantas and Cathay Pacific routes. If you lived in New Zealand, Star Alliance might make more sense. Choose an alliance (and stick with it) months before major travel if you want to earn the long-term benefits of loyalty.
Next step: Join a frequent-flyer program
Joining the frequent-flyer program of your chosen alliance’s member airline is how you unlock most alliance benefits. There are several factors to consider when choosing a program — I’ve covered that in a previous post.