Who pays for the luxurious facilities at airport lounges?

At airport lounges, travellers are provided with numerous luxurious amenities like high-quality food and beverages, wifi and charging points totally free of cost. Many prominent airports offer spas, sleeping pods and even showers at their lounges. Have you ever wondered how the passengers are able to enjoy these five-star facilities at an airport lounge? Noted data analyst Suraj Kumar Talreja recently took to his X account to explain how the airport lounge works.

Who makes the payment?
Suraj says that most passengers who use these facilities at the airport lounges do not pay any money. They swipe their credit or debit card to access these luxurious lounges. “Your bank or card network is paying on your behalf. Every time you enter a lounge using your card whether it’s HDFC, Axis, SBI, ICICI or even RuPay the lounge operator gets paid by the bank or by Visa/ Mastercard/Amex. This is part of your credit card benefit package, and the bank foots the bill as a loyalty and acquisition cost,” states Suraj.

Money saved
Suraj urges the passengers who still eat in the food courts to use the free lounge facilities. Each time a passenger eats food at the lounge, he/she save Rs 500 – 1000. Besides, free wifi and charging points could be enjoyed in a relaxed and calm atmosphere. Showers and facilities for the passengers to lie down and rest are available at the Kempegowda International Airport in Bengaluru and Delhi Airport Terminal 3.

How much does the bank pay?
One of Talreja’s followers commented on his post that many lounges have membership or loyalty programs. Dr Rajesh Gupta, a follower, said that most card companies offer lounge facilities according to your annual card payment. In a subsequent X post, Talreja reveals the amount banks pay to the airport lounge operators. It typically ranges from Rs 600 – 1200 per visit in domestic lounges and 25 – 35 dollars for international lounges. The post explains that the credit or debit card pays for your sandwich, coffee, or a 30-minute rest at the airport lounge. He reminds that accessing airport lounge facilities are part of the services provided by the bank and the card. The customer is charged a service fee regardless of whether they use the lounge facilities.

Types of lounge access
In one of his posts, Talreja explains that there are mainly four types of lounge access available at airports. Passengers travelling in higher classes can access the lounges owned by the airlines by paying Rs 1500 – 3000 via debit/credit card programs, Priority Pass/LoungeKey and international lounge networks like Dreamfox.

The number of passengers using the lounge facilities at the airports has soared in the last few years. Around half of the passengers travelling via various airports own credit/debit cards that allows them access to the lounge. So, the airport lounges at metro cities like Delhi, Mumbai and Bengaluru are often crowded. Surat Kumar mentions in his X post that banks and card companies are making the guidelines stricter to manage the crowds at lounges. He also reminds to ensure whether you are eligible for such services before accessing the lounges in the airports.