> If points systems caused losses then nobody would have them. They’re money makers, and that money is coming from someone’s pocket.

It sounds like you believe the losses are coming from the people who _have_ the points? That doesn't seem likely to me.

It would be a better analysis to say "it's complicated" -

* Business travelers earn personally-owned points on their company spending. In this case, the company might be paying higher prices but the individual is being incentivized to continue that because the miles are essentially a kickback.

* Personal travelers have an incentive to travel with the same airline for more points, so a kind of lock-in for either (1) those who are not as sensitive to price differences or: (2) those for whom the benefits of the points are high enough to outweigh some higher costs acquiring them.

* In the same vein, a points system that encourages a traveler to stay with the same airline can give _that airline_ greater profits from _that consumer_, even if on a per-flight basis the airline might hypothetically be making less. It's like Costco selling stuff for a cheaper unit price.