One of the pressing issues in marketing is whether loyalty programs really enhance loyalty. Asrnloyalty programs represent decades of establishment as a distinct avenue to enhance long-termrncustomer relationships, their efficacy and viability have been widely discussed in literature. Thisrnpaper aims to present whether there is effect of the frequent flyer programs (FFPs) applied byrnEthiopian Airlines (ET) that want to build loyal customers over the loyalty of their customers. Thernstudy used a quantitative research where a questionnaire was administered via email to randomlyrnselected shebamile members from the database and physically distributed at Addis Ababa Bole,rnNairobi Jomo Kenyatta and Washington Dulles International Airports by employing sample sizerndeterminants like: confidence level, confidence interval and population. Random and conveniencernsampling technique was used. The questionnaire consisted of factors like; customer loyalty,rnfree/discounted ticket, priority services, lounge access and baggage allowance. 393 questionnairesrnhave distributed but 278 recollected back from respondents and out of it 257 were considered asrnvalid respondents for further investigation. The study is quantitative research approach and therncollected data are analyzed by scale reliability for questionnaire scaling validity, descriptivernstatistics, Pearson correlation analysis and multiple regression analysis with a view to know thatrnat what level both FFPs and customer loyalty are related with each other. The collected datarnrevealed that there has been a positive effect and positive relationship among different dimensionsrnof FFP elements and customer loyalty of Ethiopian Airlines S.C. This study indicates on selectivityrnof right marketing activities to suit the particular business at a particular time and then to use it atrnparticular situation. Further research can be held with more samples by extending the area ofrnresearch