Posted by Seth on May 15, 2012 under Dining, Flying, frequent flyer, Mileage Run, points, Review, Trip Reports | 
Having had so much fun the last time around (plus, I did book five of these!) I was off again last week for a quick trip to Portland, Oregon, again for just long enough to have dinner before heading back home on the redeye flight. And, like last time, the trip was pleasantly uneventful. I didn’t put together a video this time, but it still was a reasonably fun trip to document.
Somewhat shockingly we left on time from LaGuardia and made it in to Houston early. Alas, only a snack plate so I declined (I had just eaten at my favorite NYC taco truck) and took a nap instead. Incredibly exciting, right??
Flight number two had a meal service offering up two options that both sounded decent enough. I asked the flight attendant to surprise me and I ended up with a ravioli-ish option in tomato sauce. Nothing to write home about, good or bad.
A couple hours later we were on final into PDX, though we came in from the "wrong" direction. The winds were different than any other time I’ve arrived in PDX so we came in from the other side. It gave me a very different view of arrival than I was expecting
The really good part of the evening came when I arrived in Portland. A friend who lives there was available to go out to dinner that night so he picked me up from the airport and we headed out to some awesome Cuban food at Pambiche.
Just a quick stay in Portland, however, so I was soon back at the airport, just in time to clear security and head over to the gate for my departure back to Chicago.
I was happy to be upgraded for the redeye, though that may have worked against me. The two folks in the row ahead seemed to become fast friends prior to departure and they kept chatting into the first hour or so of the flight. Mid-con redeyes are already bad enough. Having chatty passengers nearby didn’t help the situation. I still managed to get a bit of sleep and was semi-functional by the time we made it to O’Hare.
I did rather enjoy being the only passenger in the first class cabin on the 6am ORD-LGA flight not wearing a suit. It was a pleasant reminder that life can be fun without having to dress up to play a part.
Departure from O’Hare was right on time and pretty soon I was napping again, all the way to New York City.
We arrived early and an hour later I had navigated the bus/subway transfer – including helping another passenger who didn’t have a MetroCard and who only had bills – back in to Manhattan. The day was just getting started and I was ready to go. Or at least ready to try to survive on just a couple hours of sleep.
Like I said at the beginning, nothing too amazing on the flights, but it was a fun day. Special thanks to Luke for driving out to the airport to pick me up for dinner, and for knowing where the good food is in Portland. Definitely made for a great night.
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Tags: Chicago, Dining, Flying, frequent flier, frequent flyer, houston, in flight, New York City, PaxEx, Photos, points, Portland, review, Trip Report
Posted by Seth on April 13, 2012 under Flying, frequent flyer, Mileage Run |
I’m a huge fan of Istanbul and Turkey in general. I’ve had nothing but wonderful experiences there (even with attempted scammings twice) and between the architecture, food and people it is one of my favorite places to visit and one that I return to willingly, which is a big step for me. When a visit can be had on the cheap that’s an even bigger draw. And right now there are some great deals out there for travel from the USA to Istanbul.
The deals are for the shoulder season so look for travel in September or October for great weather and even better rates. Here’s what the fare calendars look like for October, departing a few cities in the USA:
New York City
Washington, DC
Los Angeles
Chicago
In many cases the W fares on United Airlines aren’t too much more than these lowest fares (~$300 ex-EWR) and the upgrade inventory is plentiful. I’ve already confirmed my flat bed for a weekend in early October. It is going to be a lot of fun.
Tags: Chicago, Deals, Istanbul, Los Angeles, Mileage Run, New York City, Newark, Turkey, United, United Airlines, Washington DC
Posted by Seth on March 19, 2012 under frequent flyer, News, points |
It was August 2010 when Virgin America announced their plans to offer reciprocal earning and redemption benefits with the other carriers in the Virgin brand. Alas, the frequent flier market works slowly in some cases and after more than a year there was no real news on the redemption side of the deal. That ends this week, with both Virgin Atlantic, Virgin Australia and Virgin America announcing redemption rates.
I’m focusing on the the rates for Virgin America here, mostly because I find the ranges they cover to be more intriguing than the numbers from the other two. Virgin America has published a calculator that displays the number of points required based on the city pairs that the two partners serve. Even more interesting to me, however, is that the underlying data is contained in a singe easy to download XML file. Drop that file into Excel and throw some filters on it and the data that comes back is quite interesting indeed.
First up, both one-way and round-trip redemptions will be offered. That’s the good news. Unfortunately, there is a penalty for one-way awards relative to return trips. The penalty is generally 5-10,000 points, based on the samples I saw, though one or two did go higher than that, especially in premium cabins.
As for the actual redemption rates, there are definitely some interesting sweet-spots on the chart. JFK to London return is only 35,000 points in Upper Class, for example, which is pretty nice. The down-side is that it also comes with $1100 in taxes and fees to be paid. Also, it is more than double the price of an economy award on the same route (15,000 points + $650 in fees). The fees do track directly with what Virgin Atlantic charges for a revenue booking (the APD and the YQ are both higher in business class) so that’s not completely ridiculous, but with base fares as low as $120ish round trip in economy dropping 15,000 points seems like a REALLY bad idea.
The real fleecing in the program, however, comes when you try to redeem for Business Class awards on Virgin Australia AND you add a connection in the United States. Los Angeles to Brisbane is a rather reasonable 80,000 points up front. Want to connect onward to Chicago? Tack on another 100,000 points. And if you want to go to JFK rather than Chicago it is an extra 50,000 on top of that. Yeah, it is that ridiculous.
And the taxes aren’t particularly great on those fares either. At least the transcon penalty on Virgin Atlantic is only 15,000 points.
Comparing the rates to the value via American Express Membership Rewards – one of the easier ways to accumulate Elevate Points – shows further examples of the limited value. Getting that JFK-London award is 35K Elevate points, which would mean 70K MR points. Redeeming via ANA would allow the same trip for 63K points and roughly the same fees. JFK-Capetown would be 190K MR points via Elevate or 115K via ANA.
Adding these partners is a great thing, in theory, for members of the Elevate program. With the redemption charts the way they look, however, the numbers are not particularly attractive. I’d stay far, far away.
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Tags: American Express, ANA, Australia, award, Chicago, frequent flier, frequent flyer, Los Angeles, Membership Rewards, New York City, points, Virgin America, Virgin Atlantic, Virgin Australia
Posted by Seth on January 10, 2012 under Flying, frequent flyer, News |
As part of their bankruptcy reorganization efforts American Airlines has announced that they are cutting the longest route in their network, the flights between Chicago and Delhi, India. The flights are being terminated as of March 1, 2012. Live from a Lounge (a local on the India side) and One Mile at a Time (a quite vocal AAficionado) have both weighed in on the topic, mostly with disbelief. To me the surprise is really that it took the bAAnkruptcy to do the route in.
At least one analyst out there says the route was losing $40MM annually. And naturally you’re going to cut anything that isn’t profitable in a reorganization, right? The problem with that approach is that, at this point, nearly everything American touches is not profitable; they’ve got the inverse of the Midas touch. The real question should be whether a route can be profitable, not whether it is right now. And in the case of the Delhi flight, the answer is still no.
It is the longest route in their system, roughly 7500 miles in the air each way. That’s a whole lot of fuel that needs to be carried so the plane can make it to the destination, and that fuel has increased significantly in cost since the route was launched in 2005. It seems that even if the company could get the labor costs down, their stated goal in the bankruptcy process, the other fixed costs of the route are still too great.
The same analyst who asserts the $40MM annual losses also suggests that there are a few other routes which are hemorrhaging cash and which seem primed to be cut: New York-London, New York-California, Chicago to Delhi, Beijing and Shanghai and Miami to Buenos Aires. Seems unlikely to me that all those are going to be touched. The London routes gets the advantage now of ATI, something that was far too late in being granted by the authorities on both sides of the Atlantic. That should help significantly for margins on that service. The transcon market is an interesting one and I could see some changes come, but I doubt they’ll fully retreat. And the South America service seems to have way more potential than the Asia routes, putting it squarely in the "potentially could be successful" category.
Could the Beijing and Shanghai routes be on the out? Loads to China are down and the yields are likely following. At the same time, however, getting back into that market is incredibly challenging. Plus, there aren’t particularly great onward connections if you look to partners. It seems much more likely that the China routes could be profitable and that they’d stick around a least a bit longer.
The other consideration for American, more than individual routes, is the combined effect of cutting too much on the route map. Their international network was already somewhat anemic outside of Latin America and further cuts won’t help that. Even with partners and the ATI agreement, it is hard to market and sell flights to corporate contracts when you don’t actually have service to the destinations they need to serve. And a merger with US Airways, JetBlue or Alaska Airlines isn’t going to solve any of those problems.
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Posted by Seth on December 6, 2011 under News |
American Airlines has made reduction of costs the cornerstone of its bankruptcy reorganization plans. From the very beginning they’ve made it clear that they expect to cut costs pretty much across the board. This includes returning some aircraft to lessors and getting out of some real estate deals and also, hopefully, renegotiating labor contracts. That last part likely just got a lot harder.
A nine-member panel was appointed to represent unsecured creditors of the company and three of those seats are held by representatives of the company’s unionized workforce. The pilots, flight attendants and ground workers each received a seat on the panel, along with Boeing and other creditors. Having that strong a union voice in the courts as recommendations are heard is going to make it much more difficult for the company to pull a fast one on the employees, but that also seems to be their only plan for getting out of the bankruptcy so that could hinder those efforts.
In other bankruptcy news, some analysts are suggesting that American should scale back operations at Chicago, Los Angeles and New York City and focus on their fortress hubs in Miami and Dallas-Ft. Worth. Fortress hubs are great, I suppose, for the business. But when that’s all you have you’re horribly susceptible to competitors showing up and fighting. And that sort of fight isn’t what an already struggling company needs to be faced with.
Always interesting to see what’s next…
Posted by Seth on November 22, 2011 under frequent flyer, News, points |
April 2012 is going to be a busy month for Star Alliance. That’s when Copa and Avianca-Taca are expected to become full members of the global alliance, culminating a process that has been ongoing for many months now. The official invitation to join was extended just earlier this month and it seems that the integration process will be completed incredibly quickly by global alliance standards. Normally the integration takes 12-18 months (or even longer if you’re Air India) but these carriers plan to do it much faster.
For Copa the process shouldn’t be too hard. They already use the same OnePass loyalty program as Continental and that will merge into the new MileagePlus program from United. There will still need to be bilateral agreements drawn up with the other alliance members and some adjustments on the inventory and computer systems side of things but they are pretty far ahead in the game.
For Avianca-Taca there is definitely some more work involved. Although the carrier has frequent flyer relationships with Star Alliance members United and Lufthansa there are still more steps required to get fully integrated. Still, Copa CEO Pedro Heilbronn confirmed that join date for both programs so it looks pretty good, at least for now.
One interesting bit about Copa joining the program is that, as of today, there are no long-haul flights into the Panama City hub from overseas. There are connection options from Dulles, O’Hare, Los Angeles, Houston and Newark, giving great integration to the United Airlines network, but not much beyond that. It will be interesting to see if joining into Star Alliance can bring some more long-haul traffic into that hub.
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Tags: Avianca, Chicago, Continental, Copa, frequent flyer, houston, Los Angeles, Lufthansa, Newark, Panama, points, Star Alliance, Taca, United, Washington DC
Posted by Seth on November 18, 2011 under frequent flyer, News, points |
When British Airways and Iberia announced a couple months back that they were integrating their loyalty programs under the Avios moniker there were a whole bunch of folks (mostly based in the USA) who were pretty upset at the potential issues it could raise. At that time I took a somewhat measured approach, suggesting that there are a few areas in which folks might see benefits, mostly for those in the UK or Europe. Now that the details are out and we can look at the numbers I’m still not certain, but the program mostly seems to be a debacle unless you live in the UK or Spain and only fly on simple trips.
You didn’t want to connect, did you?
The single-partner award chart isn’t nearly as bad as previously expected, with a catch. Awards on a single partner now do not permit connections. If you require a connection for your itinerary then you redeem an award for each flight. That means JFK-EZE on AA would be one price (25K one way in coach) but connecting via Miami would add 7,500 to that total; connecting via Dallas is 10,000 more. So if you can position yourself to get to a hub gateway (or if you are lucky enough to actually live in one) then the numbers can be quite reasonable still. I queried ~150 city pairs on routes operated by wide-body aircraft by Cathay Pacific, Qantas and LAN and found a few routes where the numbers aren’t completely awful. But that assumes you’re at the gateway and want to go to the hub. A pretty significant catch to be sure.
Also on the connection front, it appears that folks based in Europe are going to feel the pinch of award prices rising. A trip from Istanbul to Paris sees a 4,500 point surcharge over a trip from Istanbul to London. Not all that surprising considering the rate on London-Paris is 4,500. In other words, even if you stay on BA metal for the journey you get hit with a connection penalty. This applies to flights originating in the USA as well, and the up-charge might be even more than you’d expect (ORD-LHR is 20,000; ORD-CDG is 25,000 while MIA-LHR and MIA-CDG are both 25,000). In other words, the award charts are very inconsistent and nearly impossible to decipher with any reasonable sense of reason.
Multi-partner Awards
The multi-partner award chart is unchanged and is shown below. With this scheme you are permitted up to 8 segments on an award, including an open jaw stopovers so long as the stopover is on the direct point of travel. That basically means only at hubs, which is also not particularly great, but also not atypical.
| Avios costs for multi-carrier reward flights |
| Miles in your journey |
Avios needed for an economy flight |
| 0-1,500 |
30,000 |
| 1,501-4-000 |
35,000 |
| 4,001-9,000 |
60,000 |
| 9,000-10,000 |
70,000 |
| 10,001-14,000 |
90,000 |
| 14,001-20,000 |
100,000 |
| 20,001-25,000 |
120,000 |
| 25,001-35,000 |
140,000 |
| 35,001-50,000 |
160,000 |
|
Business class reward flights: x2
First class reward flights: x3
|
Some "gems"
So, what are these "gems" I referenced in the thread title? There are a couple to talk about.
If you’re looking for flights operated by international configured aircraft and hoping for a bargain there are a few routes that come up as quite reasonably priced. Some have gone down from the prior charts, though, again, no connections are permitted any more so there’s that problem. Still, take a look at some of these routes with the decent redemption pricing (o/w, economy):
| AMM |
DTW |
30000 |
| AMM |
JFK |
30000 |
| AMM |
ORD |
30000 |
| AMM |
YUL |
30000 |
| AMS |
HKG |
30000 |
| BOG |
MIA |
10000 |
| CCS |
MIA |
10000 |
| CDG |
HKG |
30000 |
| CUN |
MIA |
4500 |
| CUN |
SCL |
20000 |
| FCO |
HKG |
30000 |
| FRA |
HKG |
30000 |
| HEL |
SIN |
30000 |
| HKG |
PVG |
7500 |
| HKG |
HND |
10000 |
| HKG |
ICN |
10000 |
| HKG |
KIX |
10000 |
| HKG |
NGO |
10000 |
| HKG |
LHR |
30000 |
| HKG |
MXP |
30000 |
| HKG |
YVR |
30000 |
| HKG |
JFK |
35000 |
| ICN |
TPE |
7500 |
| JFK |
LIM |
20000 |
| KIX |
TPE |
7500 |
| LIM |
SCL |
10000 |
| MAD |
SCL |
30000 |
| MIA |
PUJ |
7500 |
| PUJ |
SCL |
20000 |
Comparing those numbers to other carriers I’ve compiled data on suggests that the program isn’t a complete fiasco, so long as you can avoid that pesky connection problem.
Also, it is possible to redeem 10% of the regular Avios award price for an infant in lap which is a nice feature and most certainly not one that most programs offer. But that’s a pretty small consolation.
Upgrade or downgrade?
In the end, I believe that the overall changes to the program are quite negative for most customers. Yes, there are a few bright spots where award costs have gone down and those should be celebrated, but for most customers the connection penalty will be a rather steep price to pay to make the Avios retain value. That said, if you live in a hub or in a spoke with good frequencies there is the slight chance that the program can be made to work for you.
I’m quite happy that I’m not sitting on a pile of Avios right now, even being in NYC where I have the advantage of many non-stop options. If it comes to that I’ll just move some Membership Rewards points over and leverage the program that way.
Check out some other views on the changes from these noted loyalty bloggers:
- Lucky’s posts
- TPG’s thoughts:
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Tags: British Airways, Cathay, Chicago, frequent flyer, Iberia, Istanbul, LAN, London, Membership Rewards, New York City, Paris, points, Qantas, Spain
Posted by Seth on September 1, 2011 under News |
Fuel dump [fyoo-uhl duhmp] (noun):
1. An airfare construction designed to reduce the YQ fuel surcharge that airlines place on certain routes. Used by passengers to save potentially hundreds of dollars per ticket.
2. A tax avoidance scheme perpetuated by airlines via shell companies to avoid paying millions of dollars annually to the city of Chicago
A nod of the cap to Frequently Flying for mentioning this story yesterday. Basically American Airlines and United Airlines have both set up shell companies in Sycamore, IL where they buy lots of jet fuel. Sycamore is just over an hour west of O’Hare and doesn’t really have much to do with airport or airline operations, other than that the city government there was nice enough to set up a great kick-back system for the airlines.
When jet fuel is purchased in Illinois it is only taxed at the retail level. By placing the wholesaler in Sycamore the airlines are able to avoid a 1.75% Chicago city tax on fuel. Even better, however, is that the city actually refunds part of the city tax paid. Of the 8% sales tax charged only 5.25% goes to the state. The city gets to decide how they want to spend the other 2.75%. And the city has decided to give most of the cash back to the airlines in exchange for hosting the operations in Sycamore. The city keeps only about $400,000 of the funds and is "thankful for the revenue stream."
Makes me feel a bit less bad about trying to trim a couple hundred dollars of fat from a few fares every now and then.
Posted by Seth on August 22, 2011 under Flying, News |
The purchase of AirTran by Southwest was, in large part, to gain access to significant gate and slot portfolios at a few major airports where the company had previously had difficulty establishing a presence. So it should come as no surprise to see those operations leveraged in a way that better integrates with the route and operational structure that Southwest has built over the years. Southwest CEO Gary Kelly announced a number of new routes from Atlanta today at a meeting with local business leaders, kicking off the first notable shift of legacy AirTran resources to fill gaps in the Southwest network.
Starting on February 12, 2012 the company will add 15 daily frequencies out of Atlanta to five airports, four of which serve as hubs for the company’s operations. The new routes include service between Atlanta and:
- Austin – two daily nonstop roundtrips
- Baltimore/Washington – four daily nonstop roundtrips
- Denver – two daily nonstop roundtrips
- Houston Hobby – three daily nonstop roundtrips
- Chicago Midway – four daily nonstop roundtrips
Certainly not a major overhaul of the route network or even scratching the surface of the capacity the carrier has to work with in Atlanta. But it definitely shows the beginnings of the integration of Atlanta into a major point on the combined carriers’ network and how passengers will flow through the other hubs for onward connections. Expect to see similar moves at the other big airports the purchase came with (e.g. LaGuardia and Washington National) soon.
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Posted by Seth on June 15, 2011 under News |
Want access to the priority security lines at the airport without elite status or buying a first class ticket? Looks like it is time to start flying JetBlue. The carrier announced today the 15 airports at which their new "Even More Speed" program will be implemented, allowing customers access to the "priority" line that other carriers afford to elites or premium cabin customers. With JetBlue this perk will be an additional benefit of the Even More Legroom seats which are being rebranded as well as part of the move.
The initial airports for priority screening are:
Priority screening is also coming to Boston in the next 4-6 weeks as the reconfiguration of the checkpoint there is completed.
In addition to the priority screening access the company is changing the Even More Legroom moniker to Even More Space. The impetus for this change is the addition of early boarding for those customers, providing them the first chance to get at the overhead bins. The early boarding benefit isn’t particularly new but the branding is. Maybe they got a bulk discount on trademark registrations with "Even More" in the name.
Overall this is a nice addition to the offerings that JetBlue has. Combined with the previous indications that some sort of "elite" program (though they refuse to use that word) is coming and that some of these benefits are likely to carry over, it seems clear that JetBlue is working hard to woo the business traveler segment more than ever.
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Tags: Boston, Chicago, elite status, JetBlue, Las Vegas, Los Angeles, New York City, Newark, San Francisco, Seattle, TSA, Washington DC
Posted by Seth on May 20, 2011 under frequent flyer, points |
United Airlines has finally stepped up in the ever escalating battle over the San Francisco/Los Angeles-Chicago market, adding a targeted double EQM promotion for locals flying between those cities. The new promotion, however, has sufficient fine print that it isn’t nearly as good a deal as it could have been or that American Airlines is offering. The promotion is valid through the end of August 2011.
Like usual, United is only offering the bonus to itineraries ticketed after the bonus was announced (19 May 2011). This is unfortunate but given the goal of driving new revenue it is somewhat understandable. And the offer is targeted at Mileage Plus members living in California and Illinois only. Also restrictive but most promotions are more targeted than not these days so not particularly surprising. The other significant clause, however, is much more limiting:
Offer valid on nonstop flights between Chicago O’Hare (ORD) airport and Los Angeles (LAX) or San Francisco (SFO), on roundtrip itineraries for travel solely between Chicago O’Hare and Los Angeles (LAX) or San Francisco (SFO) and not on any connecting or additional city on the ticket.
That last bit is pretty severe. Historically this sort of promotion has been available so long as the passenger is flying between the cities mentioned, even if they continue onwards at one end or the other. By setting up the rules this way United is effectively increasing the costs of participating in the promotion. Hard to blame them for trying to be as specific as possible in rewarding targeted behavior, though it does mean that the promo is not nearly as useful for many folks.
Registration is required: http://united.com/offer/mpd771.
