View from the Wing

Continuing my kick of linking to just about anything Upgrade: Travel Better has to say, Mark points to the Star Alliance offer to match status held with Varig.

Varig went bankrupt and lost its membership the Star Alliance, so other Star Alliance members are jockeying to pick up the elite frequent flyers in the now-defunct Varig “Smiles” program. The Star Alliance webpage lists the different status match programs that are available to Smiles members until April 30, 2007. Air Canada, Lufthansa, South African, Swiss, and TAP are all granting status matches to Varig’s elites.



BUT: United goes one further. Their rules doesn’t specify that the status match is only open to Varig flyers, either on the Star Alliance site or on their own page. So this is where it gets interesting.

This is a good offer for Varig elite members. It’s quite rare for most international airlines to offer to match status. Outside of North America the only one that I can think of making the offer on a standing basis is British Midland. Other carriers will do it occasionally, or through their sales office in specific countries for very high potential revenue flyers, or as part of a corporate contract. But blanket offers to the public on most airlines are rare — such offers are generally just the province of US airlines, almost all of which will do a one-time granting of status to flyers with equivalent status on another airline.

But here’s the rub — Ashley says this is a special opportunity for anyone with status to get matched on United. But United has offered status matches for years — just fax (current number 605-341-6140, email to PremierMatch@united.com might work as well) in your frequent flyer statement showing your status and flight activity on another carrier along with a note including your Mileage Plus number and requesting status on United, and bingo it’s generally yours without too much hassle. Same is true for most US airlines across the board. Full details can be found in a Flyertalk thread I started in 2003 that continues to attract new posts to this day.

Mark Ashley writes about rental car companies’ hard sells for collision damage waiver, the extra “insurance” (it isn’t insurance, it’s a payment so they don’t pursue you in case of physical damage to their vehicle) that drives commissions with many of the lower-end rental agencies.

Here he discusses Advantage, my own experience is that the pushiest sales agents are with Enterprise. I’ve gotten stories like “What’s your deductible? You know that if there’s damage to the car you have to pay the deductible, in cash, when you return the vehicle. That’s California law.” It’s interesting that these rental car agents are such experts in law.

Ashley points to the claim that credit cards which offer insurance won’t cover ‘loss of use.’ That’s the charge rental companies tack-on to make you pay rental charges on the car while it’s being repaired, since they can’t rent it for those days. Another frequent add-on is an administrative charge for them to handle the paperwork.

The truth here is that credit card companies will sometimes play hardball with rental agencies, demanding usage logs for their fleet to prove that they were sold out of cars at the time they’re claiming loss of use charges — in other words, show that they actually lost out on the ability to rent the car to a customer. If they had plenty of cars available, they likely met the rental needs of all their potential customers, and actually incurred no lost rentals from the damaged vehicles being in the shop.

So it’s true that credit card-provided rental coverage may not lay down in the face of loss of use charges, but there’s some likelihood that the rental car company will. And even if they don’t — and even if you get stuck in the middle — the charges likely won’t be very steep, not enough to warrant purchasing extra coverage.

Most premium credit cards offer some sort of rental coverage. If you don’t have insurance of your own, the coverage may even be primray (meaning you don’t need to obtain insurance). Otherwise it’ll usually cover whatever your own car insurance policy does not. Small business cards sometimes offer primary insurance on cars rented for business use. And Diners Club still offers primary coverage — which means they aren’t just paying your deductible, but (at least in theory) the full cost of a claim. Diners used to market that if you had an accident in your rental car, your insurance company probably doesn’t even need to know.

I may be the last man standing still holding a Diners Club card, given the benefit cuts the past couple of years. The card no longer offers two billing cycles to pay, they’ve upped the foreign currency conversion charges, they’ve lost several mileage transfer partners in the Club Rewards program including several of the largest domestic US airlines, they’ve devalued the ‘tailored travel program’ that let you cover travel charges made on your card directly with points, and the Diners Club card no longer even offers dining benefits. But I rent cars enough that the primary insurance still motivates me to keep the card, plus the ability to transfer points in many cases to frequent flyer accounts in any name.

The polls in Upgrade Travel blog’s Trevvie Awards for best travel blogs are now open. Voting is here and opening through the evening of February 28.

While I don’t expect to finsih particularly well, I am nominated in the category of BEST INFORMATIVE/PRACTICAL TRAVEL BLOG. So vote for me if you wish. Or not. But you can discover some new blogs you may not have been aware of in the process either way.

I’m flying USAirways next weekend and was a bit apprehensive, because that’s supposedly when the airline cuts over from Sabre to Shares (and more specifically, to the America West implemention of Shares called Qik).

A Customer Service Director for a USAirways call center details some of the difficulties that the switchover is going to cause in a thread on Flyertalk.

It looks like the transition may be delayed because of a data error compromising the privacy of some frequent flyer members. It doesn’t appear to be a widespread problem, but it’s changed the priorities for their programmers.

”We’ve got our entire development team, which is supposed to be working hard on migrating our systems, pulled off and working on this,” Danziger said Friday. “And they are hoping they will have a solution to make an emergency change tonight — otherwise over the weekend or Monday.”

Kitty Bean Yancey addresses the myth that hotel keycards irresponsibly contain personal information, that you should never leave them behind.

This has never been on my list of worries. I deal with giving my credit card information to low-paid clerks all the time. My personal information is available to a tremendous number of data center customer service reps. And there’s no such thing as privacy anymore, in any case.

The real key is how you deal with situations — checking your own financial information on a regular basis, disputing inaccurate charges, etc.

But the hotel key card thing, it just isn’t so.

Alaska Mileage Plan is now offering one way awards at half the mileage of a roundtrip. This even applies to ‘award sale’ destinations, e.g. one-way San Francisco to Puerta Vallarta currently runs 7500 miles (subject to award space availability).

This also means that “split awards” are now possible — used to be that award space needed to be open in both directions to get an award at the standard mileage price, if it was unavailable one-way you’d need to book at double the miles. Now you just book two one-ways, one at the standard price and one at the higher rule-buster price, in order to do a split award. (Their technology doesn’t seem to automate the pricing and you do need to do two separate awards if you want this option.).

As always, more choices (that don’t foretell future devaluations) are always welcome. Kudos Alaska!

United is offering 1000 miles for a roundtrip costing $350 or more domestically ($700 or more internationally) through May 15.

Earn 1,000 bonus miles when you register, then purchase and fly qualifying roundtrip travel in the amount of at least $350 domestic, or at least $700 international,** anywhere United, United Express®, or Ted(SM) flies between February 16 and May 15, 2007.

Registration is required.

Jeff Robertson, who runs the Delta Skymiles program, is now participating regularly on Flyertalk. He’s only made six posts so far, but they’re excellent. By excellent I mean that he avoids the usual marketing speak. Explaining the change to Delta’s mileage expiration policy, he actually says

[R]egardless of how “loyal” someone may be to us, anyone who hasn’t had activity with Delta in anyway in the last two years, is not all that valuable to us.

Of course, I disagree harshly with Jeff’s assessment (not about the value proposition of customers hurt by mileage expiration, he has better access to the numbers than I do). Making the change essentially retroactive is inherently dishonest. This is a company that years ago advertised during the superbowl that their miles would never expire.

Perhaps they now find they can make more money by dishonoring their commitments. Never mind the moral case here, in the long run reneging on commitments undermines confidence in the business, customers come to learn they can’t trust Delta. Delta becomes modern Russia.

But at least Jeff is honest about their motives, and I appreciate his participation and candor greatly.

The Upgrade: Travel Better blog discusses American’s discounted business fares that include upgrades to 3-cabin first class.

Meanwhile, American is launching non-stop service from Chicago to Shannon, Ireland using domestic configured aircraft. As with their existing Boston to Manchester, England flights, they’ll use a Boeing 757 with 22 domestic first class seats. Only thing is they’re selling only coach for these flights, and providing coach service. But American and Oneworld elites can reserve these seats like any other. Not a great international upgrade, but better than coach, much like the Premium Economy products offered by international carriers.

The South African Airways Voyager program is offering 500 free miles to promote voting in the Freddie Awards.

Since Freddies voting ends February 28, I imagine this offer will as well.

On Sunday I mentioned the ongoing effort to have Southwest Airlines honor its founding President and CEO at the end of his life.

Lamar Muse passed away peacefully at 10:32pm last night.

Please indulge me by allowing me to quote extensively from an autobiographical sketch:

Muse was the co-founder and first President and CEO of Southwest Airlines, a role he served from 1970 to 1978. A true market innovator, he created the business model for an intrastate low-cost air carrier and, seven years before the deregulation of the airline industry, he changed the playbook for an industry that was long regulated to the benefit of large carriers who could control competition and operate on a cost-plus basis — with the cooperation of the federal government. He proved it was possible for a low-cost, no-frills provider to deliver excellent customer service – and make a profit.



With unheard of low prices, he democratized air travel, making it convenient and affordable for the masses, rather than just the affluent. With three Boeing 737 aircraft serving Dallas, San Antonio and Houston, he stimulated economic development in Texas – making it one big, burgeoning market that companies could easily serve. He enabled air travel for the price of a bus ticket in Southwest markets, thereby creating a booming leisure market within the state, then the region.



Muse was a master marketer – using sex and sizzle to create product differentiation and a lively in-flight experience in a previously-staid commodity service sector. He captured the essence of Texas in its go-go growth era with 38 gorgeous “Hostesses” (today known as Flight Attendants) attired in hot pants (designed by his late wife, Juanice). He endorsed a sassy brand image and advertising campaign with a “luv-themed” play on words. To this day, the symbol for Southwest on the New York Stock Exchange is LUV. Not surprisingly, such moves earned an on-going stream of noteworthy – and free – news coverage.



Southwest employees still “luv” Lamar Muse for implementing an early profit sharing program – a trade-off for lower wages offered in the interest of becoming the lowest cost highest profit per seat mile competitor. Thousands of those hired by Muse are millionaires today due to the value of their profit sharing plan.



After departing Southwest as a result of a boardroom battle regarding expansion plans to Chicago (which the airline implemented twelve years later), he created along with his son, Mike, another wave of attention-getting innovation in the founding of Muse Air, subsequently sold to Southwest, with the industry’s first “No Smoking” policy. Muse accurately anticipated changing health habits and the traveling public’s demand for clean air, now de rigueur in commercial spaces, other segments of the travel industry and legislated by many local governments.



With his emphasis on the bottom line, Muse commanded the attention of Wall Street and the respect of the investment community. He knew how to raise capital and led two of the biggest initial public stock offerings yielding $6.5 million for Southwest Airlines in 1971 and $35.5 million for Muse Air in 1981.



He pioneered a simplified fare structure consisting of executive class fares during business hours (6:30am – 6:59pm) and pleasure class fares at all other times, including weekends. A weekend or nighttime trip on Southwest was only $13, compared to $26 on competing Braniff and Texas International.



Muse became a bona fide legend in business and aviation during a career that spanned five decades. Blunt, colorful and plainspoken, he did what he thought was right for the business, customers, employees and investors — corporate politics be damned.



He had a gift for persuasion – building a strong case. He was an early proponent of free markets and educated lawmakers on the benefits of deregulating the skies during a wave of congressional hearings in 1978. He was one of Senator Edward Kennedy’s major witnesses to testify before the Senate Judiciary Committee investigating airline deregulation.



A professor at Harvard Business School created a case study on Muse and Southwest that is still being used in MBA classrooms throughout the nation. A video interview with Muse continues to be a popular, in-demand classroom tool. His book, “Southwest Passage,” tells the inside story of the founding of Southwest Airlines in detail.



Lamar Muse was a swaggering maverick – always courageous, sometimes controversial — with an innate marketing sense and a flair for the dramatic. He was a strategist who could execute.



When Muse was recruited to join Southwest, it had a little over $100 in the bank and past-due bills of more than $133,000. He welcomed the challenge and in just 120 days, the company hired and trained pilots, hostesses, mechanics, station personnel, marketing staff and completed negotiations for space at three airports, and completed the purchase of its first 3 Boeing 737 aircraft (with a 100% credit loan from Boeing Aircraft).



Thirty six years later, the company continues to operate on his founding principals – now one of the dominant domestic carriers with over 31,000 employees with the highest market capitalization of any airline in the industry, and serving more originating passengers each year with those same luv-ly low prices than any other domestic airline.



Lamar’s illness gave him several good weeks at the end of his life. He was able to enjoy visits from his family and friends, and he received emails from hundreds of people around the world whose lives he had impacted. Because he was able to participate in these memorials to him, no memorial service will be held. His ashes will be spread under the “Big P” on the rocks in Waddington Channel, British Columbia, a place he called heaven. Gifts made in his honor should be sent to the Palestine YMCA (named in honor of his parents, Hiram and Nan Muse), attention Michael Oranch, 5500 North Loop 256, Palestine, TX 75801.

Lamar Muse’s full bio is here (Microsoft Word).

There’s something calm.. and peaceful… and home about this clip. If you’re a United frequent flyer you’ll certainly agree.

The Upgrade: Travel Better blog is hosting travel blog awards, “the Travvies.” Categories are:

- Best Travel Blog

- Best Destination Blog

- Best Informative/Practical Travel Blog

- Best Group-Written Travel Blog

- Best Single-Author Travel Blog

- Best Photography on a Travel Blog

Nominations are open until “8am, Chicago time, Monday, February 12.”

Handing out awards is a great way to generate traffic and links to your site, so kudos on the excellent marketing over on that blog!

Sometimes room upgrades require a little push at check-in. It would be nice if it wasn’t necessary, but sometimes it is. And sometimes, even though you’ve been upgraded, you can improve that upgrade — even beyond what you’re entitled to under the guidelines of the hotel chain’s loyalty program.

Last month I completed my tour of disfavored Westin hotels (my earlier post on the Westin St. Maarten Dawn Beach is here).

I visited the Westin Rio Mar — generally disfavored because, though there are plenty of suites and it’s an oceanfront resort, the property needs some real renovation work and the beach is hardly the best in Puerto Rico. (In general, the ‘mega resort’ experience on Puerto Rico is superior at El Conquistador.) Still, I was in the area and wanted to see for myself, firsthand.

I was checking in at 3:45pm. The hotel clerk said I’d been upgraded to an oceanfront junior suite, perfectly reasonable for an award booking during their high season (sold out, with basic rooms otherwise around $475/night). But the room wasn’t ready.

The desk clerk looked for an available room, to no luck. I asked about a one-bedroom suite (’Carribean Suite’ in their parlance), but she said they were completely sold out.

Instead, she said “why don’t you go have lunch. I’ll take your cell phone number and call you when the room has been cleaned.” She said it would be an hour or hour and a half.

I was a bit surprised, it was after all past checkin time. And I was supposed to go off and wait until 5pm. Naturally, I asked, “So you’ll be buying me lunch then, right?”

She was vexxed. She excused herself to speak with her manager. Moments later she had a room for me, upgraded to an Atlantic Suite.

It’s a large suite with wraparound balcony, living and dining room, as well as guest bathroom.

Here’s my previous post on requesting a hotel upgrade (while guestblogging at Marginal Revolution). Here’s how to request an upgrade at a hotel in Las Vegas and here are the results of that technique.

All of the suites appear with the same label outside the door

”

Unfortunately the hotel shows its wear and teat — even on the door to the suite.

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Still, the room was pretty nice. Here’s a shot of the dining area.

The full living room.

Bedroom

Bathroom.

Pool view from the balcony.

Beach view from the balcony.

Unfortunately the dining at the hotel leaves something to be desired. We ate in their fine dining Italian restaurant and the risotto was actually made with regular rice. Their Asian restaurant was decent but extremely overpriced for what it was. While room service food wasn’t impressive, I was actually shocked by the value it represented (for resort room service, that is). It was actually cheap. Service wasn’t much to speak of here, but the pools and beach are nice and the place did the trick. I couldn’t complain a whit about the room, and while it’s far from my favorite hotel it’s also not as bad as some on Flyertalk and at TripAdvisor make it out to be.

I haven’t mentioned this in ages, but probably the best way to check up on this site is by subscribing to its RSS feed:

http://blogs.flyertalk.com/blogs/viewwing/index.xml

Or just click here.

That this bid made it through the ’screening process’ says as much about the problems at Alitalia (and the Italian government) as any lengthier analysis.

An Italian high school aviation teacher earning 1,200 euros ($1,500) a month became a minor celebrity in Italy on Tuesday by slipping through a fake plan to buy ailing Alitalia as a protest against years of mismanagement.



“This was a provocation. It was my way of making a citizen’s protest,” said Fabio Scaccia, who teaches aerodynamics and aircraft design at a trade high school in the city of Frosinone just south of Rome.



When Italy’s Treasury Ministry announced the 11 expressions of interest to buy struggling Alitalia on Monday night, even the most well-connected business journalists were stymied by the number three entry: “Fabio Scaccia (individual)”.


No one knew who he was, perhaps because, in their high-flying world, he is a nobody.



“I read the papers. I saw the tender document on the internet. I saw the address (of the financial advisors) and sent in my expression of interest,” he told Reuters by telephone.

The Wall Street Journal carries a piece (subscription required after seven days from this posting) on Lamar Muse - founding President and CEO of Southwest airlines - who has been diagnosed with terminal cancer and has been given only a few months to live.

Lamar Muse, the pioneering executive who helped a fledgling Southwest Airlines take off in the 1970s, is dying, which raises an awkward question for the carrier: How do you honor a man who’s been both ally and adversary?



During his eight years as chief executive of the carrier, Lamar Muse helped turn a struggling start-up into one of the most audacious success stories in corporate history, putting in place a business strategy that Southwest still follows to this day.



Yet it was co-founder Herb Kelleher who went on to become the iconic figure associated with the airline. Last year, in Southwest’s magazine commemorating its 35th anniversary, Mr. Kelleher, co-founder Rollin King and others shared the credit for Southwest’s success — while Mr. Muse earned barely a footnote.

After Mr. Muse was deposed from the airline he remained something of a gadfly, not only starting a competitor airline Muse Air which Southwest eventually purchased but continually firing off notes to management on what he believed they should do. So while an important figure in Southwest history, he hasn’t always endeared himself to current management.

[I]n a barrage of emails and phone calls, old colleagues and industry insiders began asking Southwest to publicly honor the man many industry experts credit with conceiving and executing the most successful business plan in aviation.

Full disclosure, much of this discussion has taken place on an e-mail list that I participate in, and on which Mr. Muse has been extremely active for several years.

Southwest has agreed to contribute $150,000 to Mr. Muse’s local YMCA (on top of a recent $350,000 gift that Muse made himself). But Southwest’s current position appears to be that they won’t name a plane for him or make other public gestures while Muse is still alive.

I do find this personally disappointing.

By the way, I really enjoyed Lamar Muse’s (somewhat self-serving) autobiography. It’s a great read and an interesting look into the founding of Southwest Airlines.

The world will miss this great aviation pioneer.

Delta is offering 1000 miles for new frequent flyer account signups and 5000 miles for booking a Delta flight with an American Express business card. Offer appears valid through April 15th.

Update: Turns out to have been targeted - sorry!

Cold Stone Creamery is offering buy one get one free with coupon through the end of February.

For seven days the W Hotels Store is having a Warehouse Sale. Lots of junk, a few decent items, advertised as “up to 80% off.”