Alaska Mileage Plan 30% Bonus on Transferred Miles

Posted on: September 17th, 2010 by: Gary

Through October 31, 2010, Alaska Airlines Mileage Plan is offering a 30% bonus on miles transferred from one account to another.

You can transfer 1,000 to 30,000 miles in increments of 1,000 miles at a cost of $10.00 per 1,000 miles, plus a $25.00 processing fee per transaction.

A maximum of 100,000 miles can be transferred into any individual Mileage Plan account per calendar year and up to 100,000 miles can be deducted from your Mileage Plan account per calendar year.

Now, it’s not worth doing for the 30% bonus alone, but if you need to top off for an award it’s nice to take the bonus miles while they’re offered.

Jeff Robertson Speaks Candidly About Why The Delta Skymiles Program is Less Rewarding Than Its Peers

Posted on: September 16th, 2010 by: Gary

Cranky Flier visited Delta headquarters and among other stops on his agenda sat with Jeff Robertson, who runs the SKymiles program.

Since I’m the guy who coined the phrase Skypesos to describe the program, I naturally felt the irresistable need to chime in on the conversation.

Now, the funny thing is I don’t doubt for a minute that Jeff wants what’s best for the Skymiles program. And he understands that he needs to deliver value for his members (though he might not want to deliver too much value) in order for it to be a long-run value creating proposition.

And I’d even bet that if Jeff had his druthers, Delta would make a whole lot more award seats available at ‘low’ or ‘saver’ mileage levels. Because those saver seats don’t cost the Skymiles program very much to redeem for, they get to recognize the outstanding mileage as revenue once redeemed, their balance sheet looks a lot better. At some level it’s the inventory management folks at Delta that are mostly to blame for the airline having the least reward frequent flyer program of any major US carrier.

But regardless of who inside Delta is at fault, there’s little question that their miles are less valuable than American’s or Continental’s or US Airways’ or United’s or Alaska’s.

Sure, there are folks for whom it makes sense to collect Skymiles when they fly. Living in a Delta hub city and flying enough to earn elite status, sure credit to Skymiles because those domestic upgrades matter! But even an Atlanta or Minneapolis passenger that doesn’t fly enough for status? Ok, take that Delta non-stop. But credit those miles to Alaska Airlines Mileage Plan, where you can redeem them on Cathay Pacific or British Airways…

Delta just makes fewer premium cabin international award seats available than their rivals. And Delta’s partners are on the whole more tight-fisted with seats than members of Star Alliance or oneworld.

And their domestic inventory is no great shakes, either. Though in fareness neither is United’s or Continental’s (I find American’s quite good, and US Airways offers excellent availability especially in first class and especially on routes outside of the tiniest towns they serve).

So it was with great interest that I read Brett’s report, and found Jeff’s comments quite enlightening though fairly consistent with my existing impressions.

He admitted that it’s really difficult to compare availability across airlines without just manually looking at routes, but they have recently decided to work with a third party to help get better insight on what others are doing. So this isn’t something Delta is ignoring.

Ah, the old ‘it’s really difficult to compare’ card. And it is, each route is different. But we know that Delta members redeem more miles per award based on the carrier’s SEC filings. And as someone who searches awards constantly — I’ve redeemed far more than 50 million miles in the past year — I can definitely say that Delta’s availability is on the whole quite poor. Want two business class seats to Asia? Good luck. Ever want to go to Australia? Well there fortunately it’s possible, thanks to V Australia. But when folks approach me for help with awards, they tell me what they want I think “Great! That’s easy!” and then I find out they’re working with Delta miles.

They ‘have their spreadsheet’ and say that flights are more open compared to summer. Ok, of course. When flights are less full there are more award seats available. But comparing their fall and winter inventory to their summer inventory and declaring things better is truly damning with faint praise.

It was good to hear that Jeff Robertson assures that last-minute booking fees will not return. It would be hard to bring them back when United got rid of them and American removed them for elites. But as far as I know there’s still no definitive word on whether Delta will announce minimum stay requirements on saver awards for non-elite customers who don’t have the airline’s co-branded credit card.

On Having Three Redemption Tiers Instead of Two
“The purpose was to provide another pricepoint that wouldn’t require double miles. We felt like introducing 40,000 and 60,000 is the right solution. Really, 40,000 miles is becoming popular. We have 90% or greater availability in that tier. So instead of someone spending 50,000 miles to come back at 4p on the Sunday after Thanksgiving. They can spend 40,000 miles to come back in the morning on Sunday or 60,000 to come back at 4p. It helps us manage demand.”

Spin it how you like, but ’40,000 miles is becoming popular’ is not a good thing for members.

On Only Allowing Elite Upgrades From High Coach Fare Classes
“We have looked at YBM [the three highest fare classes that are the only ones allowed to be upgraded on international flights]. The #1 ask in the elite program is to let us upgrade off discounted fares. Two reasons why we don’t.
1) We don’t historically because we have free domestic upgrades, so we don’t subsidize international upgrades by making people pay for domestic.
2) We measured upsell to M [so that the ticket could be upgraded] and it is hundreds of millions of dollars

Delta’s upgrade policies are annoying, you have to buy a nearly full fare ticket to even be eligible to waitlist for an award. Other airlines let you upgrade any fare but require a cash co-pay in addition to miles. The kicker there is you only pay the co-pay if yo clear the upgrade. But with Delta you have to pay more upfront for the chance of an upgrade. A practice not regulated by any state’s gaming commission.

The first reason given is silly, Delta doesn’t do international upgrades from any fare because they do free domestic upgrades. Where the subsidy comes in eludes me, and makes no sense in a country where only American doesn’t do free domestic upgrades.

The reason of course is that people play Delta’s game, it’s revenue positive for them, so they stick with it. I can understand that! If customers stick with them, why offer better value or as much value as your competitors?

On Mileage Earning
“We have the most generous earn program. We always give a full mile regardless of fare class. We always give 500 minimum miles per flight to every passengers. With that said, we’ve looked at recently how many miles we give per dollar – it’s about 5 miles per dollar spent with great variation. We’re looking at what to do.”

I’m not sure it’s actually true that Delta has ‘the most generous earn program’. I’d counter that US Airways is at least as generous, probably more so, and has much better redemption.

But it’s true that Delta prints miles like crazy so it shouldn’t be surprising I suppose that they make you use more of those miles for the same seat than many other carriers’ programs do.

On the Future of the Frequent Flier Program
“The frequent flyer model of over-awarding is not sustainable and must be changed. It’s either going to be redemption or accrual or both.”

This is clearly the Skymiles mantra — be darned sure they aren’t ‘over-awarding’.

Voting Has Launched for the Frequent Traveler Awards!

Posted on: September 16th, 2010 by: Gary

I shared the announcement last month about the coming launch of the awards. Well, voting has begun and will be open for a month.

The Frequent Traveler Awards fill an important niche.

  • Instead of awards bestowed by a group of self-appointed experts, the Frequent Traveler Awards represent the collective judgment of the traveling public.
  • Instead of an award for best airline product or nicest resort hotel, the Frequent Traveler Awards represent the best in loyalty programs.

When voting ends on October 15, real travelers will have spoken. And on November 4 in Houston we’ll all know which programs are the best.

There are (3) distinct regions, you select one region you wish to vote in:

  • Americas
  • Europe and Africa
  • Asia Pacific and Middle East

Then you will have an opportunity to ‘rank order’ first through fourth in each of six awards (five of which have separate hotel and airline categories).

  • Program of the Year (Airline and Hotel)
  • Best Elite Level (Airline and Hotel)
  • Best Promotion – Redemption (Airline and Hotel) .. best unique uses of miles or discounts for using your miles
  • Best Promotion – Earning (Airline and Hotel) .. best bonuses
  • Best Redemption Ability (Airline and Hotel) .. the ability to use your miles
  • Best Loyalty Credit Card (Combines Airlines, Hotels, non-branded programs)

Full disclosure, I’m Chairman of the Nominations Committee. It’s been a blast speaking with the heads of various mileage programs over the past several months, and getting great feedback and encouragement. While we’ve split up the calls, I’ve been privileged to speak with US Airways, United, Virgin American, Southwest and American… Hilton, Starwood, Marriott, Priority Club, Best Western, Wyndham.. great people all, and thrilled that awards recognizing programs that deliver the most value for their members will exist into the future.

Cast your ballot today for the programs of your choice!

US Airways 100% Bonus on Purchased or Gifted Miles is Back… Again!

Posted on: September 16th, 2010 by: Gary

US Airways is back with their 100% bonus on purchased or gifted miles between September 16 and November 15.

When they ran the bonus from mid-August through mid-September the full 100% bonus was only available on larger mileage purchases, this time the full 100% bonus is offered regardless of quantity of miles purchased.

And 50,000 bonus miles is the most that can be earned from the promotion, except that the gift miles offer is stackable with the 25% bonus running all year for elites gifting miles. So elites doing the gifting will generate an extra 25% bonus for mileage recipients, on top of the bonus of up to 100% under this offer.

US Airways accounts have to be at least 12 days old before buying or gifting miles, so if you’re even thinking about using the promotion but happen not to have an account, open one. Joining by September 30 gets you 1500 free miles to start.

Last year the price for purchased miles was 2.5 cents apiece and this year they raised it 10% to 2.75 cents, and increased the cost of some awards e.g. US to Europe in business class is now 100,000 miles rather than 80,000 (but that’s still lower than the price United and Continental charge for the same award). Still, buying the miles for business class to Europe will run about $1400 (without the extra bonus for miles being gifted from an elite’s account), a good deal if you can find the seats. And US Airways will put an award on hold for you for three days even without miles in your account. So you can secure the award and then and only then buy the miles so that there’s not risk.

Some months back Flyertalk’s eponymous coward (I think) offered that US Airways seems to have become the ‘official consolidator for Star Alliance premium cabin seats’… Buy miles from them cheap to redeem for otherwise unsold business and first class seats on their Star partners. Great opportunity.

American Express and Continental Lounge Access and Points Transfer Relationship to End September 30, 2011

Posted on: September 15th, 2010 by: Gary

American Express has announced that their relationship with Continental will end on September 30, 2011.

Currently, the US Membership Rewards program offers the ability to transfer points into Continental Onepass. And the American Express Platinum and Centurion lounge benefit includes access to Continental clubs (when flying Continental same-day). Both of those benefits will cease.

Two months ago when American Express added US Airways to its roster of lounges providing access to Platinum and Centurion members, I said that it meant the Continental relationship was dead in the water.

When the United-Continental merger was announced, the end of the Amex relationship was almost a foregone conclusion. In many ways, United exists today in order to support Chase’s credit card business. The issuer of the United Visa provided debtor-in-possession financing for United’s bankruptcy, as well as its exit financing. And Chase pre-purchased about half a billion dollars of miles to provide the airline with liquidity. They hold substantial sway and would not have stood idly by while a combined United-Continental maintained an American Express relationship that allowed points earning in competition with their own products. Meanwhile, Chase is also the issuer of the Continental co-branded Mastercard already. And Chase offers premium cards that include lounge access at both United and Continental as well. It was unlikely that any Amex deal could continue.

Fortunately there’s a year left for the partnership, so members have plenty of time to transfer whatever Amex points they need in their Continental accounts (Which will ultimately be merged with United Mileage Plus accounts).

Continental has been one of my absolute favorite transfer partners in the American Express program. First, because they have quite reasonable redemption costs to some regions like the Middle East, India, and Northern Africa. Second, because they’ll allow you to hold an award without the miles in your account so that you can transfer in points after you’ve secured the reservation. And third because they have some of the absolute best routing rules in the industry (you can have a stopover and an open jaw on international awards, can transit either the Atlantic or the Pacific from North America to Asia, they don’t restrict mileage flown in an award, and permit Asia routings to Australia).

So that’ll be missed.

Of course, Amex retains Aeroplan, Singapore, and All Nippon as Star Alliance members in their US Membership Rewards transfer program. That’ll work. Aeroplan has great routing rules as well, and many of their awards are quite reasonably priced. They don’t allow awards to be held pending points transfer though (you can set up an award on the phone and then transfer points instantly while still on the call). Singapore allows one-way awards which is nice, but they add fuel surcharges and their chart isn’t cheap on the whole plus they can be simply a pain to deal with. All Nippon is great, their distance-based chart is useful in some situations, but they add fuel surcharges to most redemptions. So overall losing Continental as a transfer partner is a blow.

American has announced some sweeteners to try to make up for the loss.

Though not in the announcement, it’s only been two months since they added Star Alliance member US Airways to their lounge access program. So they’re out adding airlines and retaining program value.

And concomitant with the announcement is the introduction of a couple of new benefits for Platinum and Centurion cardholders (but not other Amex cardholders with Membership Rewards).


  • 20% rebate on ‘pay with points’ redemptions. You can use Amex points to pay for travel directly, they points are worth a penny apiece. Now they’ll rebate back 20% of the points you use for this option. It makes pay with points more valuable than before, and in general better than gift card redemptions. Still, pay with points is only a decent option compared to say spending double (or triple!) miles for a Delta reward. It’s never even close to as good as the value you’ll get on a reasonable premium cabin international award via transfer of miles to a decent frequent flyer program.

  • Up to $200 rebated annually in airline incidental fees, such as baggage charges or inflight meals. Details yet to emerge, but could be a nice benefit for those without status especially or buying on board in coach. Not huge, but still a sweetener. (Still I long for the days when Amex offered domestic companion tickets four times annually, though their vendor was a huge pain to work with.)

Since those sweeteners are for Platinum and Centurion cardholders only, and are quite modest at that, the loss of Continental as a lounge and points transfer partner is a real blow. But a thoroughly expected one, and it doesn’t materially diminish my view of the American Express Membership Rewards program or the value proposition of their cards.

(Via Wandering Aramean.)

The Challenge of Continuing to Encourage Incremental Business from Elite Members that Have Already Requalified for Next Year’s Status

Posted on: September 14th, 2010 by: Gary

One challenge that loyalty programs have in their elite tiers is what to do to continue incentivizing business after a customer has reached all of the thresholds they have to offer?

Some programs like United and American have offered continued bonuses, though not additional elite tiers, for travel beyond their 100,000 mile top status level. So there’s an opportunity to earn more international upgrades or bonus miles or to gift status to others. It’s not always as rich a benefit as it might be, but it’s something.

Both Marriott and Delta have pursued a rollover concept — stays or miles above the level of status you qualify for count towards status in the next year. So you can keep flying or spending hotel nights and that activity counts towards status… next year. That’s attractive, it also leads to some interesting gaming. Does a member stretch and shoot for top tier, or do they stop just below top tier and roll over a ton of nights or miles for a head start on next year? Or what if you requalify for an entire extra year this year, what will incentivize you going forward? It pushes the problem down the road, but it’s an interesting experiment and interesting that it’s taking place both with airlines and hotels. Folks in the loyalty industry are very much working on the same problems.

Sometimes you just need to create a higher status tier. Delta did that with Diamond, in addition to introducing the rollover concept. The worry is that a higher level angers your previously top tier customers who don’t reach that level. And doubly so if the new top tier gets more or less the benefits you gave the old top tier, just at a higher qualification level.

(Hilton’s program head has suggested the need for a new, higher elite tier as a way to keep members on the treadmill but that only works with more benefits not just status for status sake (I’m even letting my “Opentable VIP status” lapse this year, have credited several dines to my wife’s account instead to top off towards a reward, no reason to requalify for a level with zero benefits..).

Personally I’d hate to see a new higher tier when I just signed up for the Hilton Amex to put $40,000 in qualifying spend on the card in order to reach the program’s top tier. I hit the goal pretty quickly. And of course it can’t be worth much when a bit of credit card spend is all it takes to get there. Guess what? Hilton Diamond isn’t worth much, breakfast/lounge access is really all.

Though I suppose this is a program more than any other that could use a higher top tier, at least if they aren’t going to give suite upgrades at the Diamond level the way Starwood, Hyatt, and Intercontinental do (in different ways, to varying degrees).

Another program that could possibly stand a higher tier is Starwood, with its platinum status at 25 stays or 50 nights and falling behind some of the more innovative benefits in the industry. They’re no longer the leader in upgrades (Hyatt lets their Diamond members confirm 4 a year at booking). And they no longer distinguish themselves in redeemability of points (since Hilton and Hyatt have matched, even their other competitors have gotten better). They were early to the party with internet, behind Hyatt but ahead of Hilton and Marriott, but that’s now pretty well standard. They’ve focused a bit on under-the-radar treatment of top spending elites, but at some point they’ll need to enrich the elite program. A new level is on possibility, though it isn’t without risk.

In the meantime, Starwood has a band aid for the problem as we approach the end of the year. And this is the promo that led me to write about the topic in the first place today. Starwood is offering (registration required) Platinums an extra Starpoint per dollar spent on their stays in the last quarter of the year after they’ve requalified. So it’s a 33% bonus on points earning as an incentive to keep staying with Starwood after wrapping up status for the next year.

One extra Starpoint really isn’t much, but it’s an extra incentive to keep staying (in addition to the nice treatment one gets as a Platinum at some properties!). And they database gurus will the work to untangle whether it helped retain folks that have already hit their mark.

New “Priority Club Anywhere Challenge” Photo Up — Guess Today for 2000 Points (And This Thread May Contain the Correct Answer….)

Posted on: September 14th, 2010 by: Gary

Last week I outlined Priority Club’s weekly giveaway of points for naming the geographic location that ties to a photo they put up on their site.

Each Tuesday for eight weeks they’ll offer a new destination. If you guess correctly on the first day you earn 2000 Priority Club points. Each successive day they add a photo and clue, and the points reward goes down — 1500 points on the second day (Wednesday), 1000 points on the third day (Thursday), and 500 points on the fourth day (Friday).

Fortunately I can outsource my guessing to the folks over at Flyertalk, since I’m not especially good at this. (I rarely guess right when Lucky posts a photo..).

The consensus seems to be that the new photo which went up today is of the Chitwan National Park, Nepal.

Get those guesses in, folks!

Wing and a Prayer Blog is Back… and Acerbic as Ever

Posted on: September 14th, 2010 by: Gary

After a long hiatus, Gray Roberge returns to blogging. And his first post after declaring his return lambasts Flyertalkers and travel bloggers for caring about their travel experiences on the days before and after the anniversary of September 11, failing to appreciate its importance, and being overall self-centered on the important occasion.

Here’s what he had to say about yours truly.

And finally, the King of Excess Himself, His Holiness Gary Leff of View From the Wing, writes on September 12 with a speculation of whether a double elite qualifying mile promo may occur. Just a few days before, he got in one of his trite cracks at unions, one of American industry’s main checks on corporate greed.

And since he criticizes my blog posts a week before and a day after September 11, just how was Mr. Roberrge handling the occasion on his blog?

I was not yet back to blogging on September 11 (chuggin’ on those med school apps)

Well, gee, you know what they say about glass houses.

Now, I didn’t post on September 11th. This is not a political blog. There was no shortage of commentary from all sides on the occasion marking the date. Many lives were lost on September 11th. Many lives were lost in the response to September 11th. All deserve commemoration. And to my mind the way that the hackneyed phrase about the terrorists not winning becomes true is by continuing to live our lives. And by not reaching back a week prior September 11th to snarkily claim I’m bashing unions in a post where I talk about service levels across various airlines and suggest that union rules may be one part of the equation for US airlines but explicitly not the main driver of differences.

He thinks September 11th means that greed is bad, and materialism is unseemly, and the rhetoric evokes more of an aesthetic dislike for certain behaviors than a utilitarian one, but I’ll leave aside the analysis of his political philosophy or what in the world his entreaties to folks to be charitable (donating miles to families trying to reach the Mayo Clinic) — however noble — has to do with September 11th.

And while he bashes me without any knowledge of my charitable giving, I’d happily compare with his. If American Express wants my tax returns as a condition of doing business with them, and I willingly provide them, I suppose I shouldn’t be shy about such things with the world.

I find it especially ironic that Gray’s calls for acting charitably come in one of the least charitable posts towards fellow bloggers that I’ve seen in recent memory, at least among bloggers who write priarily about travel rather than politics. But I’ll leave it to him to ask himself why that is.

Now that the Wing and a Prayer blog has taken his MCAT and applied to medical school, maybe he’ll have some time to work on his bedside manner.

Ritz-Carlton Introducing Loyalty Program with Points Earning/Burning

Posted on: September 14th, 2010 by: Gary

Luxury chains have for the most part eschewed points, the belief was that they provide recognition not freebies and compete to offer the best luxury experience not guest kickbacks. Though that’s long seemed a mistake — first, because giving folks formalized tiers and defined benefits means setting clear stretch goals fro your customers. How can you incentivize someone to achieve something if they don’t know what they need to do in order to get something they’re not aware of?

Meanwhile, many luxury hotel guests are indeed staying on other folks’ dimes, which means they’re just as susceptible to anyone else to making their stay decisions based on the ability to garn personal rewards later for directing others’ resources today.

And Ritz-Carlton is now jumping on the bandwagon with Ritz-Carlton Rewards. Barbara DeLollis previews the program that will be announced tomorrow:

Here’s a peek at program details from Ed French, Marriott Rewards’ chief:

  • Customers can be a member of either Ritz-Carlton Rewards or Marriott Rewards; not both.
  • Earning levels will be the same across Marriott’s 3,400 hotels.
    Achieving silver, gold or platinum status for the Ritz-Carlton Rewards program will have the same requirements as Marriott Rewards.
  • Under the new program, Marriott Rewards platinum members who stay at a Ritz-Carlton will receive a complimentary room upgrade.
  • As members of Ritz-Carlton Rewards earn platinum status, they’ll receive upgrades at Marriott hotels.

Looking forward to full details tomorrow, I don’t expect it to be especially rewarding but certainly more rewarding than what’s currently offered!

Are Loyalty Programs Really Worthless? (Only if you’re disingenous…)

Posted on: September 12th, 2010 by: Gary

Chris Elliott has another column on how awful frequent flyer programs are, how we’d be so much better off without them.

Which seems crazy to me. Some people may not get full value out of them, some people may be confused by them, but that doesn’t mean they aren’t still worthwhile — both to those of us who maximize them, and even some value to those that do not.

Chris presumably believes that the programs are costly, that if travel providers got rid of the cost they would lower prices. But he fails to understand first, that the programs themselves are profitable (rather than being a cost center) and second, that they are a marketing device without which there would still be a need to spend resources in marketing — presumably less effectively, at higher cost, perhaps pushing up prices.

Elliott thinks they programs are hard to leave behind because once you drop a travel provider you had been loyal to (once you realize the loyalty isn’t rewarding), you wind up with other providers who have programs that you join. Why? Because the programs are worthwhile! Because you don’t want to leave value on the table! Which would seem to undermine Chris’ point, based on demonstrated or revealed preference.

How awful are these programs? Here, the column includes a parade of horribles such as:

Vera Finberg decided to toss her United Airlines miles into the recycling bin after a recent trip to Australia and New Zealand. The carrier made her buy more miles to redeem an award ticket and denied her priority wait-listing benefits because of a technicality, she says.

So Ms. Finberg didn’t have enough miles for the award she wanted, so United ‘made her buy’ more miles. Since she was going to Australia and New Zealand, she was clearly getting an award at the low or ‘saver’ level, since United doesn’t fly to New Zealand and they only offer awards at that low level with their partners (in all likelihood flying some Air New Zealand at this point).

And what of being denied priority waitlisting? Well waitlisting is not offered when booking award tickets that include partner airlines. She could have stuck to an Australia trip, flew United, and waitlisted. But those technicalities will get you every time!

But to demonstrate how worthless miles are, the column gets a bit disingenous:

There’s also the value of points. Airline miles have been assessed as being worth anywhere from one-tenth of a cent to no more than two cents a mile, and not by an admitted skeptic like me, but by the companies themselves.

If airlines are calling their own loyalty points worthless and acting as if they are worthless, is it any wonder that customers are doing the same?

Airlines ‘assess’ the miles as being worth as low as one-tenth of a cent, thus they are “calling their own loyalty points worthless.”

Let’s unpack that. Airlines book a liability for the outstanding, unreedemed miles that they print. That liability is for the expected future cost they’ll incur in redeeming those miles. Granted, some miles will go unredeemed (or expire!) and that reduces the liability.

But the biggest reason that the cost (not the value) of the miles is low is because when they’re redeeemed at the saver level they are being redeemed for seats that the airline believes would otherwise go unsold. So it doesn’t cost the airline much to redeem the miles for the seat — the incremental cost of booking the ticket, marginally more fuel based on the weight of the passenger, maybe a soft drink served free during the flight.

The liability has been booked as low as $25 for a domestic ticket that costs 25,000 miles, or as the column states 1/10th of a cent per mile. But that doesn’t mean the mile was only worth 1/10th of a cent to the consumer who gets the flight!

Certainly Chris knows this, and it feels like a cheap shot to me to stick it in a column where it’ll be read by folks who don’t understand the accounting.

Now, there is an issue I agree with. I understand the frustration of a Hilton HHonors member who burned all their points before the hotel program increased the number of points it would take to book most of their rooms. It’s not that the points had no value, but that the chain had announced each point would have less value. The member behaved rationally — cash out at the top. And then re-evalauate which program would be best going forward. Nothing wrong with that!

And perhaps I can offer advice to folks so that they don’t wind up in the same situation as the last traveler quoted in the piece:

Peter Hansen, a former elite-level customer, doesn’t want to live in that kind of world. He believes that companies aren’t really loyal to their customers, something he found out the hard way when he retired.

“It was truly amazing how quickly the preferred status turned into forgotten status,” he said. “The loyalty simply evaporated.”

Here I sympathize. Once you stop requalifying for status, you lose the perks of that status. The solution? Pick programs that offer to let you earn lifetime status based on your loyalty. Many do! And then be loyal!

I’m an American AAdvantage Platinum member for life, based on the two million miles I have earned in my account since joining the program. I’m in my mid-thirties, and as long as they don’t renege on their promise I will never fall below Platinum.

United and Delta have lifetime status offers based on flight activity as well, United’s being a more generous program than Delta’s (shocking, I know…).

And Hyatt and Marriott both offer lifetime status in their respective programs, as well.

Still Anxiously Awaiting Double Elite Qualifying Miles Offers

Posted on: September 12th, 2010 by: Gary

Brent SnyderLaura Jackson details the year-over-year drop in aviation traffic during the traditionally peak summer travel season.

And this past week, a PR firm promoting the Chase Sapphire Card shared details of their survey on upcoming travel plans. While not comparative data, it’s suggestive that early (leisure) bookings for future travel may be soft.

[A]ffluent Americans may be taking a wait-and-see approach to winter holiday travel. Intuitively, the economy is still weighing on travel considerations, even for affluent consumers. According to a recent poll of Americans with a household income of at least $150,000, a majority (57%) of respondents confirmed that economic considerations are affecting travel mindset in planning personal travel for 2011. What’s more, only 30% have booked travel for upcoming holiday travel season (in late December), and 39% are committed to staying home this year.

With economic confidence on the decline, the rebound in business travel may fall off as well.

Last year, United and American each offered double elite qualifying miles for about 6 months of the year. (Each time American announced the offer and United quickly matched.) US Airways promoted double elite qualifying miles and double redeemable miles. Delta’s double elite qualifying miles skewed towards higher fares. But everyone was boosting sagging elite ranks and juicing their light bookings.

Pretty much every year since I’ve been watching these programs closely there has been some sort of promotion to yield elite status more quickly and easily than flying the full required miles.

So it’s hard to imagine this year that there won’t be something. Of course so far those things have been route or city-specific (or partner activity specific), rather than across-the-board. And in the past there have been offers that required not just registration but payment. So it’s possible that anything forthcoming could require a fee or require flying on higher fares. But one imagine there’d be something.

The only thing that worries me a little is that the leader here has traditionally been American, and American AAdvantage is on its third President in two months. I poked at a veteran at AAdvantage last week that hopefully the new President was settling in nicely so that they could pull the trigger on double elite qualifying miles! She laughed…

My own guess is that there will be something. It won’t be for the full fourth quarter. It’d guess it’ll run for a short period, when bookings are the weakest. Maybe just November 30 – December 15, a dead period between Thanksgiving and Christmas when business travel tapers. Or perhaps it’ll be November and December on higher fares or with payment of a registration fee.

I’d also guess that American at least will offer a ‘status buyback’ for those who didn’t requalify this year. Those offers are usually expensive, but perhaps less expensive than mileage runs to retain status (and certainly if you value the cos of your time to fly the needed miles).

I’d love to see US Airways bring back their status miles for partner activity offers, keep the front cabin free of elites on mileage runs while still generating revenue for the program.

25000 Delta Miles for $500 Skymal Purchases Extended Through September 15

Posted on: September 10th, 2010 by: Gary

On August 31 Skymal ran a promo offering 25,000 Delta miles for $500 in purchases. That offer has been extended through September 15. (Hat tip to mrp alert in the comments.)

Not all items are eligible for miles, those items and vendors excluded from the offer anre so indicated on the product’s page. And the offer isn’t valid for gift cards. The $500 total spending required excludes tax and shipping.

Hilton Point Stretcher Awards Are Back

Posted on: September 9th, 2010 by: Gary

Outsourced to Loyalty Traveler

Hilton HHonors Point Stretcher Rewards discount the regular rate 40%. Hotels are grouped by brand. The link loads Conrad Hotels and the dropdown menu leads to the list of participating hotels in other Hilton brands. You need to check each hotel since Point Stretcher dates does not mean there is Point Stretcher reward availability during those dates.There have been special Gulf Coast Point Stretcher Reward dates for July through September at about 50 hotels in Florida and one hotel in Louisiana.

Odds on the hotels won’t be the ones you want to stay at, or if you do the discounted awards won’t be available for the dates you’re interested. But it’s worth checking the list if you’re going to consider a Hilton award redemption between now and the end of the year. (The grid shows months through February but a cursory examination doesn’t show any available dates loaded for January or February, hopefully ‘yet’.)

Priority Club Weekly Points Giveaway for Guessing a Mystery Destination

Posted on: September 9th, 2010 by: Gary

Priority Club is running a weekly contest, they’ll give you photos and clues about a geographic location and you guess it to earn points.

Every week for the next 8 weeks, we’ll be highlighting a new mystery destination. Each day we’ll reveal more clues about the location — the sooner you guess correctly, the more points you’ll win!

Each Tuesday for eight weeks they’ll offer a new destination. If you guess correctly on the first day you earn 2000 Priority Club points. Each successive day they add a photo and clue, and the points reward goes down — 1500 points on the second day (Wednesday), 1000 points on the third day (Thursday), and 500 points on the fourth day (Friday).

There’s also a weekly drawing for one winner to receive points or points and an iPad or camera.

The frustrating thing is that they don’t tell you right away whether your guess was correct. There’s also likely to be some ambiguity, I’m not sure how they’re going to tell exactly what is correct and what isn’t — they ask for a specific location, it’s not multiple choice but rather you have to enter your answer as text. And it’s possible then that people will describe the same correct location differently. So this could easily be a bit of a mess.

The Flyertalk thread on the promotion will be interesting for sure. The consensus guess of the first week’s clues seems to be Arikok National Park, Aruba. But I can’t vouch with certainty that this is accurate.

This is open to residents of the US, Canada, and the UK only.

It’ll be annoying but I’ll probably keep checking the Flyertalk thread weekly, just entering whatever the consensus guess is, and wind up with a few points as a result. But then I’m also the guy ‘virtually’ checking into the nearest Holiday Inn to my office (while sitting at my desk…) via foursquare and TopGuest for 50 Priority Club points per day.

Bed Made Out of Airplane Parts

Posted on: September 8th, 2010 by: Gary

Sarah B. sends along a link to the Mile High Bed.

Now, I’m personally very happy with my W bed. And I’m more a miles and points guy than an aviation junkie. When I get off the plane and get home, I want to be off the plane.

Still, the description in Sarah’s email was intriguing:

Lately, you’ve been feeling that your bedroom is missing something.

Like an airplane.

Perhaps attached to a California King mattress.

.. If any guests—or as you’ll now call them, passengers—are making their maiden voyage, you’ll want to give them a quick in-flight demonstration on how to sleep first class. You’ll explain to them that on the left and right are the repurposed wings of a DC-9 jet, and the headboard at the rear of the craft is made from a decommissioned C-130 military gunship. Which pretty much gives you license to use whatever “ready for takeoff” jokes you want.


Etihad Guest 50% Off Redemption Sale

Posted on: September 7th, 2010 by: Gary

Steve Belkin (whose mileage exploits are chronicled in this Google Translate version of a recent Norway Sunday article) points me to Etihad Guest’s 50% off sale on all awards through September 15.

I don’t know how I missed this, Steve says he simply saw it listed in the promotions section at the back of Inside Flyer. I need to scour that more often!

Sadly I know of no way to quickly ramp up an Etihad mileage balance, at least starting from where I am. I see no transfer options from Membership Rewards (US), Diners Club (US), Starwood Preferred Guest, Hyatt Gold Passport… don’t these folks partner with anyone for mileage transfer?

Since this offers the opportunity to redeem US-India in business class for 80,000 points, among other values.

This could well be a winner as Best Promotion in the 2011 Frequent Traveler Awards for the Middle East & Asia Pacific Region.

Finding Award Seats to Australia Using Delta Skymiles — V Australia Business Class Awards Are Pretty Available, Just Not Quite As Easy As It First Seemed

Posted on: September 5th, 2010 by: Gary

A couple of weeks back I posted that using Delta Skypesos to get to Australia on V Australia was easy. That isn’t quite true. It’s one of the best uses of Delta miles, to be sure, and the award space is much better in business class on V Australia than on Delta to be sure. But it isn’t the gimme that it seemed at first.

V Australia uses the booking class ‘Z’ for business reward space. Expertflyer ostensibly was displaying Z inventory, but it was phantom inventory that appeared to cause “4″ to be shown as available seats regardless of actual inventory. The KVS Tool appears to suffer a similar issue displaying ‘Z’ inventory on V Australia.

Now, all hope is not lost. It does seem that Delta has access to the very same reward space that is displayed on V Australia’s own site to its members. So Delta folks should sign up for a Velocity Rewards account and do reward searches there to find available flights before ringing up Delta. Velocity Rewards will let you search award space immediately, and flip between dates quite easily, there’s no minimum mileage balance required by their site to find award space.

For US-Australia awards it does look like V Australia probably has as much award space as anyone. United has been really tough to come by of late, where once it was pretty easy. Delta is neigh impossible. And Qantas is notoriously stingy though I’ve grabbed a couple of first class seats in the past and of course they have the most flights.

Air New Zealand is an option and usually during high season I see them opening award space 60 days out. Air Canada is tough. Otherwise I wind up having to route via Asia, or Europe and Asia, and of course one can fly via Tahiti on Air Tahiti Nui to Auckland or via Air Pacific and Fiji to Sydney. There’s also Hawaiian via Honolulu and the Continental Guam-Cairns flight though that hardly counts.

None of which helps with Delta Skymiles, which is why that V Australia option is so juicy — far better than scrounging a single seat on Korean via Seoul!

Genuineness vs. Plasticism in Flight Attendant Interactions with Customers

Posted on: September 5th, 2010 by: Gary

Tyler Cowen presents a reader question about flight attendant ‘fake pleasant speech’ — which questioner Robert refers to as “robotic beauty queen.”

Tyler believes that the facade is important to maintain because a more relaxed, casual approach would belie true feelings of contempt for passengers amongst half of flight attendants.

Certainly this is a common stereotype, the Wikipedia entry on flight attendants even references the old Saturday Night Live skit with David Spade and Helen Hunt, “Total Bastard Airlines,” where the flight attendants bid passengers adieu with a sarcasm-laden “Buh Bye.” (Here is the skit on Russian RuTube, the stereotype resonates with pilots as well, the old skit gets relatively recent reference at the Professional Pilots Rumor Network bulletin board forum.)

I believe that on the whole though flight attendant interaction with customers is driven more by how flight attendants feel about their company, where they are in their trip (short overnight layovers at crummy airport hotels can ruin anyone’s day!), and the fact that the interactions are repeated on a very large scale which dehumanizes the effort to some degree. Plus I get a dig in at unions for good measure, but I think union work rules are only a minor contributor (as non-union Delta has, in my experience, only moderately more personal flight attendants than say American.)

Now, I’ve experienced flight attendants who are contemptuous of their customers. While I’ve also had good crews with United Airlines, it’s not at all a part of the airline culture, this is the airline whose official announcement declares that flight attendants are there primarly for your safety.

Of course, United is also the airline that introduced flight attendants in the first place. And it was one of the leaders in unionization as well, former airline President Pat Patterson pioneered turning employee scheduling over to the unions, believing that they were closer to the needs of their members than the company was. And in the heavily unionized sector, there’s little relationship between customer service and pay or advancement. There are modest efforts, like giving most frequent customers certificates that they can offer to employees who go above and beyond (and those certificates then in turn serve as raffle tickets for modest drawings), those efforts are very much at the margins.

Though even at a United, the differences in customer service — aside from the occasional flight attendant who simply by force of personality exudes an outward love for customers and their job, by no fault of the company’s or its work rules — can be seen on a route-by-route basis. United’s flight attendants are often the most indifferent in premium cabins (where there are fewer passengers to serve) on the most interesting international routes. That’s because the most jaded tend to be the most senior, and flight attendants ‘bid’ or pick their routes based on seniority. And they also bid their work position on the plane in a similar fashion. So you get the ironic outcome of serving your highest paying customers with the highest seniority crew members who often want to offer superior service the least. (Customers have given senior flight attendants serving United’s transpacific routes the moniker “prison matron.”)

On the whole I’ve had more enthusiastic service from flight attendants with Delta, Alaska, and Continental. Delta, whose flight attendants are non-union, will vote later this month on whether to unionize as their pre-merger Northwest flight attendants had been.

Still, the differences have been marginal, and Delta’s operations have been relatively similar in terms of incentives. The airline has taken more cultural approaches to improve flight attendant demeanor, such as the introduction of a glamorous ‘red dress.’ (Unions have complained that the sexy optional red dress isn’t offered in plus-sizes, and pilots evaluate female Delta flight attendant figures based on whether or no they are “RDQ” or ‘Red Dress Qualified’).) The archetype here is the flight attendant from the airline’s safety video, Deltalina.

But as to why flight attendant speech seems somewhat unnatural, I suspect that it’s as much a function of giving the same talk several times a day, every working day, for years. And seeing hundreds of passengers on each and every flight. So that each interaction seems, to many, less than real and more rehearsed. Whether or not they like people, customers, or more likely their attitudes are driven by feelings about their employer or whether or not they came off a tough trip with little sleep at a dingy airport hotel.

And even there the biggest differences are cultural. As mentioned in the comments to Tyler’s post, flight attendants on Singapore Arlines come across quite differently:

Singapore Airlines has staff who very much represent the country’s approach to customer service – polite, yet firm. Some basic chit-chat but clearly they are there to ensure that everyone is safe and that the food is served. I don’t think anyone would accuse them of being robotic or fake.

In fact, Singapore flight attendants are often referred to as ‘robotic’ in style .. but in a completely different way. They are practiced and purposeful and offer very specific, high levels of polite service virtually every time. And some customers find such interactions awkward (or ‘robotic’).

Southwest, and to some extent Jetblue, have achieved more down-to-earth ‘folksy’ cultures where interactios with airline staff may seem more real. So has Alaska Airlines. Asian carriers (especially Singapore, Cathay Pacific, All Nippon, and Asiana in my experience) offer a practiced, robotic service at the high-end. While American and some European carriers offer it at the low-end. With some variation, less formal cultures may seem to offer more genuine interactions, whether those interactions are positive or negative, here I have in mind Australian’s Qantas in particular.

Personally I’ll take the pracitced, routinized, robotic service from Singapore over the indifferent and robotic service I’ve gotten from many crews of US-based carriers over the years.

And I’m not sure that as a customer I’m looking for genuine, ‘real’ interaction with flight attendants anyway. We’re stuck in a metal tube for a fixed number of hours, put together with each other not by choice but by shared purpose of reaching a destination at a fixed period of time, and except for an airline’s most frequent customers and flight attendants given to flying the same routes, are unlikely ever to cross paths again. Why make the interpersonal investment? Why open up and be genuine?

I’d love to hear what flight attendants the Flying Pinto, Up, Up, and a Gay, or The Friendly Skies think about genuineness vs. platicism in customer interactions.

Marriott Platinum Status on the Cheap Without Any Stays or Nights

Posted on: September 5th, 2010 by: Gary

Here’s an interesting Flyertalk thread on Marriott’s meeting planner incentive program.

Marriott, like Starwood (which offers its Platinum status after $100k in meeting spend in a calendar year), offers the ability to earn status credits to incentivize meeting spend.

The poster in this thread on Flyertalk reports that the Marriott elite status benefit is 10 night credits for each meeting, and reports on receiving the credits for any meeting, even just a conference room, where no sleeping nights are consumed.

If you could secure just a conference room at a low-end Marriott family porperty for $100 for a couple of hours, the thread speculates that you could earn Platinum status from scratch for $800. Or that this allows for ‘mattress runs’ at just $10 per night (10 night credits for $100).

Another member, mooper suggests:

The thread title should be “Platinum Status for $300/year”. If you apply for the Chase Marriott Visa Sig Prem card in January, you’ll get 15 nights. Then, get six $100 meetings, earn 10 EQNs a pop, and you’ll have 75 nights and therefore Platinum status. Do this right in the beginning of the year and your status will last for about two years. Net cost: $300/year for Platinum.

Now, it’s not 100% clear from the terms and conditions of the program whether any meeting — just a conference room and without room nights or food and beverage spend — is supposed to earn these night credits, though a few posters report that they appear to earn the credits. So no guarantee it’ll work at the cheapest price point, or that if it does it will continue to do so. But it’s an interesting take on reaching Marriott’s top tier.

Now, not something I’m pursuing in any case. For an elite level that’s the toughest to achieve on nights (75!) than any major chai, it isn’t especially rewarding. While some Marriott Rewards members report excellent treatment, the program itself specifically excludes upgrades to suites as a benefit. In contrast, suites are gimmes at most Intercontinental properties for Royal Ambassador members, Hyatt Diamond members get to confirm a suite at booking four times annually, and Starwood Platinums receive upgrades based on availability at check-in to standard suites. And to me that’s the biggest, bestest benefit of a hotel loyalty program.

The Outstanding Value of American Airlines oneworld Awards

Posted on: September 4th, 2010 by: Gary

This afternoon I had a conversation with an American Airlines agent, it was the second or third time that one of them commented that they ‘never see’ distance-based oneworld awards, that they do one or two a year at most.

So I thought it might be worth a post on the basics.

Most American Airlines awards are one-way awards, and they don’t permit stopovers except at the North American gateway city. That means if you fly from your home airport to Los Angeles, and then to Tokyo, you can stop over in Los Angeles. But not outside of North America.

That was the tradeoff when American went to one-way awards, they got rid of most stopovers.

But American also offers another award type that offers unlimited stopovers as long as you do not exceed 16 segments on the awards: oneworld awards.

The mileage cost of these awards is based on the total distance flown. And there are some special requirements and routing rules:

  • Can only connect twice per city
  • One stopover per city
  • One open jaw is permitted in the award
  • No changes to routing or airlines at all once ticketed. (But you can change date/time without fee.)
  • Can only fly on oneworld carriers, not other partners
  • Must fly on at least two airlines other than American

Today I reserved the following for two passengers:


Los Angeles – San Francisco, American Airlines First Class
San Francisco – Hong Kong, Cathay Pacific Business Class

Hong Kong – Auckland, Cathay Pacific Business Class

Auckland – Sydney, Qantas Business Class

Sydney – Tokyo, Japan Airlines Business Class

Tokyo – Los Angeles, Japan Airlines Business Class

American’s standard one-way awards would have made this 215,000 miles per person.

But because it included three airlines besides American, we were eligible to use their distance-based award chart. And since the total flying was less than 25,000 miles (this clocked in at just over 24,500) the cost was 150,000 miles per person.

Not bad for trips to Hong Kong, New Zealand, Australia, and Japan on a single ticket, all in business class.

These aren’t always useful, or less expensive, but certainly can be and are worth keeping in your quiver of tricks.

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