Back in the fall I wrote that Citi would be ending the benefit of no annual fee authorized users with Admirals Club access, and likely raising the annual fee on the card itself as well. The ability for a single $450 annual fee to generate 11 cards (primary plus up to 10 authorized user cards) each with the ability to enter Admirals Clubs and also bring up to two guests was simply too good a deal.
- In a world where club membership prices themselves have gone up
- And competitor card annual fees have gone up
- And the economics of the card will need to change with a new co-brand deal
A couple of people shared with me that the plan was for a new $175 fee for up to 3 authorized users, and $175 for each additional authorized user beyond that. However I’ve been trying to get confirmation that existing authorized users would be grandfathered with no fee (one person had told me “That was the original plan but now it’s up in the air”).
The new authorized user fee is now listed on Citibank’s website when you add an authorized user to an account, as noted by Nick Ewen.
The bottom line is that American clubs should cost more than they do but they should also be better than they are. United and Delta charge more for their clubs, in many cases offer much better spaces, and also offer better food. Legacy US Airways clubs in Phoenix, Charlotte, and Philadelphia are really poor, and while Delta offers a veritable buffet American ranges from overcooked meatballs to guacamole funded by Mastercard. They sell packaged food that’s inferior to what other carriers include in the membership.
American’s new lounge template, currently only offered on the new regional concourse of Washington National airport, is stunning. It’s a beautiful space I could spend hours in.
The lounge aesthetics even make the paltry food seem more appealing!
In theory we’re supposed to see the template extend to Newark, Denver, and Austin. There’s been no movement on building an Austin lounge in the two years since it was announced. And there’s no known plan to remodel existing lounges along these lines either, indeed despite closing down the main Charlotte club for several months little was done to improve it.
I still expect a higher annual fee for the Citi Executive card itself, and new benefits (likely in the form of merchant funded offers probably not costing Citi much) to sell that higher fee as adding value. Whether or not a higher fee makes sense for Citi ultimately depends on the product provided by American Airlines, and that’s something which seems very much up in the air. Up or down American, up or down?
Just added an AU to the card this morning and had no asterisk indicating any charge for the AU. Then went to add another AU, and still no disclosure of an annual fee charge for the AU’s. I’ve only had the card since December…so still in first year of cardmembership, so maybe that is why. Isn’t there some rule about not being able to change the terms in the first year? Have spent about 35k on the card so far, if that factors into it at all.
I was really disappointed with the new Admirals Club in DCA. Yes, looks good but very little real food (soup and bananas), and a mixed drink was an additional charge that was basically full price. I left after about 15 minutes and still need to buy additional snacks after going to the lounge.
I guess I’m surprised it took this long. It is a very good deal. I suppose I’ll pay it when the time comes so my wife can access when traveling without me. I don’t fly “that” often anymore, but 10 or 12 times a year on AA/AS is more than enough to justify this card for me.
The message about the new fee structure, which was in my account yesterday when trying to add an AU, is gone today. I believe there was also some reference to earning a 20,000 LP boost (without offering details) which is gone today as well.
This is undoubtedly coming soon, but it looks like someone in Citi’s IT hit the trigger a bit prematurely.
– I think AA was charging Citi a heavily discounted Admirals Club membership to pass to the card members with an expectation that those members will not be visiting the clubs too often. It is likely that AA got the actual numbers and raised the cost. AA has a high debt to pay in a high interest environment. Citi is also not doing too well (e.g., v.s. JPMorganChase) and must be looking into cund tting losses araising the revenue. While I understand frustrations of the current card members and bloggers who push these credit cards, I will be very happy to see less crowded clubs in the future. .
Additional data point, just checked my account (6/21) and no charge showing for adding a new auth. user at this moment.
Anecdotally, I have experienced nowhere near the overcrowding in Admirals Clubs (in numerous locations, including CLT) that I’ve had to combat at Delta Sky Clubs in ATL. Are the F&B offerings weak in comparison? Of course. Do I really care? No. I want some personal space, a comfortable seat, a clean restroom and a snack. Not sure how the market would even punish AA for its lacking “buffet” if it wanted to, though I sincerely doubt that it actually cares very much either.
The T&C on the Citi website have not been updated for any AU annual fee
While I happen to think that the primary cardholder plus up to 10 authorized user cards with AC access is a bit much for one fee — 1+1 with an additional fee thereafter would be fair, I think, but I don’t have a general warm and fuzzy about the CITI Executive card, although I do have one. The majority of my spend goes there largely for the loyalty points.
As I am wont to say, I am both blessed and cursed with a long memory. The CITI card we are discussing used to have broad panoply of benefits in line with other high-fee cards, but they were removed en masse some years ago. The annual fee didn’t go down though.
If CITI charges for the single additional cardholder I have, I’ll probably pay it, but it depends. It will make it less likely that I will remain a loyal AA customer though, especially once I use up all my AA miles.
I have to say in terms of cost versus a value proposition, many of the high fee cards are not what they used to be. I have had an Amex Plat for years, but it’s going next year. (Largely because the Centurion Clubs are worthless) I will likely replace it with a Capital One VentureX card which gives me everything I want and need at almost half the cost. There’s a lesson there for CITI too.
I’ve had this card for 13 months of so. I haven’t added my spouse as an AU yet, BUT is Citi takes away the ability to add 1 family member for free, I will cancel ALL of my Citi AA cards in a HEARTBEAT. Also, if they want a higher annual fee, they had better add Higher LP earning rates on some categories IN ADDITION to a “boost” at some level. This card is expensive and earns low LP’s and no real “bonus” categories. Such a weak card and weak “customer service”
I dislike American Airline Clubs.
The food is awful no matter how hard they try to present their offerings.
The beverage options quality & variety are poor.I find great joy avoiding the overcrowding and saving the money from a poor experience.I find I’m happier somewhere in an airport restaurant where quality may be found or somewhere near the gate where I can see if early or late boarding is occurring.
Over decades I spent many thousands on club memberships and frequently the desk team would tell me to board just as the door was closing to the plane.
Horrible communication most of the time.
Back in the day the Club teams could do extra gestures for elites and the clubs felt somewhat exclusive.Today they are holding pens for the ma & pa kettles and their farm hands,fake emotional support animals and noisy kids.
Prefer other Int Clubs/ non American Clubs some and have my eye on the new Chase lounges
Doubt I will ever be an AA Admirals club member ever again.They depress me .If you enjoy it so be it.I’ve moved on
@Gary, Will AUs now be able to use the Alaska clubs? Was a perk of the primary card owner only before. Would make the AU fee much more worth it.
Citi has been trying to push this card on me for years, problem is, it gives me absolutely nothing over what the standard AAdvantage Platinum Select does. I don’t need club membership because I never fly domestic only, it’s always part of international for me. But I would be happy to pay a higher annual fee for enhanced mileage earning per dollar spent. Not just an LP bonus because I also get plenty from flying alone, but 1.5x or 2x miles earned on all spending would have appeal. You know, kind of like the Venture X.
@Alex says: Will AUs now be able to use the Alaska clubs? Was a perk of the primary card owner only before. Would make the AU fee much more worth it.
You can not get access if you book AK.
Yes you can if you are on an code share flight with AK you can. We did this at the Seattle Alaska lounge But we did find that it was a really bad lounge.
I’d be curious to see if existing authorized users get grandfathered (would be great but doubt it).
I have had the card since 2014 and it has saved my wife on occasions where she travels without me (although she much prefers Delta). Time will tell, but as usual, it appears to be AA devaluing their product again.
@Art P – they will not be grandfathered. When your new annual fee gets charged, authorized user fees will be charged as well.