About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community InsideFlyer.com, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

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What American Tells Its Employees About Losing Money Flying Planes, Only Profit From Sale of Miles

by Gary Leff

american airlines plane
Mar 06 2019

American Airlines seemingly spends an awful lot of time talking to employees about my blog posts whether it’s Vasu Raja responding to what I write about New York JFK or Doug Parker getting defensive about the 737 MAX.

The airline is clear in its financials though that they lose money flying planes and all their profit is accounted for by the sale of frequent flyer miles. American is telling their employees not to worry though despite the way “some online commenters have tried to oversimplify” the airline’s financial results.

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Financial Analyst Asks American’s CEO: Maybe Your Revenue Lags Because Your Product is Poor?

by Gary Leff

Mar 05 2019

At the JP Morgan Aviation, Transportation, & Industrials Conference today JP Morgan’s Jamie Baker asked American Airlines CEO Doug Parker about the airline’s poor revenue performance compared to United and Delta.

He noted that Parker had promised that the airline’s new aircraft would help the carrier’s bottom line. In general newer aircraft are more fuel efficient and have lower maintenance costs, that’s good on the cost side, but these new planes were supposed to be more attractive to customers as well.

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American Will No Longer Let Customers ‘Buy Up’ From Basic Economy

by Gary Leff

airline cabin
Mar 05 2019

When American Airlines introduced Basic Economy fares — new restrictions on the cheapest tickets that prevented customers from upgrading, making itinerary changes, or even getting a seat assignment at booking — they offered the ability to ‘buy up’ to the regular economy fare.

That way if someone realized they had purchased such a restrictive fare in error, they still had a do-over possibility by giving the airline more money.

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United Airlines May Delay a Flight for You the Next Time You’re Running Late

by Gary Leff

united-plane
Mar 05 2019

United Airlines President Scott Kirby spoke this morning at the JP Morgan Aviation, Transportation, & Industrials Conference and what’s notable is that instead of just talking about the airline’s route network — talking about earning their ‘natural share’ of revenue just by flying — he talked about earning customers’ business by delivering better service.

Kirby laid out several initiatives, entirely apart from investments in premium physical product like lounges and the addition of premium seats.

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