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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Independence Air Discounts

Independence Air’s 20% discount which had been set to expire March 31 is now valid through July 31. You have to answer a short questionnaire about your company and you’ll be emailed a unique link that generates fares 20% off what would otherwise be the lowest price for an itinerary. There’s also a 20% off link from Business Week that’s valid through June 30, no questionnaire required.

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Squeezing the Profit Margins of Frequent Flyer Programs

airplane
Mar 22 2005

Randy Petersen points out that airlines are booking balance sheet adjustments to increase their expected liability for their frequent flyer programs. When an award is redeemed, frequent flyer programs recognize revenue from mileage they’ve sold and they have to pay for the awards that are claimed. A domestic saver award might entail a frequent flyer program ‘buying’ a seat from the airline for $25. A partner award is more expense, and an ‘anytime’ award (that generally requires about twice the number of miles to redeems) is more expensive still. Frequent flyer programs are apparently seeing greater redemption of anytime and partner awards than past experience would predict, so they have to acknowledge an increased future liability. Randy believes this phenomenon is good for members of frequent flyer programs, because it illustrates the value of partner…

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The TSA: Mend it or end it?

airplane
Mar 22 2005

Bob Poole wants to mend the TSA, Jim Harper wants to end it in a debate on transportation security. Some important points from Poole, the defender of government’s role in aviation security in this debate:Against a comprehensive terrorist threat whose true dimensions are necessarily unknown, a free and open society has endless points of vulnerability. Attempting to “harden” all likely targets is a losing strategy—and a recipe for bankruptcy. …The single most effective thing that’s been done in this regard is to retrofit much stronger cockpit doors, to deny terrorists access to pilots and controls should they manage to get on board. But the rest of aviation security policy is an inconsistent mix of overkill and underprotection. Mandating 100 percent inspection of checked bags for explosives, but not of carry-on bags, makes no sense. Neither…

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A Good Hotel Responds to Their Guests’ Needs

hotel
Mar 22 2005

Via Tripso.com, Mariah Carey is a pretty demanding hotel guest. When the singer’s aides arrived at a London hotel at 2am yesterday to check preparations for her imminent arrival, they were dismayed to find the red carpet had not been rolled out. They explained that, whatever time of day or night she arrives, Miss Carey is always welcomed by a thick-pile red carpet illuminated by large white candles. Her limo circled the block while the hotel prepared for her arrival.

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American Mastercard Bonus

american airlines plane
Mar 22 2005

The American Airlines Mastercard is again offering no fee for the first year and 15,000 bonus miles with first purchase. Citibank has been known to award the bonus miles even to people that have had the card in the past, despite terms that specify that the bonus can only be earned once. Best practice is to print out the application page which mentions the 15,000 bonus miles and also to print out the terms and conditions which mentions no annual fee for twelve months.

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Diners Club Award Changes and Bonuses

dining
Mar 21 2005

Starting April 1st 2500 Diners Club points will yield only 1500 Priority Club points, down from the current 2000. It will also take 3000 Diners Club points for 1 Southwest Rapid Rewards credit, up from 2000. Club Rewards members have until March 31 to redeem at the current rates. Meanwhile, transfers of Club Rewards points between May 1 and August 31 will receive a 50% transfer bonus just like last year. This is something of a disappointment because previous years had seen a 100% summer bonus. Between March 1 and May 31, transfers to USAirways earn a 25% bonus. (Registration required.)

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Frequent Flyer Advice: the End of Nuance and the Last Man

The Denver Post carries a piece in what seems like a neverending stream of stories on how difficult it is to use miles, and how miles are worth less today than ever before. (Hat tip to Today in the Sky.) The article makes the correct point that major airlines are on financially shaky ground. After two years in bankruptcy, United still lost over $300 million in January. But while the future of USAirways is up in the air, most flyers have little to fear in the immediate term over losing their miles. To name just one data point, American Express prepaid half a billion dollars for miles, they seem pretty confident about the future of the Skymiles program. Still, the article is correct that the number of miles required to redeem many awards has gone…

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The importance of credit card miles to airline bottom-lines

visa
Mar 20 2005

I’ve written here in the past about the importance of frequent flyer miles to airline bottom lines, and in particular the importance of co-branded credit cards which are the single largest source of non-flight miles. When United entered bankruptcy, BankOne (since acquired by JP Morgan Chase) provided $500 million in debtor-in-possession financing. The bank needed the airline to survive because their most profitable credit card product is the United Visa. Now the bank is talking about loosening restrictions on loan covenants in order to allow the airline room to operate. American Express pre-paid the purchase of $500 million worth of Skymiles in order to keep Delta out of bankruptcy. Again, an airline is kept afloat because it’s needed to sustain a credit card business. Credit card miles are big business, and not just for the…

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Are people on eBay just crazy?

I received my Mac Mini last week (from the free iPods folks). It seemed cool, it was really small, but what in the world was I going to do with it? I just decided to sell it on eBay. Someone bought it for $600, which is about $100 more than retail. Frankly I don’t understand people sometimes. I’m still working on getting the free Playstation Portable and the free digital camera. I’m really enjoying the free iPod Shuffle. I have the photo iPod, which is great for transferring pictures onto, but for daily use nothing can beat the little Shuffle which is the size of a stick of gum. It’s still new enough that I get looks on the metro as people try to figure out what it is. It’s the easiest of the free…

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This strikes me as bad. Very, very bad.

cheerleading
Mar 19 2005

A state representative in Texas wants to ban sexy cheerleading. Legislation filed by Rep. Al Edwards would put an end to “sexually suggestive” performances at athletic events and other extracurricular competitions. “It’s just too sexually oriented, you know, the way they’re shaking their behinds and going on, breaking it down,” said Edwards, a 26-year veteran of the Texas House. About the only redeeming thing in this idea is a middle-aged state legislator talking about young girls “shaking their behinds, breaking it down.”

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