Category Archives for Airlines.
Once American Airlines is no longer restricted from laying off employees as a result of the CARES Act – October 1, 2020 – they will start staffing flights were fewer flight attendants. It will mean more furloughs and lower service levels.
Just before the pandemic grew out of control, American Airlines data revealed that frequent customers represented a declining share of airline revenue.
It seemed that a combination of award chart devaluation (higher prices for the best awards), product devaluations (less space per passenger on domestic narrowbody aircraft) and making status harder to earn (minimum spend requirement and taking away the ability to earn as much towards that via credit card) had in fact pushed frequent customer share of wallet towards competitors.
United’s CEO is personally approving ice, coffee and tea. That’s Scott Kirby the micro-manager, in contrast American’s CEO wasn’t involved in the decision to eliminate meals from first class on most of their domestic flights.
On Saturday I told you that a big international route announcement was coming from Americanincluding, quoting internal comments by CEO Doug Parker, “what we plan to fly next summer and what we don’t plan to fly.” That announcement is now out.
They’re revamping their international strategic focus, and bringing back many routes for summer while break-even load factors are so low thanks to the CARES Act. LAX is no longer their Pacific hub. They’re doubling down on close partnerships. And that means a lot of flight changes.
CDC Director Robert Redfield has something to say about American Airlines. He thinks it’s horrible that American will sell middle seats on planes, which he explained in response to a question by Senator Bernie Sanders, In doing so he seems not to know that American Airlines hasn’t blocked middle seats throughout the pandemic, and other airlines like United haven’t done so either.
It’s troubling that six months into the coronavirus crisis the CDC is only just now studying whether or not distancing on planes matters.
U.S. airlines eliminating inflight alcohol is as much cost-cutting as it is a coronavirus protection measure. Serving a customer tomato juice isn’t safer than serving that tomato juice with vodka. Eliminating booze in domestic economy, where airlines were charging for it, is another measure – because that eliminates the need for a payment transaction, an interaction between flight attendant and passenger. Still, American Airlines dropped alcohol service in “Main Cabin Extra” extra legroom coach, where it was previously free. Delta eliminated it even in first class as well as their “Comfort+” extra legroom coach seating. When few people were traveling, and there was little competition in service, the bet was this didn’t matter. Of course dropping meals and booze from most flights meant little reason to ‘buy up’ to a bigger seat (especially when Delta,…
Delta, JetBlue, Southwest, and United Airlines no longer expire frequent flyer miles. American Airlines expires miles after 18 months of account inactivity. Alaska Airlines expires miles after 24 months of inactivity.
Starting July 1, American AAdvantage will no longer expire miles for accountholders who are less than 21 years old.
This is a good reminder that there are people who are thrilled that international travel has grinded to a halt, and that flying is severely depressed amidst the global pandemic.
My home state of Texas is seeing a surge of cases, including in the Dallas area. But American Airlines flight crew at DFW and Dallas-based ground staff were photographed not wearing masks.
When airline employees don’t wear masks, they’re endangering passengers and scaring them away. That’s bad for business. And when employees don’t wear masks, passengers model them. It’s tough to get passengers to wear masks when pilots don’t.
A crisis is an opportunity to rethink the business. In normal times there are plenty of good reasons not to take chances, and too many entrenched interests standing in the way. Those are largely swept away. And the old arguments favoring the status quo hold little weight when the status quo is no longer an option.
Parker is right that the pandemic and rebuilding the airline’s routes and traffic from almost zero is an opportunity to re-think the business. Unfortunately he does not articulate here a creative new vision for how American Airlines might do that.
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 »
