Category Archives for Airlines.
Two years ago Delta and American eliminated their interline agreement the most basic level of airline cooperation. That’s the agreement necessary to allow flights on the two airlines to exist on the same time, and that’s necessary for one airline to put its distressed passengers on the other carrier — without literally walking over with a credit card to buy a passenger a ticket.
As a general matter I think any airline whose operations are being run by Scott Kirby is going to get worse not better for customers in terms of passenger experience. At the same time there’s no one in the industry I’d rather listen to because he’s earnest and thoughtful and lays out more clearly than anyone else his belief about how his business, and the broader industry, works.
He walked through airline economics, United’s positioning, and marginal analysis with a primary goal of convincing investors it is okay for United to grow.
The point of ‘Basic Economy’ fares — which don’t let you assign seats in advance, upgrade, or make changes for a fee, and at United and American don’t allow you to bring a full-sized carry on onto the plane — is to make the travel experience so unpleasant you don’t want the fare, and will spend more to avoid the restrictions.
The risk is that customers don’t spend more with the airline offering the inferior Basic Economy product, but instead book a different airline instead (or even just decide not to travel). That’s what happened when United launched their basic economy product. They lost business. And they lost about a hundred million dollars.
In the middle of last year American started flying its first plane with high speed satellite internet. I lucked into flying the aircraft at the beginning of November, and internet worked though I was surprised it wasn’t faster. I know what Gogo’s 2ku service can do unthrottled and I wasn’t getting anything like those speeds.
I flew American’s inaugural 737 MAX flight at the end of November and the ViaSat satellite internet didn’t work well.
NIKI was driven into insolvency with the collapse of air berlin and withdrawl of support from Etihad. It was expected that the Austrian carrier would go to Lufthansa (specifically their low cost subsidiary Eurowings), but European competition regulators shut down that possibility.
Ultimately British Airways parent IAG was left as the lone remaining company seeking to negotiate a purchase of assets.
Years ago there was a story about former American Airlines CEO Bob Crandall having olives removed from first class salads, saving $40,000 a year. Small savings add up across all an airline’s flights and passengers. So carriers are often very careful about their pennies in catering.
In the spring of 2001 United replaced steak at lunch with gourmet cheeseburgers. Today’s inflight burgers on domestic airlines are much smaller and I find with lower quality meal. They keep figuring out ways to push the savings envelope farther.
A roundup of the most important stories of the day. I keep you up to date on the most interesting writings I find on other sites – the latest news and tips.
I’ve gotten amazing deals on British Airways premium cabin travel. I’m not a huge fan of the BA product but they run sales frequently and when those sale prices could be reduced by the AARP discount (AARP tells me there’s no minimum age to join, so I did) and the Chase discount — I made out very well.
Delta, American and United for three years have argued that the US government needed to take a protectionist stance against Emirates, Etihad, and Qatar. They’ve argued it’s unfair, they shouldn’t have to ‘compete against governments’ which is a rather strange position. Because if they can’t even compete against government airlines what good are they?
After failing to get what they want over the course of 3 years, Delta’s CEO in an interview appears to shift focus — arguing we shouldn’t lump the 3 Gulf airlines and that Qatar’s business model is different.
Delta announced that starting March 1 they’ll be requiring new advance documentation for passengers bringing ’emotional support animals’ on board their aircraft.
Basically they say the whole fake emotional support thing has gone too far. Delta carries 250,000 service and support animals each year — up 86% since 2016. And we’re not just talking about trained dogs, “[c]ustomers have attempted to fly with comfort turkeys, gliding possums known as sugar gliders, snakes, spiders and more.”
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 »
