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If You Fly United, Soon There May Be No Way Out

May 20 2015

Under United’s new mileage-earning program, miles are earned based on the price of the ticket not the distance you fly. And they seem to be stamping out, one by one, the places you can go to still earn full mileage — United airline partners, one by one, are reducing the miles earned on United discount fares. This is no accident. When will there be no options left?

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Starwood’s CEO Has a Unique View on Loyalty

ronald mcdonald in united plane toy
May 03 2015

Adam Aron no longer has ‘interim’ in his Chief Executive Officer title at Starwood. He launched Pan Am’s first frequent flyer program. As Hyatt’s Chief Marketing Officer he launched Gold Passport. I had the pleasure of interviewing him on stage at the Travel Executive Summit on Thursday in Atlanta. Aron was Senior Vice President of Marketing at United and I got to tell the story about his economy meals partnership with McDonalds (the associated happy meal toys available on United’s Orlando flights are still available for sale on eBay). United replaced the galley carts to keep the burger warm while the lettuce and bun stayed cool. He was CEO of Norwegian Cruise Lines, of a chain of ski resorts, and later went into private equity. He became part owner and CEO of the Philadelphia 76ers.…

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American AAdvantage Just Made One Shocking Change to Its Terms and Conditions

Apr 01 2015

The American AAdvantage program recently updated its terms and conditions. They added this sentence: To the full extent allowed by law, these Terms and Conditions disclaim any duty of good faith and fair dealing as well as any implied contractual terms or obligations. That’s pretty striking language — they have no “duty of good faith and fair dealing” — and my conclusion is that this means either nothing at all or at most only one thing: American doesn’t have very good lawyers.

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Here’s How the US Airlines Can Compete And Win Against the Big Gulf Airlines (Instead of Lobbying the Government for Protectionist Policies)

Mar 27 2015

I’ve written extensively about the protectionism that US airlines are seeking from the government in bashing Emirates, Etihad, and Qatar — and about the hypocrisy as US airlines lobby for and take huge subsidies while attacking only those competitors they’re worried about for doing the same thing while ignoring the even greater subsidies offered to state airlines that they partner with (Think for instance Delta and Saudia, United and Air India). Gulf Carriers Receive Subsidies and So Do US Airlines There are certainly subsidies that have at various times helped to prop up the various major Gulf airlines, as we’ve seen with airlines around the world. Sometimes those subsidies have seemed larger than life, though it’s easy to forget the privileged position over time of British Airways at Heathrow and the gifting of Concorde. And…

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