Hyatt Openng 40 West Coast Hotels Over Next Two Years

japanese style room
Jan 29 2019

Hyatt announced today that they would open 40 hotels on the US West Coast by 2021. They’re really just describing the current pipeline and there are a few things to note. We know about several of these properties already.

This significant growth in Hyatt’s footprint, however they’re stretching to get to their 40 and limited service is the name of the game.

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Airline Downgraded John Kasich – But He Wouldn’t Leave First Class

kasich
Jan 28 2019

Earlier in the month Alaska Airlines needed to bump a passenger from first class on a New York JFK to San Francisco flight for a pilot traveling to a duty assignment. The passenger they downgraded to economy was John Kasich, who just finished serving 8 years as Governor of Ohio and who sought the Republican nomination for President in 2016.

Only Governor Kasich didn’t leave the first class cabin, he sat down in another passenger’s seat instead.

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Why Banks Will Keep Paying Big Credit Card Rewards (Until the Economics of Cards Change)

credit cards
Jan 28 2019

Recently the Wall Street Journal wrote about banks trying to control rapidly spiraling rewards costs. I didn’t take seriously the idea that banks would cut back on rewards to consumers to do this because they are offering rich rewards for a reason: they need to do so to attract consumers which earn them a piece of every transaction (plus annual fees, and interest when they don’t pay off their bills).

Josh Barro though takes on the broader claim about banks backing off of big rewards in New York magazine.

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My Credit Card Predictions for 2019 and Beyond

What 2018 Taught Us What to Expect in 2019 The Future of Credit Card Rewards There’s a reasonable risk of recession some time in 2019. The Federal Reserve has been raising interest rates. Together that means higher cost of capital for banks and greater repayment risk on the credit they extend. As a result I see approval standards for premium rewards cards tightening. Initial cardmember bonuses remain crucial to attracting customers and demonstrating to them that the card has value quickly, in order to encourage moving a new card top of wallet. The fact that Barclays wasn’t successful with Arrival Premier moving consumers to a model of rewarding them after they’ve proven their value to the bank means that issuers can’t move away from big up front rewards. I continue to be impressed by how…

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Delta’s New Color Coded Boarding is Live, Internal Memo Admits They’re Trying to Upsell You

Jan 28 2019

When Delta announced a new boarding process last month I gave it only a minor note since there’s very little actual change despite the hype about colors, simplicity and a better experience.

In an internal memo to employees Delta explains the strategy of their new boarding process — including making it clear to customers what they’re buying when they spend more.

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The One Flight in America to Avoid More Than Any Other

back of airplane seats
Jan 28 2019

Starting in May American Airlines is launching what may be the worst flight in the world, Miami to Brasilia in South America with a Boeing 737 MAX. The flight is blocked at over seven and a half hours and spans 3600 miles.

Now American Airlines is launching a domestic flight that’s nearly as rough because it takes the same product and flies it nearly as long without leaving the country.

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Breakdown: Woman Can’t Face the Idea of Four Hours in a United Coach Middle Seat

people on plane
Jan 27 2019

Every single day an inner battle boils in the skies, just below the service, threatening to bubble over.

A passenger videotaped a woman melting down after boarding her United flight. She said she had four hours ahead of her in a middle seat. She declares “I can’t do this.” She complains also about the size of the two passengers on either side of her. She says she’s small in comparison (she isn’t), “I eat salad.”

But that’s not what makes this story absolutely perfect. There’s an Easter egg in the video.

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