A Glimpse at How American’s Revenue Requirement for Status Will Work on Partners

Jun 15 2016

Earning American AAdvantage elite status is going to require minimum spending next year in addition to miles flown.

Like Delta, they are making it possible to earn qualifying dollars when flying on partner airlines. American will not get the data on the fare for each segment if the flight doesn’t have an American Airlines code on it, so they’re going to award qualifying dollars based on distance and fare class.

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My Mental Model of United, Delta, and American

Jun 15 2016

I have a basic framework for how each of the three major US airlines operates today. The variance between them is shrinking, as Delta is the best-run overall of the three and the most admired. Both United and American executives have spoken glowingly of their rival, and clearly want to be more like them.

This framework is useful to me as I see news about an airline. Every item gets processed alongside a context for who the airline is, what’s in its DNA. That news either comports with my pre-existing model, or conflicts and requires updating the model.

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TV Food Host Asks a Fundamental Question About Airline Elite Status

Jun 14 2016

TV food personality Alton Brown tweets his unhappiness with Delta SkyMiles Platinum status.

What’s going on with upgrades is that Delta now monetizes 57% of its domestic first class seats and projects getting to 70% in 2018. When there are no more ‘leftover’ first class seats, that’s the end of first class upgrades. It’s a far cry from a decade ago when only 10% of forward cabin seats were purchased directly.

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