Starwood Announces Hotel Category Changes for 2016, Redemption Prices Going Up and Down

Feb 18 2016

Starwood just announced changes to hotel reward categories going into effect March 1. (HT: SPG Champion As with Marriott there are no new higher redemption categories being introduced (Starwood introduced category 7 back in 2007).

As I understand it hotel categories in the Starwood system are determined based on projected average daily room rates for the year ahead. When rates are expected to drop, categories fall. With rates projected to be higher than they had been projected to be the year before, categories rise.

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Dear American Airlines, Please Don’t Create Even More of a Hodgepodge Fleet With a New Internet Provider

Feb 18 2016

To be the airline that American wants to be, they need to offer a high quality product and they need to do it consistently. In other words they need to offer the same high quality product every time.

One area where they once led, but have lagged behind in recent years, is inflight internet. Fortunately American Airlines wants to improve internet speeds onboard. That’s fantastic. They exercised a contract right they have with Gogo to start the clock terminating their contract for about 200 aircraft. This allows American to seek a bid from a competing provider (so far disclosed as Viasat) while also obtaining a bid for better service from their current provider, Gogo.

But it would be bad for both customers and the airline to add a new internet provider.

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Hilton and American Airlines Trade Elite Customers

Feb 18 2016

Delta and Starwood introduced Crossover Rewards, an attempt to share each others’ best customers — they will tell you that Starwood customers fly Delta more and spend more with Delta, for instance. Marriott and United got into the act together.

That’s left American and Hilton as the only remaining possible dance partners. Hyatt has too small a footprint to be the major partner of the world’s largest airline, and IHG Rewards Club doesn’t have a meaningful elite program.

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More Levels May Be Coming to the Top of American AAdvantage, “Segmentation is the Word”

Feb 18 2016

“Segmentation” isn’t the word customers want to hear. It’s not “relationships,” “value,” or “loyalty.” It generally suggests extracting more revenue, and providing less value except to a subset of members.

American brings thousands of employees to Dallas for a day of presentations from senior executives about the direction of the airline and opportunities for networking. Some outsiders attend as well.

We get word out of American’s Leadership Conference that we can expect more segmentation at the top of AAdvantage in addition to the bottom of American’s customer base.

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Airline Puts Delayed Passengers in S&M-Themed Hotel, Makes Them Share Room

Feb 17 2016

When I experience flight delays that force an airport overnight, I make my own hotel booking and send the bill to the credit card company I used to buy the ticket.

I don’t stand in line and wait for the airline to give me a voucher for a hotel of their choosing. Because it’s highly unlikely to be a hotel I’d choose.

That’s a lesson learned by two women whose flight was delayed on Valentine’s Day.

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American Opening New Flagship Lounges With More Access and Introducing Sit-Down Dining

American is introducing new sit-down dining options for their premium Flagship lounges, adding new lounges and renovating others, and making their first class lounges available to more customers. Currently American has two primary types of lounges: Flagship lounges. These are American’s first class lounges, for those flying international first class (and 3-cabin first class transcon) and that American’s top tier elite members can use when flying internationally. Admirals Clubs. These are most of American’s clubs. Members buy access, use a premium Citibank credit card to gain access, or have access based on the class of service of their ticket. The “Flagship” name has an interesting history. American opened the very first airport club lounge in 1939. New York’s Mayor LaGuardia was criticized for having too big an office at New York LaGuardia airport so he…

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