Issue #27  --  January 14, 1999

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United Imposes Carry-on Limits at Sea-Tac
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On Wednesday, United expanded its controversial carry-on restrictions to a fourth airport, Seattle.

At LAX, Chicago O'Hare and Denver, United has installed baggage templates in front of X-ray machines at security checkpoints. Bags which cannot fit through the template's 14-by-9-inch opening must be checked.

United reports that the new procedure has significantly reduced the number of flights delayed by slow boarding.

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United

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Triple FlightFund Miles for Thrifty Rentals
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Thrifty Car Rental is offering triple miles to members of America West Airlines' FlightFund frequent-flyer program effective now through June 30, 1999, at all international Thrifty locations.

FlightFund members will receive triple miles of 150 miles per rental day instead of the usual 50 miles per day. Triple miles are good on rentals beginning January 1, 1999, through June 30, and are limited to a maximum of 14 rental days. A flight segment is not required to receive the miles. The offer is good at all Thrifty airport and suburban locations.

>> More <<
o America West
o Thrifty online

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Delta Gives SkyMiles for Car Purchases
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Delta Air Lines and Automotive Dealers' Marketing (ADM), America's largest auto buying company, have joined together to offer Delta SkyMiles members a new way to earn bonus miles. Called the "SkyMiles Auto Buying Program," it allows SkyMiles members to earn up to 15,000 bonus miles with the purchase or lease of any new car or truck from one of hundreds of participating dealerships across the country. Members can also earn 10,000 bonus miles with the purchase of any used vehicle, regardless of price.

SkyMiles bonus miles are earned based on the amount spent.

In addition to miles-for-purchases, the SkyMiles Auto Buying Program allows members to earn one bonus mile for every dollar spent on maintenance, service or repairs and also receive 1,000 bonus miles when they purchase an extended service warranty to protect their existing vehicle.

Based in Los Angeles, ADM represents more than 3,000 dealerships in 50 states, with over 450 participating in the SkyMiles program. Founded in 1980, the company provides auto buying services to many of the largest consumer groups in North America, including the American Automobile Association (AAA), American Association of Retired Persons (AARP), and the Canadian Automobile Association (CAA).

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o SkyMiles members can call 1-888-310-3435 for the nearest participating dealer.
o Delta online

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Northwest's Miles-for-Meals
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Beginning immediately, Northwest Airlines WorldPerks members can earn WorldPerks miles at U.S. restaurants when they enroll in Northwest's new WorldPerks Dining for Miles program.

Northwest's Dining for Miles program is complimentary and open to all WorldPerks members who reside in the United States and dine at participating restaurants. Members must call 1-800-232-3947 to enroll in the new Dining for Miles program and register up to three of their credit or debit cards for use when paying their dining bills. Visa, MasterCard, American Express, or the Discover Card credit cards as well as Visa or Master Card debit cards qualify. The new program is totally discreet and does not require a separate ID or program card for use.

Up to 6,000 miles per visit will automatically be credited to the members account based on a maximum limit of $600, including food, beverage, tax and gratuity. Members will receive miles on their first visit each month at each participating restaurant.

Participating restaurants are located in major metropolitan areas nationwide, including Minneapolis/St. Paul, Detroit, New York City, Los Angeles and Chicago. Members can use a 24-hour phone access system to obtain up-to-date restaurant listings via a toll-free fax-back service or through an automated audio review of restaurants.

Bon apetit!

>> More <<
Northwest online

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AAdvantage Miles for 1-800-FLOWERS
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American Airlines has added 1-800-FLOWERS to the AAdvantage program.

AAdvantage members can now earn 10 miles for every dollar spent with 1-800-FLOWERS. In addition, AAdvantage top-tier members earn bonus miles on each order.

Under the new program, AAdvantage members can earn miles on orders placed through 1-800-FLOWERS' toll free number, orders placed over the Internet, and purchases made at participating 1-800-FLOWERS retail stores.

AAdvantage members can also earn the same number of miles on purchases from 1-800-FLOWERS' catalog companies. Fresh Home & Garden offers gifts and home decor products featuring a floral relationship or motif; Plow and Hearth features products for the home, hearth, yard and garden; and American Country Home offers a full line of home furnishings.

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AAdvantage members interested in purchasing flowers or gifts should call 1-800-FLOWERS (1-800-356-9377), visit the co-branded web site, or stop by a participating 1-800-FLOWERS store.

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Mileage Plus Miles for FTD Flowers
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Not to be outdone by American's miles-for-flowers initiative, United is launching its own.

Effective immediately, Mileage Plus members can earn miles when purchasing flowers through 1-800-SEND-FTD and ftd.com, the direct source for FTD. Members will earn 300 miles for a minimum FTD purchase of $29.99, and 100 additional miles for each $10.00 spent.

Founded by a group of florists in 1910, Florists' Transworld Delivery, Inc. (FTD) links 20,000 florists throughout the U.S. and Canada and through its international affiliates, and connects over 52,000 florists in 140 countries around the world. Consumers can order FTD flowers and receive Mileage Plus miles by calling 1-800-SEND-FTD (1-800-736-3383) or by visiting the FTD web site.

>> More <<
o United
o FTD

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United Links to E*TRADE
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E*TRADE Group Inc. and United Airlines today announced a marketing agreement to enable both E*TRADE customers and United Airlines Mileage Plus members to earn up to 50,000 Mileage Plus miles per year. Under the agreement, Mileage Plus members will have several options to earn Mileage Plus miles, including opening a new E*TRADE account and referring new customers to E*TRADE. The promotion is expected to begin in February 1999.

Additional information will be available next month on the Destination E*TRADE web site.

A provider of online investing services, E*TRADE has established a popular website for self-directed investors. The company offers independent investors the automated stock, options and mutual funds order placement at low commission rates. In addition, E*TRADE has a suite of value-added products and services that can be personalized, including portfolio tracking, real-time stock quotes, Smart Alerts, market commentary and analysis, news, investor community areas and other information services.

>> More <<
o E*TRADE
o United

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Cathay Offers Miles for (Some) Economy Class Travel
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The good news: Cathay Pacific will offer American Airlines AAdvantage miles to economy class passengers beginning February 1, 1999.

The bad news: mileage accrual will apply ONLY to passengers booked in Y or W class. These are full, unrestricted fares, and as such are significantly more expensive than those typically purchased for economy-class travel. So in fact, very few of Cathay's economy-class customers will be eligible for AAdvantage miles.

Far be it from us to second-guess Cathay's marketing strategy. What begs comment, however, is the miscommunication this strategy will likely engender. To many (most?) travelers, economy class = economy class = economy class. The challenge for Cathay will be to communicate the restriction sufficiently clearly to prospective customers that there will be no misunderstanding.

The airline already offers AAdvantage miles to first and business class passengers when traveling on Cathay Pacific. Additionally, miles earned on Cathay Pacific now count toward AAdvantage elite status.

Miles may only be earned on flights operated with Cathay Pacific aircraft. Codeshare and joint venture flights operated by other airlines are not eligible for AAdvantage mileage accrual.

On the West Coast, Cathay Pacific offers twice daily nonstop service from Los Angeles and once daily nonstop service from San Francisco to Hong Kong. Across the country, Cathay Pacific offers the only daily direct service from New York's JFK International Airport to Hong Kong. Altogether, the airline serves more than 45 destinations on five continents, with a host of convenient, effortless connections to major Asian destinations via its "Super Hub" at the new Hong Kong International Airport.

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o Cathay Pacific's North American reservations center: 1-800-233-2742
o Cathay online

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Northwest Changes Telecom Partners
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Sprint and Northwest Airlines announced a new partnership that will enable customers to earn up to 16,500 WorldPerks frequent flyer bonus miles -- more than three-fourths of the way to a free ticket -- when they use Sprint's complete portfolio of services, including long distance, Internet service and nationwide paging. In addition the two companies announced that they planned to quickly expand their agreement to offer additional rewards for wireless services through Sprint PCS.

To encourage customers to take advantage of the new partnership, Sprint will offer up to 16,500 WorldPerks bonus miles to Northwest frequent fliers who sign up for Sprint telecommunications services, including residential long distance, EarthLink Sprint Internet access service, and paging. Once enrolled in the Sprint WorldPerks program, customers will earn 5 WorldPerks miles for every dollar spent with Sprint. Sprint and Northwest intend to expand their agreement to include Sprint PCS wireless services.

Sprint replaces MCI Worldcom as Northwest's WorldPerks telecommunications partner.

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o Customers can enroll in the Sprint WorldPerks program by calling toll-free 1-877-NWA-SPRINT (1-877-692-7774).
o Sprint's website
o Northwest

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If Airlines Sold Paint
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The illogic and, some would say, insanity of airline pricing is legendary. Here's an analogy which should shame any right-minded airline pricing manager into implementing mileage-based fares. (Thanks to R.B. for sending this along.)

If Airlines Sold Paint - Author Unknown
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>> Buying paint from a paint store... <<

Customer: Hi, how much is your paint?

Clerk: We have regular quality for $12 a gallon and premium for $18. How many gallons would you like?

Customer: Five gallons of regular quality, please.

Clerk: Great. That will be $60 plus tax.

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>> Buying paint from an airline... <<

Customer: Hi, how much is your paint?

Clerk: Well, Sir that all depends.

Customer: Depends on what?

Clerk: Actually, a lot of things.

Customer: How about giving me an average price?

Clerk: Wow, that's too hard a question. The lowest price is $9 a gallon, and we have 150 different prices up to $200 a gallon.

Customer: What's the difference in the paint?

Clerk: Oh, there isn't any difference, it's all the same paint.

Customer: Well, then, I'd like some of that $9 paint.

Clerk: Well, First I need to ask you a few questions. When do you intend to use it?

Customer: I want to paint tomorrow, on my day off.

Clerk: Sir, the paint for tomorrow is $200 paint.

Customer: What? When would I have to paint in order to get $9 paint?

Clerk: That would be in three weeks, but you will also have to agree to start painting before Friday of that week and continue painting until at least Sunday.

Customer: You've got to be kidding!

Clerk: Sir, we don't kid around here. Of course, I'll have to check to see if we have any of that paint available before I can sell it to you.

Customer: What do you mean check to see if you can sell it to me? You have shelves full of that stuff; I can see it right there.

Clerk: Just because you can see it doesn't mean that we have it. It may be the same paint, but we sell only a certain number of gallons on any given weekend. Oh, and by the way, the price just went up to $12.

Customer: You mean the price went up while we were talking?

Clerk: Yes sir. You see, we change prices and rules thousands of times a day, and since you haven't actually walked out of the store with your paint yet, we just decided to change. Unless you want the same thing to happen again, I would suggest you get on with your purchase. How many gallons do you want?

Customer: I don't know exactly. Maybe five gallons. Maybe I should buy six gallons just to make sure I have enough.

Clerk: Oh, no sir, you can't do that. If you buy the paint and then don't use it, you will be liable for penalties and possible confiscation of the paint you already have.

Customer: What?

Clerk: That's right. We can sell you enough paint to do your kitchen, bathroom, hall and north bedroom, but if you stop painting before you do the other bedroom, you will be in violation of our tariffs.

Customer: But what does it matter to you whether I use all of the paint? I already paid you for it!

Clerk: Sir, there's no point in getting upset; that's just the way it is. We make plans based upon the idea that you will use all of the paint, and when you don't, it just causes us all sorts of problems.

Customer: This is crazy! I suppose something terrible will happen if I don't keep painting until Sunday night?

Clerk: Yes sir, it will.

Customer: Well that does it! I am going somewhere else to buy paint!

Clerk: That won't do you any good, sir. We all have the same rules. You might as well just buy it here, while the price is now $13.50. Thanks for flying - I mean painting - with our airline.

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Travelocity Speeds Online Bookings
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Online travel bookings just got easier at Travelocity.com, the online travel agency, with the introduction of an express buy feature and a reduced-graphics version of their online booking process.

With the new express buy feature, Travelocity.com customers now are able to purchase airline tickets with just three clicks of the mouse. The reduced-graphics version decreases the amount of time it takes to make an air, car or hotel reservation to less than two minutes.

Details on the new Travelocity.com features:

-- Express buy feature -- The process for booking air reservations on Travelocity.com has been reduced from 12 pages to three clicks. Members who store key information in their profile are able to take advantage of this feature by clicking on the "Express Buy" button displayed under the current "Buy" button.

-- Reduced-graphics version -- By clicking on "Text-based Reservations" from the Reservations Menu, users are able to remove most graphics, decreasing the amount of time it takes for the page to download on their screen.

Travelocity.com is owned and operated by The SABRE Group, a world leader in the electronic distribution of travel and travel-related services. According to SABRE, Travelocity.com provides reservations capabilities for more travel providers than any other Internet site with more than 420 airlines, representing more than 95 percent of all airline seats sold, more than 40,000 hotels, and more than 50 car rental companies. This reservations capability is paired with access to a vast database of destination and interest information. To date, The SABRE Group has sold more than 2.5 million airline tickets online and since its launch in March of 1996, Travelocity.com has registered more than 4 million members and logs more than 55 million page views per month.

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Travelocity

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Site Suggestion
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Internet users who frequent airline websites to conduct research and book their travel say Continental Airlines has the best user-friendly Web site of all the major carriers, according to a recent survey comparing airline Internet sites.

The survey was conducted by the NPD Group, a marketing research firm.

We agree. The Continental site got it right, avoiding the excessive graphics (and long download times) of United and American's sites, while offering easy navigation and deep functionality.

>> More <<
Continental's website

Until next week...