U P F R O N T
Are Frequent Flyer Programs Dying?
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I get as many as 10 calls a week from reporters seeking "expert opinion" on various aspects of travel, and on mileage programs in particular. And readers of this and other publications keep a steady stream of e-mail comments and questions headed my way.
Which is to say that I have my finger pretty firmly on the pulse of all things frequent flyer program-related. And these days, that pulse is especially erratic, as consumers are whipsawed by anxiety over the programs' future.
There was an article in today's New York Times about moves in the rental-car industry to cut back on miles, or pass along the costs to consumers -- developments you read about in this newsletter months ago. The article plays to consumer fears, hypothesizing that the programs are losing their relevance, and implying that the end, mileage-wise, is near.
Hooey!
If you're wringing your hands and fretting over the future of frequent flyer programs -- and many travelers seem to be doing just that -- just take a look at the "Miles & Points" section of this week's Crier. With or without the enthusiastic participation of rental-car companies, the programs are forging ahead, adding partners, launching promotions, and redefining themselves for the post-9/11 era.
Yes, the changes are often distasteful to program participants. But they are changes made with a view to maintaining the programs' viability, not to disbanding them.
And remember: while the airlines' core business -- transporting passengers between points A and B -- is a money-loser, the sale of frequent flyer miles is highly profitable. To assume that airlines will kill mileage programs is to assume they will commit financial suicide. Not impossible; but not likely either.
M I L E S & P O I N T S ~ sponsored by Hertz
Corrections, Fresh Links
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In last week's issue, in the throes of a bad case of New Year's flu, I dropped a '0' in the report on US Airways' reliability guarantees. Once again: In the unlikely event you're deprived of the protection of a jetway when boarding US Air's Shuttle, you'll be compensated with 100,000 Dividend Miles.
If you're having trouble registering for United's systemwide double-mile offer, try this link: http://www.united.com/offer/mpd033. The phone number listed last week (1-800-447-6772) works as well, but only if you're quick. Have your Mileage Plus number, your zip code, and the promo code (657) at hand before you dial. If you're slow in responding to the prompts, you will be rudely disconnected. It took me 3 tries to successfully register.
And lastly, the link for more info on earning Best Western Gold Crown points for H&R Block tax services has changed. The new link: http://www.hrblock.com/taxes/partners/goldcrownclub/.
Air France Offers 2-for-1 Awards
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Through Mar. 15, members of Air France's Frequence Plus program will receive 2 award tickets for the price of 1 when redeeming miles for business- and first-class awards.
Separately, Air France is extending its Concorde award discount through Mar. 15. Redeem 160,000 miles (instead of the normal 320,000) for Concorde flights between JFK and Paris.
And through Mar. 31, if you're flying Air France as a revenue passenger, book online to receive 3,000 bonus Frequence miles, and earn yet another 1,000 bonus miles by choosing an e-ticket. Bonuses are for U.S. departures, booked on the Air France website.
> More...
Delta Charges Generate Triple Miles
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SkyMiles members who charge the purchase of Delta tickets or Crown Room Club memberships to their classic, Corporate, Gold or Platinum Delta SkyMiles credit cards will earn triple miles between Jan. 15 and Feb. 15.
Charge must be at least $250 to qualify for the bonus. Registration is not required.
> More...
Hyatt Adds Hawthorn Suites to Gold Passport
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Effective immediately, members of Hyatt's Gold Passport program can earn Gold Passport points at all Hawthorn Suites properties.
Members earn 3 points per dollar on eligible rates for Hawthorn stays, redeemable at Hyatt or Hawthorn Suites hotels worldwide. Free nights can be redeemed for 4,000 points per night at Hawthorn Suites and starting at 5,000 points per night at Hyatt.
Or, in lieu of points, Gold Passport members may elect to earn 300 airline miles per Hawthorn stay in the programs of American, Continental, Delta, Northwest, Southwest, United and US Airways.
> More...
Save with Marriott's PointSavers for 2003
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Marriott has released details of its PointSaver discounted hotel awards for winter, spring, summer and fall 2003.
Free room nights at participating hotels are discounted 1 category. So, for example, a category 7 hotel award is reduced to the level of a category 6 hotel, etc.
For participating locations, see http://www.Marriottrewards.com/awards/ and follow the link to PointSavers.
Southwest Partners with Choice, La Quinta Hotels
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Rapid Rewards members can now earn 0.5 credits for stays at 3,500 Choice hotels (Comfort Inn, Comfort Suites, Quality, Sleep Inn, Clarion, MainStay Suites, Econo Lodge, Rodeway In) in the U.S. or Caribbean.
Also part of the tie-up: members of the Choice Privileges program may redeem 5,000 points for 2 Rapid Rewards credits. For more details, visit http://www.choicehotels.com or call the Choice Customer Service Center at 1-888-770-6800.
The partnership with La Quinta is much the same: Rapid Rewards members who are also members of La Quinta's Returns program can earn 0.5 Rapid Rewards credits for stays at La Quinta Inns or La Quinta Inn & Suites. Plus, La Quinta Returns members may redeem 5,000 Returns points for 2 Rapids Rewards credits. More information is at http://www.lq.com, or 1-800-642-4258.
We applaud the new additions. But hey, Southwest, isn't it time to extend the life of Rapid Rewards credits? Points that expire after 12 months... that's a thumb in the eye of consumers.
> More...
Double United Miles for Charges
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Through Feb. 28, United Mileage Plus Visa charges at restaurants and home-improvement retailers will earn double Mileage Plus miles. The extra miles are credited automatically -- no registration required.
According to United, the double-mile offer is part of the "More Miles" program, a new series of special offers for cardholders.
> More...
Sprint Is New United Wireless Partner
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United Mileage Plus members can now earn 5,000 bonus miles for each new Sprint PCS account -- up to 5 accounts for 25,000 miles. The Bonus Miles will be awarded in 2 installments and a 1-year PCS Advantage Agreement is required.
This PCS offer is available in Sprint Stores nationwide or online at http://www.sprintpcs.com/united.
S T E A L S & D E A L S
Deal Alert from SmarterLiving.com
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This week's hot deals from SmarterLiving.com...
Fly cross-country or to San Juan, PR, from $178 R/T
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Spirit's newest sale fares offer savings to/from New York (LaGuardia), 5 cities in Florida, selected destinations in the Midwest and West, and San Juan, Puerto Rico. Travel is valid through June 15; higher fares apply between Feb. 13 and Apr. 30. Book tickets by Thursday, Jan. 16. No advance purchase or minimum stay is required.
> More...
European fare sale from $208 R/T, with free stays in London
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British Airways has announced a sale that includes discounted fares to over 40 destinations and a free two-night stay in London when you buy tickets. Other airlines have matched these fares on selected routes, including Virgin Atlantic, which has released a sale on flights to London from selected East and West Coast cities.
Travel is available through Apr. 14, with the lowest fares valid for trips completed by Mar. 2. On both airlines, book tickets at least 7 days in advance and by Thursday, Jan. 23.
> More...
T R A V E L S W E E P S T A K E S
From Starwood: True Redemption Sweepstakes
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Enter the True Redemption Sweepstakes for a chance to win 1 of 60 5-night stays at Starwood hotels and resorts voted by Conde Nast Traveler readers as the best in the world. Alternatively, winners can choose to receive 50,000 Starpoints.
To enter, sign up online to be entered automatically every time you stay at at Starwood between Jan. 15 and Mar. 15. Or, you can enter by mail without making a Starwood stay. Details are on the Starwood website. Go to http://www.spg.com and follow the Sweepstakes links.
R E A D E R R A N T S & R A V E
This Week's E-mail Bag
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"I see that America West has reduced its online booking promo from 3,000, now it is 500 (as of 1/1/03). That 3,000 mile promo was important in the comparison of whether to fly America West or Southwest (the latter with its double credit promo to the Rapid Rewards program)."
- Kevin
"... This whole negative experience with United makes me want to share with you a few ideas and recent experiences I have had with United. The first thing United could do to help their repeat customers: watch fares and match the competition. I tried to book a flight from the Washington area to Lincoln Nebraska and found United's flights to be consistently $100 more than American airlines. Even from BWI, where Southwest has pushed down fares, United was still $100 higher than American. I spent some time trying to put together different flights to make a United flight work because I need to earn United frequent flyer miles to book a free trip to Europe. In the course of doing that, I ended up finding an even cheaper Northwest airlines flight from BWI to Lincoln for $210 less than United. So I am going on this trip on Northwest, and United gave up at least $258 in revenue it could have received from someone who really tried to fly on United to earn miles.
"The second thing they need to do is fix glitches on their website which cost you loads of time when you are trying to buy a United ticket online. Perhaps they are too busy with other things right now, but if they don't fix these simple things, they will lose so many customers they will bankrupt permanently.
"The major problem is with their website design. You can search for a flight and save an itinerary, but if you go to call the itinerary up and try to purchase it, there is no button available for purchase. It only lists the first flight segment of your departure and return flights, and there is no way to call up the itinerary. You have to reconstruct the entire itinineray, and any seat assignments you reserved are lost. Starting over again is a tedious burdensome process that makes you fume over your keyboard.
"I wasted over an hour trying to figure this out, and finally gave up, even after calling a United web technical person who could only report that the site had recently been changed and there was nothing they could do to help.
"I can't resist the opportunity to ask why none of the major US airlines use the system Southwest airlines website uses for flight searches. There is no easier method than Southwest's for building a flight where you can see exactly which flights are available on each day, for the entire day, and for every fare level, all in one table on one web page - and the return flights!
"If every airline President, and member of their Board of Directors, had to buy tickets on their own airline's website, they would change their own websites to match the competition. First someone needs to show them how easy the Southwest Airline website reservation system is, and then they need to hire web designers who can build a similar system. But I guess their secretaries are booking their flights for them, so they never learn what the average consumer has to go through, and why they didn't purchase a ticket on their airline. They only file for bankruptcy and wonder why."
- Mark
Until next week...
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