Programs: AS MVP Gold, 7H Flyaway, F9 Early Returns, DL Skymiles, NW Worldperks, AAdvantage, UA, go!
Posts: 369
I'm on vacation and missed the announcement - what a read to catch up on this thread!
Several thoughts:
1) I see it as a devaluation. I understand the reasoning - cost... But, the other factor I see that hasn't really been mentioned is that for those that earn most of their miles buy actually flying, the cost of earning those miles has skyrocketed. For instance, I am on a paid, months advanced purchase coach discount ticket to the Midwest from ANC. Cost? $1000+ It's costing me double to earn the miles now, and I'll have to fly even more to earn enough to redeem.
2) Overall, increasing reward redemptions wasn't a big surprise...and I'm not all that unhappy about the 25,000 for domestic saver awards. I think the 3 tier system is the worst news in the whole announcement. Supersaver will be scarce...and before you know it, a 55,000 mile domestic coach award is going to be the only thing available half the time.
3) Hawaii and domestic travel got hit hardest. In state awards are the best news...and Mexico was not so bad. I think the crazy increases in Hawaii fares call for yet one more level - AK - HI awards that apply to the non-stop flights only; the redemption is unreasonable for those flights.
4) $25 fees for all partner travel - aren't there already huge fees, taxes and surcharges on many of the international tickets? Another $25 doesn't really make sense for those.
4) I think the letter is a good idea - I'm in. My biggest criticism is the 3 tier system, and the fact that increasing redemption levels isn't acknowledging the increased cost of earning the miles as above.
5) Alliance - I doubt this means an alliance, but if it does, the WORST news is going to be changes to status requirements.
Happy flying everyone - as has been pointed out several times, no matter how painful it seems, these changes are the new reality. My free predictions:
-it's going to get even worse in general.
-more carriers are going to go out of business; I'll bet we lose at least one of the big boys soon...and not to a merger.
-flying is going to return to be a luxury of the upper middle class and above...no longer families of 4-6 middle class folks flying to Hawaii or Mexico or California on vacation. The American dream is changing!
1) I see it as a devaluation. I understand the reasoning - cost... But, the other factor I see that hasn't really been mentioned is that for those that earn most of their miles buy actually flying, the cost of earning those miles has skyrocketed. For instance, I am on a paid, months advanced purchase coach discount ticket to the Midwest from ANC. Cost? $1000+ It's costing me double to earn the miles now, and I'll have to fly even more to earn enough to redeem.
Doesn't it cost significantly more to fly you to the Midwest from ANC? Aren't you still getting exactly what you paid for, transportation from Point A to Point B?
Quote:
Originally Posted by ANC RED-EYE
4) $25 fees for all partner travel - aren't there already huge fees, taxes and surcharges on many of the international tickets? Another $25 doesn't really make sense for those.
None of the current fees and taxes are retained by AS. They are passed onto government entities.
My free predictions:
-it's going to get even worse in general.
-more carriers are going to go out of business; I'll bet we lose at least one of the big boys soon...and not to a merger.
-flying is going to return to be a luxury of the upper middle class and above...no longer families of 4-6 middle class folks flying to Hawaii or Mexico or California on vacation. The American dream is changing!
I would say something about Prez Cheney's "Energy Summit" at the start of his Admin, but that would throw this into Omni territory. I think you are right. We have only seen the tip of the iceberg of what is in store.
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There ain't no reins on this horse
So if I book tickets now for way way out, and I want to change them later as a Gold, will I be in good shape or will they want to charge me extra miles for the change?
So if I book tickets now for way way out, and I want to change them later as a Gold, will I be in good shape or will they want to charge me extra miles for the change?
hmm good question. If you can maybe I can just book some stuff way in advance and change them as I see fit! Probably too good to be true I bet you cant
The mileage plan has been Alaska's best goodwill item that keeps me coming back. The ability to earn and use on a host of other airlines has kept me coming back over the years.
While I guess the increase to 25,000 was coming, I am a bit disappointed in the $25 fee for other partner award tickets; this was a major draw. Alaska cites cost in award tickets on other airlines, but over the last several years has pushed us to the internet for these tickets (ala saving them the cost of employing a whole outlet of award travel agents) and that worked well. Now we're getting hit $25 for these tickets.
Just received confirmation from Milage Plan. Segments flown on a AS50 will count toward one's MVP or MVP Gold status.
Crediting segments is worthless to folks who earn their miles on longer flights. Four trips home to ORD puts me over the MVP mark...now those BoA certs are even more valuable. I'm just hoping we get our next set issued before they raise the price on that one, too.
I just don't get it...either make it count or not. Only counting segments is a slap in the face to folks who never get anywhere near the segment count but put plenty of money into AS by purchasing $$$ fares to go just about anywhere out of ANC.
Programs: AS MVP Gold, 7H Flyaway, F9 Early Returns, DL Skymiles, NW Worldperks, AAdvantage, UA, go!
Posts: 369
Quote:
Originally Posted by sxf24
Doesn't it cost significantly more to fly you to the Midwest from ANC? Aren't you still getting exactly what you paid for, transportation from Point A to Point B?
I'm not sure I follow your question. I guess what I was saying is that, in the past, 1 r/t ANC - midwest for instance earned ~5000 miles and cost ~$500. Buy four tickets, earn one free. In other words, $2000 of revenue to AS earned me one free coach saver ticket.
Now, one r/t to the midwest earns ~5000 miles and costs ~$1000. Buy five tickets earn one free. In other words, $5000 of revenue to AS earns me one free coach saver ticket.
So, yes, it costs more for AS to fly me to the midwest, but now I have to pay more per mile to earn the miles, and pay more miles to get the free ticket. I suppose if their profit margin is significantly lower, then it makes sense - but is their profit margain really that much lower considering how much they've raised fares? (It's truly a question - I'm not sure.)
So, yes, it costs more for AS to fly me to the midwest, but now I have to pay more per mile to earn the miles, and pay more miles to get the free ticket. I suppose if their profit margin is significantly lower, then it makes sense - but is their profit margain really that much lower considering how much they've raised fares? (It's truly a question - I'm not sure.)
Yes, AS' profit margin is absolutely lower even after fares have been raised. In fact, it's pretty much zero.
It costs AS (and every other airline) significantly more to fly you anywhere, so it does not seem unreasonable that revenue and award travel would increase in price.
Yes, AS' profit margin is absolutely lower even after fares have been raised. In fact, it's pretty much zero.
It costs AS (and every other airline) significantly more to fly you anywhere, so it does not seem unreasonable that revenue and award travel would increase in price.
Frequent flyer mileage programs are major profit generators for the airlines and the airlines have to be careful they do not threaten this stream when they enhance their programs.
Exactly. The point remains that even with an AS50 award, there is still a hefty cash outlay for tickets from Alaska. Certainly you should get something for them. As it will stand with the changes, an AS50 ticket has no more mileage than a freebie.
Case in point - a recent ticket to LA still cost me $525.00 WITH the AS50.
Does this amount not have some value in frequent flyer miles?
Frequent flyer mileage programs are major profit generators for the airlines and the airlines have to be careful they do not threaten this stream when they enhance their programs.
I don't think these changes will materially decrease AS' revenue stream, which is vastly from Bank of America.
AS would do more financial damage in the long-run by maintaining an overly generous program.