MilesBuzz! - Best strategy for a non-profit?




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dotorg
Apr 6, 06, 2:03 pm
Hello Folks,

The whole Frequent Flier / Affinity program thing is new to me, so this may be a bit long winded, but please be patient as I try to figure this out... :)

I am with a small non-profit organization and will be flying to various random cites around the United States plus some international trips as well.

All trips are paid for by 3rd party sponsors, so earning free trips is not necessarily a goal.

(Though I suppose it could be used to help offset travel costs…)

Rather, since travel is often done on a very tight schedule, the ideal benefits would be VIP lounge access and First/Business Class upgrades as those would allow better preparation for upcoming meetings, etc.

Annual mileage will be close to 40,000/year, but due to scheduling needs, it looks like it will hard to focus on only airline. (See my thread “Best Airline(s) out of NYC?”)

With regard to other aspects of travel, Sheraton and Marriott have proven to be the hotels of choice, as a nice suite is often needed for meetings, etc.

So far, here are my standings with the airlines: (Things will be picking up in a month or two)

Delta: ~8000 Miles (YTD)
Continental: ~8000 Miles (YTD)
AA: None (YTD).
Starwood: Gold w/7 Stays (YTD)
Marriott: Silver w/1 Stay (YTD)

Given that my travel will be increasing, going forward, what would be the best way to maximize FF benefits?

One factor I have not investigated too well are those “Mileage Reward” card cards that seem to be so popular.

If we were to get one, or more than one, we could certainly push $250K / Year in expenses through them. But, I am not sure of the best way to utilize them.

Does a CC card for each airline make sense? (We travel in groups of 2-4, so points would build quickly, right?)

In any event, can anyone here on Flyer Talk help me figure out the best strategy for maximizing FF benefits?

Thank you for reading,
David


themicah
Apr 6, 06, 2:51 pm
For starters, you should choose either CO OnePass or DL SkyMilse for your miles on both airlines. Since the two airlines are partners, it doesn't make any sense to split your miles between two accounts. Pick the one you fly the most and send all your miles from both carriers to that account. For example, if you're flying DL and want CO OnePass miles, ask at checkin for them to put your OnePass number in the reservation, and make sure it (and NOT your SkyMiles number) appears on your boarding pass.

For most VIP lounges, there are a few ways to get in:
Be a member of that lounge or a partner lounge (for example, members of NW's WorldClubs lounge can access any NW, CO or DL lounge any time, as well a host of other partner lounges). Membership usually costs a few hundred bucks a year, depending on your status and which airline.
Have an AmEx Platinum Card (about $400 a year), which gets you into NW, CO and DL lounges, but only when you're flying those airlines.
Have a PriorityPass, which gets you into certain lougnes (but I think the pickings are very slim in NYC).
Fly international business class, which gets you into the lounges on the day of your flight.


For credit cards, you should probably just pick one program and stick with it. The AmEx Starwood card is probably the most flexible, since you can transfer the points to most airlines, or use them for hotels, and they're worth more than airline miles. I'm not sure if they have a business version of that card, though.

dotorg
Apr 6, 06, 5:17 pm
themicah: Thanks to all for the tips re: the VIP lounges.

Due to this advice, I'll also probably consolidate to Continental for the non-stops out of EWR.

For the flights that CO does not serve, I will try to fly Delta earning to my CO account. But, once I get Elite on Continental, will that get me any privileges on Delta?

Next question: :)

The Starwood Amex card looks like it has a $60k / year earning cap. I will easily hit this.

My next thought would be to go for a Continental CC and use or all Continental flights and every else after I hit the $60K Starwood Amex limit.

Does that make sense?

Thanks,
David


mesadler
Apr 6, 06, 5:49 pm
Continental is part of Skyteam. You get elite privledges on Delta too. Check out http://www.continental.com/onepass/elite/default.asp.

SPG AMEX doesn't have a cap at all. I've already done over 100K in 2006 :)

Don't get a CO card. It might earn you double on your spending with CO, but I'd much rather have 1 starpoint than 2 onepass miles.

themicah
Apr 6, 06, 5:51 pm
For the flights that CO does not serve, I will try to fly Delta earning to my CO account. But, once I get Elite on Continental, will that get me any privileges on Delta?

The CO/DL alliance isn't perfect, but there are definitely benefits beyond mileage earning. CO elites flying DL get certain elite privileges like preboarding, "premium" seating near the front of the plane, some priority for standby situations, and bonus miles for flying. But there is no upgrade policy in place between the two carriers (no elite upgrades or mileage upgrades), and you won't be treated as well as a DL elite. The other problem is that DL's computer system has a tough time with partners' frequent flyer numbers. So you can't put your OnePass number into your reservation at delta.com (you'll have to call), and you won't be able to easily select those "premium" seats (you'll have to call and fight with someone in India until you can convince them the rules allow them to give you those seats).

The CO/NW alliance, on the other hand, is superb. CO elites get unlimited free upgrades on NW just like NW elites (and vice versa). And nwa.com has no problem with you putting in your OnePass number or letting you select "premium" seating. The only real downsides to flying NW are (1) they have very few NYC nonstops (MSP, DTW, MEM, IND, and MKE are all you get), (2) you won't have access to the NW elite phone number as a CO elite, and (3) if you're on the cheapest fares, you'll only get 50% EQMs.


The Starwood Amex card looks like it has a $60k / year earning cap. I will easily hit this.

My next thought would be to go for a Continental CC and use or all Continental flights and every else after I hit the $60K Starwood Amex limit.

Does that make sense?

Sounds like a reasonable approach. If you're spending that much, though, you might also want to look into Diner's Club (which gets you better car rental insurance and has points that transfer to almost any airline) or the AmEx Platinum Card (which has a hefty annual fee, but Membership Rewards points are relatively useful compared to some other point systems, plus it'll get you into airline lounges with two guests).

dotorg
Apr 6, 06, 11:06 pm
SPG AMEX doesn't have a cap at all. I've already done over 100K in 2006 :)


Good to know.. thanks. How long do miles take to post?


Don't get a CO card. It might earn you double on your spending with CO, but I'd much rather have 1 starpoint than 2 onepass miles.

Why don't you want 2 OnePass vs. 1 SPG? Seems like a good idea, no?

NOLAnwGOLD
Apr 7, 06, 12:56 am
I was Treasurer for a small trade association for 3 years. I ended up doing the AMEX Biz Plat ($300/yr and $150 for each additional card) which gives you access to Delta, NW, and Continental lounges when you travel on the respective airline (fly CO get into CO lounge, but NOT fly NW and get into DL lounge). THis works great domestically. However, since I did this, the 3 airlines have recipricol access with each others loungers, so if you say have NW WorldClub membership, you can use any of CO DL and NW lounges at any time plus all the NW affliliated partner lounges internationally. WIth the AMEX Plat you don't get this benefit.

WIth the AMEX Plat you'll get Membership Rewards which are pretty flexible but depending on what miles or points you wany you might be better off with the SW AMEX. I have both and love the SW Amex.

I don't think that the airline credit cards are great since miles are harder to use and not as flexible.

Finally I'd stick to flying on all Skyteam flights and credit all flights to either Continental or Delta programs. With 3 domestic partners and many other international partners, you're likely going to get to Silver or Gold I suspect.

themicah
Apr 7, 06, 9:04 am
Why don't you want 2 OnePass vs. 1 SPG? Seems like a good idea, no?

OnePass miles are notoriously difficult to use. Most people value them at less than 1.5 cents per mile. SPG points on the other hand are very easy to use, either for hotel rooms (at good values-per-point) or to transfer into most FF programs to top yourself off for an award if it's available (and 20k SPG points = 25k miles in most programs). SPG points combination of usability and flexibility makes them worth much more than 1.5 cents per mile.

Helena Handbaskets
Apr 7, 06, 9:39 am
Since you're interested in status more than spendable miles, I think the strategy below is better:

If you can push $250,000 through credit cards in a year, consider earning Delta Medallion status from flights on on Delta and CO, and getting 3 credit cards: The Skymiles Amex personal platunum card ($135/year), the Skymiles Amex business card ($135/year), and an AA-affiliated card. I'm not familiar with AA cards, but if you can get a Visa or Mastercard that earns AA miles, that's even better, since you can't always use an Amex for purchases.

Spend the first $25,000 on one of the Skymiles Amex cards to earn a bonus of 10,000 MQMs. Spend the second $25,000 on the other Skymiles Amex to get another 10,000 MQM bonus. If you only fly 40,000 miles in a year, the first 10,000 MQM bonus will lift you from Silver to Gold Medallion. The second 10,000 MQMs will be a good buffer in case flight miles drop below 40,000, or may even get you to Platinum Medallion in a travel-heavy year. Or they could allow you the flexibility to take another airline once or twice if it's more convenient, without threatening your DL status.

I wouldn't fly AA at all (initially, at least), but if you're spending $250,000 on credit cards each year, you'll still have $200,000 each year you can put on the AA card after meeting the thresholds of both Skymiles Amex cards. After 5 years of this (sooner, with bonuses), you'll have 1,000,000 AAdvantage miles and qualify for lifetime status with AA. And of course if the Skymiles cards earn you some flexibility with regard to airlines, you might be able to speed this up even more by flying AA a couple of times each year.

I think 2,000,000 miles earns elite status. Someone more familiar with AA can specify the details, I'm sure.

You'd still earn plenty of spendable miles for Skyteam and OneWorld awards using this plan.

You'd also still have to buy lounge access, though with DL status you'd get a discount on a Crown Room membership (with access to CO and NW lounges as well).

themicah
Apr 7, 06, 9:59 am
Since you're interested in status more than spendable miles, I think the strategy below is better...

I was unaware of the MQM bonuses for DL credit card spending. That is a good idea. Although note that if the OP is primarily flying CO (because EWR is more convenient and CO offers far more mainline nonstops from NYC than DL), DL medallion (aka elite) benefits are of limited use on CO (just as CO benefits are of limited use on DL). Still, it's worth considering.

As for the AA strategy, AA does indeed give lifetime "gold" (their 25k elite level) for 1MM lifetime miles from any source (not just flying) and lifetime "platinum" (their 50k elite level) for 2MM lifetime miles. But I would skip the AA credit cards and stick with the SPG AmEx. You can transfer SPG points into AA miles, and 20k SPG points transfers into 25k AA miles, so you can actually earn AA miles faster by using the SPG card than by using the AA card. Plus the AA cards have limits on how many miles you can earn in a year, while I don't think the SPG card does.

dotorg
Apr 9, 06, 12:26 am
Thanks for the Delta Amex MQM info! If we seem to start flying Delta for than a little, it would certainly be worth it.

RE: AA lifetime "platinum"..

Does that mean you need to earn 2MM, or reach a balance of 2MM?

Also, do any other airlines/hotels have such a program?

Thanks,
David

themicah
Apr 9, 06, 8:37 am
RE: AA lifetime "platinum"..

Does that mean you need to earn 2MM, or reach a balance of 2MM?

It's based on lifetime AA miles earned from any source, so you just have to earn 'em, not keep 'em. It's an unpublished benefit that they could in theory take away at any time, but it's been around for years and many AAers take advantage of it (I have two family members who earned AA lifetime gold largely through credit card spending).


Also, do any other airlines/hotels have such a program?

I believe UA and DL both offer some sort of lifetime status for 1MM, but in their case it's 1MM miles flown, not miles earned from any source. So it's much, much harder to achieve.

I don't know of any hotel lifetime status programs.

One other thing you may want to consider is the AmEx Centurion ("Black") card. It's by invitation only, and it costs something like $2500 a year (plus more for additional cards on the account), but I think it still gives automatic CO, DL and US gold status, as well as status in at least one of the hotel programs. It also has the same lounge benefits as the AmEX Platinum Card.

Helena Handbaskets
Apr 9, 06, 1:03 pm
Delta's lifetime status system awards SILVER Medallion status for 1 million miles FLOWN, which as themicah observes, is not nearly as generous as AA's program. To get lifetime Gold Medallion, you have to fly 2 MM miles, and to get lifetime Platinum Medallion, you have to fly 4 MM miles.

There's been a recent ruffling of feathers because the Amex Centurion card recently decided to drop the benefit of platinum status at Starwood hotels. I don't know if they now offer Gold status (Starwood has no Silver elite level), or if they've just dropped Starwood status altogether. But even if you get Gold status with the Centurion card, there are much less expensive ways to get Starwood Gold status.

Don't know about whether the Centurion card offers status with any other hotels.



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