SEAUAKID

Last October, I started visiting the Escape lounge at MSP, and immediately texted my Minneapolis friends with CSR that they should call for their PP since the Escape lounge was so wonderful. It had lots of fresh delicious warm food, bottles of Fiji water, and even small bottles of Perrier.

Over the following months, I noticed it became much more crowded. Suddenly the Perrier disappeared, and then the Fiji bottles were replaced by Dasani. Food was gone within seconds of being brought out. I asked the front desk what was happening, and the employee was super clear - "This is the result of lots of new PP cardholders, and we aren't being reimbursed by PP at a rate which even covers the food/beverage consumed by cardholders. As such, we will no longer accept PP from mid-June."

Absolutely disappointing news. I emailed PP about this, and they replied with some silly form letter, "thank you for your feedback, we can't have a lounge everywhere, but we hope to add more lounges in future"..... Worthless.

Now, Amex Plat cardholders can just walk in and show their card briefly, no swiping or anything. As such, it leads me to believe Amex is cutting a monthly check to Escape for unlimited cardmember access, at a higher price point than PP was. Can we just call PP what it is: a discount lounge benefit which you would never pay for, but you'll take it if it's free.

bj27

This exactly. There very few PP lounges I would pay for (even a nominal fee). I think generally every review of a PP lounge seems to mention "I would visit if you have time to kill but don't go out of your way."

But the economics makes sense. If PP is only paying $X for each entry, the amenities will have to fall to a certain point below $X that also provides for profit margin.

GoAmtrak

I'm at the Escape Lounge now and it's at maybe 35-40% occupancy. Far, far more tranquil than any of my recent visits here. The food spread also looks robust. The change sucks for all the CSR folks, but this definitely feels more like a haven now. If the pendulum swings too far and there aren't enough paid or AmEx entries, I wonder if they'll have to resort to discounting again, Groupons, etc.

MSPeconomist

It was a wonderful haven during the DL meltdown in August when there were too many people in the F/G SC to even be able to get onto the SC's wifi or stay on for more than a minute or so after multiple attempts to log in.

I view the changes to Escape access at MSP as part of the larger package of including the lounges such as BDL that previously didn't accept PP (or AmEx) into the AmEx program.

In some ways, it's a bit surprising that AmEx didn't have an exclusive clause in their contract with PP preventing competing cards from offering the same deal. I've been told that this is the case with the FHR guaranteed late checkout benefit versus getting the late checkout based on availability only as a published benefit of the Virtuoso program.

jamesteroh

I'd love to know how much delta gets from an ex for each card swipe at the skyclubs. I'm thinking it must be a decent amount of am ex has their own lounge at at Atlanta and is subsdidizing a lounge a msp. but if they are paying delta a. Lot then why did delta eliminate guesting privledgesunless delta was only
Paying a set amount per swipe regardless of number of people entering on the swipe

MSPeconomist

There could have been a fear from the AmEx side that allowing free guests only with AmEx could have the (unintended?) consequence that when people have multiple means of SC access, they would now use the AmEx swipe rather than entering as a SC member, which would cost AmEx more money. As previously discussed, many of us have multiple means of accessing SCs and previously the guest policies were roughly similar.

C W

Great to hear ^

As some others have suggested, I wonder if their contract with Amex is flat-fee based rather than per entry. That would make sense considering the lack of swiping on entry.

MSPeconomist

Doesn't the lack of a swipe also open the process to scammers, namely enter with AmEx Plat/Centurion card without swipe with two guests, leave to use lavatory of whatever, let someone waiting outside "borrow" your card and enter themselves plus two as you return to the lounge, rinse and repeat. Allowing two guests (or family) tends to avoid this issue somewhat, but not totally.

Personally I'd prefer the swipe as a control and even a no free guest policy to avoid getting overcrowding problems again.

C W

Perhaps even more problematic is people entering with an inactive Platinum card, like one that they used to have but no longer pay the fee for.

bj27

Agree to both points, though a quick glance at the Escape lounge's technology indicates to me that perhaps they don't even have the tech to support a swipe that records a visit without charging. They did ask me for ID, however.

I know the AMEX Centurion Lounges swipe to card to verify you're an active cardholder (and I'm sure there's always some info in the profile that comes up since they always mention "I'm sure you know you're way around, welcome back), but not sure if the Escape has this yet.

Perhaps they will get it (and I am in support of them getting it), but I think they just wanted to close it to PP holders as quick as possible.

This is a huge relief to me as an Amex cardholder (but I also hold CSR, haha). I understand the perspective for the CSR holders -- it sucks, but at the end of the day if the lounge cannot provide any amenities while accepting CSR PP holders, what is the difference between waiting in the Escape versus the terminal? At least now you have the access to pay (or get the Amex Plat) to actually get a benefit from the lounge, whereas previously I felt the terminal > Escape lounge with so many people in.

MSPeconomist

Without the swipe or alternatively entering the card number into a computer, someone could use an old card from a cancelled account to enter a lounge....or someone could "clone" their own card by reporting it as lost and giving the old card (with a different number) to someone else. I'm sure AmEx knows this and will install the swipe or equivalent technology ASAP. Perhaps this was a very sudden and unanticipated decision.

bj27

I agree wholeheartedly with you.

enviroian

Waking to my AA gate today at OAK I noticed this lounge. Is this the same as MSP? Looks like it's $40 for a day pass.

KDCAflyer

Same brand, yes.

Zorak

Yes (same company anyway, I haven't been in the OAK one)

http://www.escapelounges.com/

FT thread for the OAK lounge:

http://www.flyertalk.com/forum/san-f...ounge-oak.html