Agree with the OP a penny-pinching case can be made for dispensing with "the frills" which are the whole point for us of the AE program, but as others have noted, we receive more than an attractive return on our investment from the elite benefits that make flying somewhat more civilized and bearable. And when it comes to cashing in on our "investment" of a few dollars a trip more for flying at least T+ (and remember lots around here actually pay for Latitude fares, or at least their companies do) we get a lot: priority processing and extra luggage allowance when needed in addition to no charge checked bags, upgrades to J, award tickets generally in premium classes, bonus mileage earning...

So I certainly know that my spending $6-$10K a year on flights to earn miles and status will yield me in just award flights an equivalent if not greater yield in additional trips (many I use for business). So for the cost of a single J-class return to Europe I have a whole year of travel, paid and award, plus a slew of other benefits. I figure that a good ROI even as the AE program is degraded continuously year after year.