FlyerTalk Forums - View Single Post - Are all "points as good as cash" loyalty programs inevitably doomed?
Old Feb 22, 2015 | 4:15 am
  #60  
luckypierre
20 Years on Site
 
Join Date: Apr 2000
Location: san antonio, texas
Programs: 3.2MM AA, 1.4MM UA,StwdLftPlt
Posts: 1,586
I am having difficulty understanding how a FF spin off would work, particularly from the side of the acquiring firm. Presumably the airline would retain control of "pricing" for seats, so if the airline chose to double the redemption price for a seat, that part of the acquisition is suddenly half as valuable?
It seems to me that in this era of rapidly devaluing programs it would be extremely difficult to establish a value for the acquisition or do any planning since managerial control of your primary resource-the FF miles-would be another party's hands.
Air Canada is the only airline to spinoff its reward program in North America, correct?
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