FlyerTalk Forums - View Single Post - "Airlines Make More Money Selling Miles Than Seats"
Old Mar 31, 2017 | 5:58 pm
  #9  
eigenvector
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Originally Posted by pitz
The whole theory behind programs like AP is that they're never selling points that can be redeemed on seats that would otherwise be sold. ie: nobody is substituting legitimate revenue travel for frequent flyer points.
In some cases the airline could probably even profit from redemption by charging YQ on a seat that was going to go empty anyway.

Yet it's clear from Calin's recent interview where he said that the amount of capacity sold to AE on fixed-rate terms would likely decrease in the next contract negotiation that Air Canada feels they could be getting more revenue from their award seats.
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