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Update: Aimia accepts Air Canada, TD, CIBC & Visa revised $450-million Aeroplan bid

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Old Aug 21, 2018, 8:23 am
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Last edit by: yyznomad
For those of you interested only in the revised $450-million deal and related discussion, it starts on post 418:

https://www.flyertalk.com/forum/air-canada-aeroplan/1926409-update-aimia-accepts-air-canada-td-cibc-visa-revised-450-million-aeroplan-bid-28.html#post30109427
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Update: Aimia accepts Air Canada, TD, CIBC & Visa revised $450-million Aeroplan bid

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Old Aug 2, 2018, 7:50 pm
  #256  
 
Join Date: Sep 2009
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So $450M is AE floor ? Big diff from AC offer of $250M which got upped to $325M. I suspect the $450M maybe what AE is negotiating with Oneworld and others.
AC upped to $325M very quickly.
If I were to purely guess $400M is what AC will pay and will be accepted.
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Old Aug 2, 2018, 7:56 pm
  #257  
 
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If AC went to 325 they'll go to 450. That's only $90 per member, we're worth that much, aren't we? Nice to see Aimia call their bluff!

Ron.
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Old Aug 2, 2018, 7:57 pm
  #258  
 
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Do people actually believe Air Canada will have a new FFP ready by July 2020?
There must be some current and ex-AC employees here who know how slow things move at AC.
Aimia is aware of this fact and knows that AC is in big trouble. AC can't get their act together. They don't have any banks they can partner with. The offer was AC showing desperation and trying to mask it with media spin.
IMO, Aimia should milk AC and the banks for all they can.
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Old Aug 2, 2018, 8:07 pm
  #259  
 
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Originally Posted by newfbc
If AC went to 325 they'll go to 450. That's only $90 per member, we're worth that much, aren't we? Nice to see Aimia call their bluff!

Ron.
I'm surprised Aimia hasn't called AC's bluff and tried shopping this to WS. No doubt AC would be freaking out if all their loyal customers (and data) went to a consortium made up of OW, WS and other non * member airlines. Given the current circumstances I suspect the ask by Aimia is not much given how much AC would have to give up and the business risk they face by having to build a new FF/Identity system from scratch. If anything Aeroplan has much to gain by stretching these negotiations out as far as possible. The closer negotiations hit the 2020 deadline the more desperate AC will get and Aimia will always have options for its customers (even if those options might be various models and colours of Hamilton Beach toasters ).

Originally Posted by YUL-Insider
Do people actually believe Air Canada will have a new FFP ready by July 2020?
There must be some current and ex-AC employees here who know how slow things move at AC.
Aimia is aware of this fact and knows that AC is in big trouble. AC can't get their act together. They don't have any banks they can partner with. The offer was AC showing desperation and trying to mask it with media spin.
IMO, Aimia should milk AC and the banks for all they can.
I still maintain that AC has not had a FFP since 2002 when it was spun off. The fact that there are several elite levels inside the program shows you how dysfunctional it is (i.e. Altitude level, Aeroplan level, etc.). I'm very glad I decided last year when I started travelling to credit my flights to UA instead of Aeroplan. All I need to do is fly 50,000 BIS revenue miles every year to get UA Gold (=*Gold), no revenue requirements and none of this fare class nonsense where you don't earn full milage when flying on STALK fares. Also UA has treated me better than AC would have (i.e. CPUs and Economy+ seating on 777 that allow me to stretch my legs out and get out of my seat without having to wake anyone up).

Safe Travels,

James
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Old Aug 2, 2018, 8:12 pm
  #260  
 
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Originally Posted by YUL-Insider
Do people actually believe Air Canada will have a new FFP ready by July 2020?
There must be some current and ex-AC employees here who know how slow things move at AC.
Aimia is aware of this fact and knows that AC is in big trouble. AC can't get their act together. They don't have any banks they can partner with. The offer was AC showing desperation and trying to mask it with media spin.
IMO, Aimia should milk AC and the banks for all they can.
​​​​​​​How hard could it be that they wouldn’t have something up and running by 2020?

AC already tracks the mileage accumulation for its own flights crediting to Aeroplan and *A FFP. AFAIK much of the functionality of Altitude has been brought back in-house. Sounds like CIBC and TD are both willing to partner with AC, so I don’t see an issue there. All AC needs to launch its own FFP is the ability to earn/redeem on *A and CC partner; all other partners can be added over time. As canadiancow pointed out previously some of AC’s recent IT items have been relatively good; I don’t thing a new FFP would be too difficult for AC given where they currently are and nearly 2 years to go.
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Old Aug 2, 2018, 8:13 pm
  #261  
 
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Originally Posted by YEG USER
How hard could it be that they wouldn’t have something up and running by 2020?

AC already tracks the mileage accumulation for its own flights crediting to Aeroplan and *A FFP. AFAIK much of the functionality of Altitude has been brought back in-house. Sounds like CIBC and TD are both willing to partner with AC, so I don’t see an issue there. All AC needs to launch its own FFP is the ability to earn/redeem on *A and CC partner; all other partners can be added over time. As canadiancow pointed out previously some of AC’s recent IT items have been relatively good; I don’t thing a new FFP would be too difficult for AC given where they currently are and nearly 2 years to go.
Is AC's recent IT items that good?
Hmmmm
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Old Aug 2, 2018, 8:20 pm
  #262  
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Letting AP collapse will have everyone with 500 miles in their account blame Feds...

AC has managed over two decades to stay multiple steps ahead of regulation with simple promise to Feds / we will keep embarrassments for you to a minimum.

the 2 billion on AP books that needs to eventually find a seat on an airplane, save wastage, will make for serious political embarrassment should this happen in about 14 months from now.

Both AC & AE know this - bad deal for AC might just be better than AP collapse.
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Old Aug 2, 2018, 8:21 pm
  #263  
 
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Originally Posted by YEG USER


How hard could it be that they wouldn’t have something up and running by 2020?
Hmm.. Ask the federal government the same question about their 'new' payroll system.

Ron.
​​​​​​​
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Old Aug 2, 2018, 8:27 pm
  #264  
 
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Originally Posted by newfbc
Hmm.. Ask the federal government the same question about their 'new' payroll system.

Ron.
i was going to day the same. One word: Phoenix.

​​​​​​​Same outsourcer as AC uses too.
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Old Aug 2, 2018, 8:28 pm
  #265  
 
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Originally Posted by Jumper Jack
Is AC's recent IT items that good?
Hmmmm
I’ll defer to canadiancow, who flies much more than myself, and who is a much better IT critic.

I was simply responding to the previous poster’s doubt that a new FFP can be up and running by 2020. IMHO this is something that should be very achievable, even with AC’s previous IT track record.

Originally Posted by canadiancow
My understanding is that AC is building their new program regardless of what happens with this proposal. Everything new I've seen come out the door from AC in the past few years has been pretty good. The Altitude website is a dream compared to AC.com or Aeroplan.com.

The Flight Pass app is amazing. It may still be lacking in some features, with a bug here or there, but the overall quality makes it obvious that they no longer want to be the joke they currently are. There are over 4000 posts in aircanada.com/aeroplan.com - Experiences/Complaints/Issues.
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Old Aug 2, 2018, 8:28 pm
  #266  
 
Join Date: Nov 2017
Posts: 3,359
Originally Posted by ridefar


i was going to day the same. One word: Phoenix.

Same outsourcer as AC uses too.
Hey at least the Phoenix eventually rises from the ashes! I'm unsure if the same will be said about Aeroplan
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Old Aug 2, 2018, 8:29 pm
  #267  
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Originally Posted by newfbc
Hmm.. Ask the federal government the same question about their 'new' payroll system.

Ron.
seriously not funny when billions of tax dollars out the window 😂

but when AC can pretend about its Skytrax profile but have pitiful OTP, who knows what is really possible.
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Old Aug 2, 2018, 8:42 pm
  #268  
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Could AC starts hiding part award inventory or increasing the scamcharges to put some pressure on Aerobic lan
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Old Aug 2, 2018, 8:46 pm
  #269  
 
Join Date: Nov 2017
Posts: 3,359
Originally Posted by MasterGeek
Could AC starts hiding part award inventory or increasing the scamcharges to put some pressure on Aerobic lan
Presumably they have an agreement on those sorts of things. At the very least *A rules would likely prevent AC from pulling such stunts since Aeroplan is a *A member. Even if they didn't it would seem to me that if AC ended up doing that they would only be adding insult to injury to their own loyal customers. If you've flown hundreds of thousands of miles with AC and *A partners and you first hear that your miles will be worthless in 2020 and now find out that sorry you can't use your miles for award flights, how likely are you to stay loyal to AC? And if Aimia follows through with its threats and it becomes WS's/OW's FFP (with perhaps WS throwing in a status sweetener for existing Altitude customers) how many elites will be left on AC?

Safe Travels,

James
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Old Aug 2, 2018, 8:46 pm
  #270  
 
Join Date: Jan 2016
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Originally Posted by YEG USER


I’ll defer to canadiancow, who flies much more than myself, and who is a much better IT critic.

I was simply responding to the previous poster’s doubt that a new FFP can be up and running by 2020. IMHO this is something that should be very achievable, even with AC’s previous IT track record.











IT is beyond what's in the back end - I have literally zero knowledge when it comes to that so I wont say anything about that.
In terms of CX, which is something I do know quite in-depth... the AC website suites (Eup, Attitude, main site) is absolute dog dong. While flight pass app is okay, it's bogged down by a atrocious color scheme design.

There are very few mobile sites I would classify as literally unusable, and AC is right there on the top of list.

Also how much Cow flies is not really that relevant. Majority of AC's customer likely travel 2-4 times a year at best. Anytime you focus your site design on power users you eventually will get a problem on your hand.

I have very... very low confidence in how AC can manage to launch a large FF program on-time when it can't even run a promo properly. I shat you not, AC didnt bother fix their promo linking on their homepage for a full week when they launched the weekend pass. I

Last edited by Jumper Jack; Aug 2, 2018 at 8:52 pm
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