FlyerTalker70

Agree with you on the UX of most of the AC FFP UX it is really dated. Like hello 1997 called and Jean Chrétien wants his party's website back

Now that I think about it, one thing I realized that is missing from this discussion is to what extent AC retains customer data post 2020. If the answer is everything, it wouldn't be too hard for AC to continue using their IT backend/systems with Aeroplan customers using their existing member numbers in the new Altitude program. Close to 0 IT work would be required by AC in that respect. It's also unclear to me what aspects of the FFP IT is property of Aeroplan versus AC. If the "technology" that credits *A/Aeroplan/Altitude milage for AC flights taken is part of Aimia's IP then AC would be in a real bind, especially if they haven't developed their own separate technology.

Jumper Jack

I am willing to bet a round of beer with anyone that if AC doesnt buy AE. Esp if AE has ownership of aeroplan number and accounts. AC will likely employ a duplication process of some kind as they migrate to a new system of record. I think Royal Carribean did sth similar and it turned out to be a complete poop show for them. CEO has to publicly apologize to customers on forums. (And RCL is a company thats way ahead of curve when it comes to tech adoption comparing to AC).

Its reward program launch would be completely disaster during the first week of launch, in fact I bet most people would not even be able to login/register or book mileage tickets properly on day 1.
This is a company that wont even let you manage booking under your account when you have reward tickets we are talking about here. Launching a reward program in <2 years would be like going to the moon for them.

skybluesea

yscleo

AIM boldly breaks off talks with AC. AIM is giving AC the middle finger. AIM did announce ae 2.0, with mostly the same redemption point chart, and 20 airline partners. They have an existing working system. They are in talks with Oneworld. They must also contacted many other possible partners.
AIM should have a good quarterly report tomorrow. They feel the worst is over, and they have a parth forward.

AC was dirty/sleazy, and arrogant. Then they saw the ae 2.0 announced, and now is panicking they might lose business and database to others. They asked for a very short deadline to Aug. 2. Tomorrow AIM will show they actually have a strong hand, and people are doubting AC can have a working system come June 2020.

This should make an interesting business case do study. If ae does team up with OW and/or WJ, RBC, and existing point holders know they can still redeem, ae won't die. The table has been turned. AC needs to convince people they will have a functioning system come 2020. AC needs to convince people come 2020, customers won't need to start with 0 in their system (how they do that, is still a big unknown). It looks as if AC is the one to ante up more, rather than AIM accepting lower.

ridefar

YXUFlyboy

Well, they rejected the first offer...

Aimia rejects Air Canada’s unsolicited takeover bid after talks break off

pitz

Can "OW" even really negotiate on behalf of its "members" these sorts of deals? The claim doesn't sound all that credible, given the very real limitations inherent to the airline "alliances" in terms of anti-trust limitations. A lot more credibility would be gained if they actually named a OW "member" that they were negotiating with, as opposed to the implied claim that they were negotiating collectively with an organization that may very well be prohibited from collective negotiation in such matters.

Is there any historic precedent for any other FFP program to change alliances without its traditional alliance sponsor/partner going along with?

eracerblue

A $2B points bonfire. Have fun everyone.

FlyerTalker70

I can't comment on AC's backend but will say that I have yet to hear a success story in the travel industry of an IT over haul that worked out well. One could only look at the fiasco that was the SHARES integration when UA bought CO and BA's IT fiasco of 2016 to name but many such horror stories in the airline industry.

That being said, looking at the reviews for AC's mobile apps we can clearly see that AC has two teams. An A-Team that can build a solid mobile product with its Flight Pass app receiving 4.6/5 based on 281 reviews and it's B-Team that builds the main Air Canada app which receives 2.7/5 based on 886 reviews. Hopefully the Altitude team is getting the former rather than the latter

Safe Travels,

James

Transpacificflyer

Not unusual for an offer to be rejected and a new offer to be tendered at a later date.They are not that far apart;
AC and the 3 CC companies offered $325 million and the "assumption" of the debt obligation. Aimia wanted $450 million. That's chump change in a big deal. If AC increases the offer, I expect that the people holding AE miles will see a significant devaluation to cover that increased cost.
It is also not unlikely to have an alternative purchaser treat this as an asset sale only and provide a better price than AC and then let Amia declare insolvency, flushing all the members miles. Look at what happened to the FFs of Air Berlin.
I really do expect that people are going to get screwed over.

Nothing unusual in OW looking at this as it is in its mandate. The member airlines retain the right to change/manage their frequent flyer programme rules, regulations, travel awards and special offers in accordance with their respective program rules. OW is negotiating the purchase of IP., an asset, on behalf of its members.

The more I look at this, the more I think I am about to get screwed over and to lose miles that I have been unable to redeem on Aeroplan.. (I fly business and want to redeem in business.)

If the government doesn't get involved before this blows up, then this, combined with the talk of the new inheritance taxes, is going to be one nasty political maelstrom next year.

pitz

I was thinking along the lines of anti-trust considerations. Members of airline alliances that receive anti-trust immunity only receive it on a very limited basis for a limited range of activities, ie: jointly marketing services, etc. Its not clear to me whether the conspiracy of "OW" would even be allowed to make a collective bid for AP assets or engage in collective negotiation, that otherwise would be the purview of individuals. They certainly aren't allowed to conspire to make joint bids for aircraft procurement, aircraft maintenance, for which the conspiracy of the competitors may drive pricing in their favour. One of the substantial reasons why conspiracy in restraint of trade was prohibited.

So absent any sort of confirmation from "OW" that they (whatever "OW" actually is as an organization), or any of their partners in conspiracy have actually talked to AP, I would take AP's claim with a grain of salt.

Stranger

It appears team A is i-house, while B is IBM. Whose junk has to sit on top of all the old RES-III stuff.

The real test case will be the planned transition to Amadeus though. The new FF program is small potatoes in comparison. May well be also that Amadeus (love of god) has roughly what they need.

InTheAirGuy

Agreed with that. The Mobile app is solid, the interface is great, its reliable (well, at least when the back end doesn't go to crap), and works. The other? Dog's breakfast.

acysb87

From TD this am


"We're writing today to share additional information about the Aeroplan Program and TD Aeroplan credit cards.

In May 2017, Air Canada announced that effective June 30, 2020, Aeroplan would no longer be the loyalty program for Air Canada. Aimia owns and operates the Aeroplan Program.

Since that time, TD has had ongoing discussions with Aimia. TD has paid and continues to pay for the Aeroplan miles that our customers accumulate, and Aimia has the obligation to turn your miles into rewards. We have sought, but not received, assurances from Aimia that the Aeroplan Program will deliver the value that we and you, as a TD Aeroplan credit cardholder, would expect from Aimia in the long term.

TD recently participated in a proposal by Air Canada, TD and other interested parties to buy the Aeroplan Program. After engaging in extensive discussions with Aimia, the proposal, enhanced from the original offer, would have provided the best outcome for all Aeroplan members. TD believed that the proposed transaction, if completed, would have provided value and continuity to TD Aeroplan credit cardholders. We're disappointed Aimia rejected this proposal and we're now evaluating next steps.

We appreciate you're likely looking for greater clarity around this situation. We will keep you informed of any developments in order to provide you with the customer experience you expect as a TD credit cardholder. In the meantime you can continue to use your TD Aeroplan credit card. If you have questions about your Aeroplan membership or the Aeroplan Program, please contact Aimia at 1‑800‑361‑5373 or visit www.aeroplan.com.

Here's a link to Q&As for additional information. If you have additional questions about your TD Aeroplan credit card, please call us at 1‑800‑983‑8472.

Sincerely,

Frank Psoras
Senior Vice President, Canadian Credit Cards "

roubaolic

Interesting...