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Coming clean: UA tells us about Mileage Plus - time for Aeroplan answers!

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Coming clean: UA tells us about Mileage Plus - time for Aeroplan answers!

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Old Jun 26, 2003, 2:24 am
  #16  
Company Representative - Air Canada
 
Join Date: May 1999
Location: Canada
Posts: 24,215
Aeroplan has 7 million members and 1.4 million awards were redeemed in 2002. (That's a combination of AE and *A awards)

I don't know the number of people attempted to claim an award. Even AE won't be able to tell you that - there are no logs keeping track of how many members called and asked about award availability (or how many people checked online just for info or tried to book and gave up).

[This message has been edited by Empress (edited 06-26-2003).]
Andrew Yiu is offline  
Old Jun 26, 2003, 2:28 am
  #17  
Company Representative - Air Canada
 
Join Date: May 1999
Location: Canada
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Just a bit more data - about 55 billion miles earned by all members in 2002. Approximately 45 billion total miles were redeemed for air travel (AE + * A awards). That's as detailed as I will get.

[This message has been edited by Empress (edited 06-26-2003).]
Andrew Yiu is offline  
Old Jun 26, 2003, 2:55 am
  #18  
 
Join Date: Mar 2000
Location: YVR
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So, they're like, 10 billion in the hole?

BTW, doesn't Mileage Plus have about 40,000,000 members?
Ken hAAmer is offline  
Old Jun 26, 2003, 3:04 am
  #19  
 
Join Date: Jan 2002
Location: Vancouver, BC, Canada
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The Aeroplan data is not too surprising considering the various no capacity controls (like SuperElites and the Asian routes).

I have a hunch that the majority of awards redeemed were by SuperElite members even though they are the small minority.

[This message has been edited by keithguy (edited 06-26-2003).]
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Old Jun 26, 2003, 4:03 am
  #20  
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by Ken hAAmer:
So, they're like, 10 billion in the hole?
</font>
I'm not sure that we can draw too much from these data since accumulation in any one year has little correlation with redemption which will (largely) be from previous years' collected miles.

I think a presentation that AC did to analysts some time back gave rough figures for miles outstanding since they kept asking about the methodology AC used in valuing the B/S liability.

If I had a bit more time I'd look to see if the annual report had anything, although I doub't there's much useful info there.
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Old Jun 26, 2003, 4:52 am
  #21  
msn
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by Empress:
Aeroplan has 7 million members and 1.4 million awards were redeemed in 2002.</font>
If 1.4 million awards were redeemed, where did their marketing people come up with "one every 15 seconds" then?
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Old Jun 26, 2003, 5:38 am
  #22  
 
Join Date: Jan 2001
Location: YXU, ON Canada
Programs: AC LT E50K; AC*MM; SPG LT Gold
Posts: 4,665
Actually, their ads say every 20 seconds, and that is (more or less)correct if 1.4M awards were redeemed: 1.4M/365 = 383 per day; /24 = 160 per hour; /60 = 2.66 per min, so about 3 per minute. Would AC lie to you?
Academic is offline  
Old Jun 26, 2003, 5:59 am
  #23  
 
Join Date: Jun 2003
Location: Toronto, AC*E
Posts: 127
Surprising to none is that AP is one of AC's most successful operations. Revenues up 34% to $309 million last year primarily due to "increased rate per point on redemption" plus fees from CIBC. CIBC agrees to pay more per point under new deal.
AC premium class revs. declined only 5% last year and with overall capacity utilisation of a surprisingly high 74.3% no wonder it is difficult to book rewards but you sure would think that AC would want to do more to keep the customers of its most profitable sub. happy.
blackheath46 is offline  
Old Jun 26, 2003, 6:48 am
  #24  
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"I have a hunch that the majority of awards redeemed were by SuperElite members..."

So you mean the 6K to 8K SEs account for most of those 1.4 million reward tickets? That would be almost 200 trips a year for each of us. Hell, we have enough travel earning the status, let alone using the **** miles!
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Old Jun 26, 2003, 12:30 pm
  #25  
msn
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by Academic:
Actually, their ads say every 20 seconds, and that is (more or less)correct if 1.4M awards were redeemed: 1.4M/365 = 383 per day; /24 = 160 per hour; /60 = 2.66 per min, so about 3 per minute. Would AC lie to you? </font>

Yes, it would. One award every 20 seconds woul be 1,576,00 awards a year. Perhaps the ad said, "Give or take ten percent or so, depending on if we did our math correctly?"
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Old Jun 26, 2003, 12:34 pm
  #26  
Company Representative - Air Canada
 
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You need to take into account awards that ended up being cancelled.
Andrew Yiu is offline  
Old Jun 26, 2003, 12:40 pm
  #27  
 
Join Date: Jan 2002
Location: Vancouver, BC, Canada
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<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by Shareholder:
So you mean the 6K to 8K SEs account for most of those 1.4 million reward tickets? That would be almost 200 trips a year for each of us. Hell, we have enough travel earning the status, let alone using the **** miles!</font>
Yes. Considering SuperElites have no capacity controls and earn a lot more miles. When was the last time a non super-elite was able to burn through several hundred thousand miles a year...

Can't super elites redeem award tickets for other people?
keithguy is offline  
Old Jun 26, 2003, 12:48 pm
  #28  
Company Representative - Air Canada
 
Join Date: May 1999
Location: Canada
Posts: 24,215
Yes, they can. A SuperElite earns a minimum of 195K total miles per year.
Andrew Yiu is offline  
Old Jun 26, 2003, 12:51 pm
  #29  
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At the right price, I am sure one of us SEs will accommodate you. But, yes, I have redeemed awards for friends who later redeemed a similar value award from their account for me. I have never had a problem getting dates or destinations, even from my non-status friends. [Of course, on these no money ever changed hands.]
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Old Jun 26, 2003, 1:32 pm
  #30  
msn
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A SuperElite looking to go to Europe with somoen can go through 140K pretty fast - let's say each SE does something like that on average, every year - there's only 12,000 or 16,000 tickets, but 840,000,000 to 1,120,000,000 miles a year.
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