AS Launches First-Ever Flight Subscription Service (Flight Pass) in CA, AZ, NV and UT
#91
Join Date: Aug 2012
Posts: 6,752
This is a No-Lose deal for AS. Costs are minimal, as they’ve got experience with a pre-pay multiple flight travel system from Alaska and the use of resident Permanent Fund dividends. Via the employee/retiree web site they allow MP earning, elite upgrades and more importantly no restrictions on IROP re-booking. From seat assignment to baggage check, they plan to treat it as a Main Cabin fare. Some will find value, most like me? Probably not. But I expect the CA routes are a trial ballon to see if this program generates enough revenue to be sustainable. Then maybe expand it to other regions? Lol at the very least they’ve got FT’ers talking, which is always fun.
However, this is one of those deals where one would have to be very discerning and do some legwork on the relative valuation of the price vs. value. For instance, the only route I know very well is SFO - LAS and it's here where, at least right now, I don't see how I could lose on a 6 flight deal over the span of the next 12 months--probably wouldn't even lose on a 12 flight package. Several years ago when oil prices were relatively low and B6 still in the market, you'd often see sale prices from SFO - LAS at around $19 - $25 fairly routinely. During the pandemic, with F9 taking over B6's prior disruptor role, flights were routinely around $15 and topping out at around $49.
So, now it seems leisure travel will supplant business travel over the next 6 - 12 months as the main driver to the LAS markets and with convention business predicted to recover next quarter as pandemic restrictions are relaxed in Vegas along with rising oil prices, it's, in my view, a pretty safe bet that the SFO - LAS pricing can only increase. With that onerous elite tax here to stay, at least in the foreseeable future, and the 24 seg requirement, this deal can range from good to great for some portion of the AS elites who fly frequently on these CA routes.
No idea what will happen after the initial 12 months, but with this route--SFO - LAS/LAX--I'd bet the prices go up, which I have by subscribing. Assuming there isn't a super-duper deadly variant triggering complete scrambling back into the confines of our crates again, I'll easily meet the 100K mileage thresholds with partners, but need some help with the 24 segments--this nicely and neatly takes care of all of the above.
Am I missing anything? From my analysis, those in or similar to my situation, it appears to be a no brainer for the next 12 months.
Last edited by dayone; Feb 19, 2022 at 3:56 pm Reason: Fix quote syntax.
#92
Join Date: Jan 2021
Location: SFO
Programs: AS MVP Gold 100k, UA Silver, AC P25k, Marriott Titanium, Hilton Gold, IHG Platinum
Posts: 861
#94
Join Date: Jan 2021
Location: SFO
Programs: AS MVP Gold 100k, UA Silver, AC P25k, Marriott Titanium, Hilton Gold, IHG Platinum
Posts: 861
This flight pass should be SIMPLE.
This whole 49 per month but only get a flight a RT every other month?
Then need to book 14 days in advance and even then you can only use it for empty flights. the FP should be based on fare class that is somewhat always available right up to departure say the M fare class. That is the point of a flight pass....flexiblilty and ease of use.
They should look to AC - they have had extensive flight passes for years. But even AC has issues since a lot of thier fares are cheaper than the FP - the only interesting value is the "unlimited flight for X months"
And then not to be seamless into your MP acct? Separate entitiy etc.
This was a third party selling this to AS and the third party is going to get the breakage split....
Initially i was excited for something meaningful....but overly complicated....hard to use and i can get fares as needed for less with more flexibility on the regular booking channel. I was hoping for a "all you can travel FP" or something....but i think they really swung and missed here.
This whole 49 per month but only get a flight a RT every other month?
Then need to book 14 days in advance and even then you can only use it for empty flights. the FP should be based on fare class that is somewhat always available right up to departure say the M fare class. That is the point of a flight pass....flexiblilty and ease of use.
They should look to AC - they have had extensive flight passes for years. But even AC has issues since a lot of thier fares are cheaper than the FP - the only interesting value is the "unlimited flight for X months"
And then not to be seamless into your MP acct? Separate entitiy etc.
This was a third party selling this to AS and the third party is going to get the breakage split....
Initially i was excited for something meaningful....but overly complicated....hard to use and i can get fares as needed for less with more flexibility on the regular booking channel. I was hoping for a "all you can travel FP" or something....but i think they really swung and missed here.
#96
Join Date: Nov 2014
Location: SoCal,
Programs: BAEC Gold, AA PPro
Posts: 771
While only speaking for myself, it appears to be a "no-lose" deal for me too.
However, this is one of those deals where one would have to be very discerning and do some legwork on the relative valuation of the price vs. value. For instance, the only route I know very well is SFO - LAS and it's here where, at least right now, I don't see how I could lose on a 6 flight deal over the span of the next 12 months--probably wouldn't even lose on a 12 flight package. Several years ago when oil prices were relatively low and B6 still in the market, you'd often see sale prices from SFO - LAS at around $19 - $25 fairly routinely. During the pandemic, with F9 taking over B6's prior disruptor role, flights were routinely around $15 and topping out at around $49.
So, now it seems leisure travel will supplant business travel over the next 6 - 12 months as the main driver to the LAS markets and with convention business predicted to recover next quarter as pandemic restrictions are relaxed in Vegas along with rising oil prices, it's, in my view, a pretty safe bet that the SFO - LAS pricing can only increase. With that onerous elite tax here to stay, at least in the foreseeable future, and the 24 seg requirement, this deal can range from good to great for some portion of the AS elites who fly frequently on these CA routes.
No idea what will happen after the initial 12 months, but with this route--SFO - LAS/LAX--I'd bet the prices go up, which I have by subscribing. Assuming there isn't a super-duper deadly variant triggering complete scrambling back into the confines of our crates again, I'll easily meet the 100K mileage thresholds with partners, but need some help with the 24 segments--this nicely and neatly takes care of all of the above.
Am I missing anything? From my analysis, those in or similar to my situation, it appears to be a no brainer for the next 12 months.
However, this is one of those deals where one would have to be very discerning and do some legwork on the relative valuation of the price vs. value. For instance, the only route I know very well is SFO - LAS and it's here where, at least right now, I don't see how I could lose on a 6 flight deal over the span of the next 12 months--probably wouldn't even lose on a 12 flight package. Several years ago when oil prices were relatively low and B6 still in the market, you'd often see sale prices from SFO - LAS at around $19 - $25 fairly routinely. During the pandemic, with F9 taking over B6's prior disruptor role, flights were routinely around $15 and topping out at around $49.
So, now it seems leisure travel will supplant business travel over the next 6 - 12 months as the main driver to the LAS markets and with convention business predicted to recover next quarter as pandemic restrictions are relaxed in Vegas along with rising oil prices, it's, in my view, a pretty safe bet that the SFO - LAS pricing can only increase. With that onerous elite tax here to stay, at least in the foreseeable future, and the 24 seg requirement, this deal can range from good to great for some portion of the AS elites who fly frequently on these CA routes.
No idea what will happen after the initial 12 months, but with this route--SFO - LAS/LAX--I'd bet the prices go up, which I have by subscribing. Assuming there isn't a super-duper deadly variant triggering complete scrambling back into the confines of our crates again, I'll easily meet the 100K mileage thresholds with partners, but need some help with the 24 segments--this nicely and neatly takes care of all of the above.
Am I missing anything? From my analysis, those in or similar to my situation, it appears to be a no brainer for the next 12 months.
#97
Join Date: Apr 2003
Programs: B6 Mosaic, Bonvoy LT Titanium (x SPG LT), IHG Spire, UA Silver
Posts: 5,844
The other problem for AS is that their fan base is in AK/WA/OR and they piss those people off by not including any routes to or within the PNW. Just look at all the social media commentary. It is all about people being disappointed it is not offered from the state of AK or from PDX/SEA.
#98
Join Date: Aug 2012
Posts: 6,752
Thus far, the signing up process (aside from not taking Amex which they really need to resolve) has been easy and my initial flight bookings have been seamless. It appears on my Alaska account where I manually select a premium seat with an auto-upgrade request to F. Everything appears as it should except for the ticket code "M," which I've never seen before.
Here's the potential savings: Booked LAS to SFO in March for a Monday (have a $15 F9 on the initial leg from SFO - LAS) where the return fares are generally higher. The cheapest fare on that day was around $60'ish on F9, and even if I had 200K Elite status with F9, I'd never pay more than $30 for any of their flights. For the RT, I just picked the most expensive day in March where I'm headed there again. So, even before paying my March sub fee, just with the back of the envelope calculation here, I've saved about $30 - $40 in cash (on that Monday where I'd have to pay regardless), rack up 2 segs and fly with my elite status which, all things being equal, is infinitely a better experience than either WN or F9, even on their best days.
And, I ain't the most experienced flyer or the sharpest tool in the shed, but the way it worked above seemed pretty clear the moment I read (yes, I actually did read it this time) FAQ and T&Cs of the deal. No idea about the next 5 of my 6, but if this keeps up, I'm upping it to 12.
PS - Also, it appears AS has finally gotten rid of most of those twinkie jets on the SFO - LAS route. Good, stick them on a route I don't fly.
Here's the potential savings: Booked LAS to SFO in March for a Monday (have a $15 F9 on the initial leg from SFO - LAS) where the return fares are generally higher. The cheapest fare on that day was around $60'ish on F9, and even if I had 200K Elite status with F9, I'd never pay more than $30 for any of their flights. For the RT, I just picked the most expensive day in March where I'm headed there again. So, even before paying my March sub fee, just with the back of the envelope calculation here, I've saved about $30 - $40 in cash (on that Monday where I'd have to pay regardless), rack up 2 segs and fly with my elite status which, all things being equal, is infinitely a better experience than either WN or F9, even on their best days.
And, I ain't the most experienced flyer or the sharpest tool in the shed, but the way it worked above seemed pretty clear the moment I read (yes, I actually did read it this time) FAQ and T&Cs of the deal. No idea about the next 5 of my 6, but if this keeps up, I'm upping it to 12.
PS - Also, it appears AS has finally gotten rid of most of those twinkie jets on the SFO - LAS route. Good, stick them on a route I don't fly.
#99
Join Date: Feb 2022
Programs: Alaska MVP Gold 100K, Frontier Elite100K
Posts: 222
I'm sure it has value if you use it every month but AS is counting on you to not get a chance to use it at some point during the 12 months of subscription. AS is not in the business of losing money on every flight so it has calculated that many subscribers will not be able to use some of their credits to make this service work. Given the pure volume of flying FT members fly, FT members are not AS intended subscribers. It's like buffets, it doesn't work if every customer eats their weight, it only works if small eaters are lining up as well.
#100
Join Date: Aug 2012
Posts: 6,752
Exactly right. People buy a season pass for amusement parks, etc because it is simple and they can go when they want. AS has been touting this as the Netflix for flights when that is a very poor comparison. Imagine getting a Netflix subscription and only one person could watch one movie/TV show every two months and you had to confirm which one that was 2 weeks in advance. Then if you want to change and watch another show you need to call a third party to change from one show to another, potentially have to pay an additional fee, etc. Netflix would not be in business if that were their model.
The other problem for AS is that their fan base is in AK/WA/OR and they piss those people off by not including any routes to or within the PNW. Just look at all the social media commentary. It is all about people being disappointed it is not offered from the state of AK or from PDX/SEA.
#101
FlyerTalk Evangelist
Join Date: Dec 2006
Location: Pacific Northwest
Programs: UA Gold 1MM, AS 75k, AA Plat, Bonvoyed Gold, Honors Dia, Hyatt Explorer, IHG Plat, ...
Posts: 16,808
The partner that AS teamed up with to build the subscription service describes it here (in a pitch to airlines, not travelers):
https://www.caravelo.com/travel-subscriptions/
Isn’t the loyalty program supposed to solve the customer re-acquisition problem? Do they think there is a big market of people who weren’t “loyal” to Alaska via MileagePlan and now sign up for this new scheme?
Frankly, most subscriptions for products that historically weren’t subscription-based because they were more of a product purchase model (software licenses, for example) tend to be great for the company but not so good for the consumer.
https://www.caravelo.com/travel-subscriptions/
Modernize and increase your revenue streamsIf you work in travel, you have a choice. You can focus on individual bookings and constantly re-acquire customers, or you can create a healthy mix of individual sales and subscribers that will book automatically every month.
The choice is simple, and it’s why so many industries have integrated subscription models into their sales strategy.
The choice is simple, and it’s why so many industries have integrated subscription models into their sales strategy.
Frankly, most subscriptions for products that historically weren’t subscription-based because they were more of a product purchase model (software licenses, for example) tend to be great for the company but not so good for the consumer.
#102
Join Date: Aug 2012
Posts: 6,752
This has been my experience and I generally hate subscriptions. Even now, if it weren't nearly free, I'd rather buy my music than subscribing to it year after year. When Microsoft introduced that Office 365 sub model, I absolutely hated it and just purchased the DVD version for the one time cost and will use it for the next 10 years.
#103
Join Date: Aug 2015
Location: SFO
Programs: AS 75K (OW), SK Silver (*A), UR, MR
Posts: 3,330
I'm sure it has value if you use it every month but AS is counting on you to not get a chance to use it at some point during the 12 months of subscription. AS is not in the business of losing money on every flight so it has calculated that many subscribers will not be able to use some of their credits to make this service work. Given the pure volume of flying FT members fly, FT members are not AS intended subscribers. It's like buffets, it doesn't work if every customer eats their weight, it only works if small eaters are lining up as well.
#104
FlyerTalk Evangelist
Join Date: Dec 2006
Location: Pacific Northwest
Programs: UA Gold 1MM, AS 75k, AA Plat, Bonvoyed Gold, Honors Dia, Hyatt Explorer, IHG Plat, ...
Posts: 16,808
While I suspect this experiment will not be very successful and thus end or change significantly, it is interesting for a (Russian speaking) FTer to study. And I definitely prefer that they experiment with this type of “loyalty” scheme than with the MileagePlan scheme I like and use
#105
Join Date: Jun 2009
Location: LAX
Programs: HH Diamond, Kimpton IC, Marriott Plat, AS MVP Gold
Posts: 549
Business partner just enrolled in the $189 flight pass program (not pro) for one specific reason. She flies back and forth SFO-PSP for work and goes at least twice a month so for her this was a screaming deal. She is one of the few that I see this really working for. PSP is spendy to get into with really no competition. I don't do enough interstate travel/Vegas to make it work for me even at the lower levels. For the most part AS has otherwise alienated a lot of Bay area pax with their cut backs. Perhaps this is a poor attempt at gaining back some CA paxs again.