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Is AA becoming a Credit Card company that happens to run an airline?

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Is AA becoming a Credit Card company that happens to run an airline?

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Old May 5, 2023, 8:16 pm
  #1  
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Is AA becoming a Credit Card company that happens to run an airline?

AA seems to benefit the purchasing manager with a AA branded corporate credit card over the BIS traveler.

Am I wrong? And where might this go? Would it be a Credit Card "benefit" to have AA status rather than AA status due to Credit Card spend?
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Old May 5, 2023, 8:25 pm
  #2  
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AA is already a credit card company that happens to dabble in aircraft
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Old May 5, 2023, 8:29 pm
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Yes, they are. But my question is, at what point does the airline division of their company perform so poorly that it affects the credit card divisions profits?
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Old May 5, 2023, 8:41 pm
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Yes.

Does this question belong in the newbie thread?!
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Old May 5, 2023, 9:09 pm
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I’m so glad that you asked about this. Because this thread has been specially selected to receive an exclusive offer, where you can earn 50,000 AAdvantage® miles after your first purchase. That’s enough miles for two free round trip domestic tickets. So many people have been asking us about this offer that there are just a few applications left.
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Old May 5, 2023, 9:23 pm
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Originally Posted by bryanb
I’m so glad that you asked about this. Because this thread has been specially selected to receive an exclusive offer, where you can earn 50,000 AAdvantage® miles after your first purchase. That’s enough miles for two free round trip domestic tickets. So many people have been asking us about this offer that there are just a few applications left.
Just buy a stick of gum.
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Old May 5, 2023, 9:54 pm
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Originally Posted by dcdaveo
AA seems to benefit the purchasing manager with a AA branded corporate credit card over the BIS traveler.

Am I wrong? And where might this go? Would it be a Credit Card "benefit" to have AA status rather than AA status due to Credit Card spend?
Welcome to the 2010s!
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Old May 5, 2023, 10:05 pm
  #8  
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I find it hilarious that people still think that CC spend is the way to status at 1 LP per dollar. Slow and steady I guess.

FWIW hotel programs have been doing this for a while.
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Old May 6, 2023, 1:26 am
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Seems like their ideology is dabble in different sectors and try to maintain bare minimum effort before people hate it too much and cause enough of a storm that requires changes. If everyone is just "content" with it, might as well continue until it goes down under.
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Old May 6, 2023, 6:25 am
  #10  
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Originally Posted by VegasGambler
I find it hilarious that people still think that CC spend is the way to status at 1 LP per dollar. Slow and steady I guess.

FWIW hotel programs have been doing this for a while.
What's so funny about that? If someone gets status through credit card spending, what's it to you? I fly at least one round trip a week and spend well into the six figures each year on AA credit cards--is that a problem for you?

I figure that credit card revenues may be more profitable for AA than transporting people who bought tickets with cash, so it's AA's prerogative to encourage one type of revenue more than the other.
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Old May 6, 2023, 6:38 am
  #11  
 
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Originally Posted by VegasGambler
I find it hilarious that people still think that CC spend is the way to status at 1 LP per dollar. Slow and steady I guess.

FWIW hotel programs have been doing this for a while.
There's a hotel program that lets you earn status purely through credit card spend?
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Old May 6, 2023, 7:08 am
  #12  
 
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Originally Posted by nineworldseries
There's a hotel program that lets you earn status purely through credit card spend?
Sure - you can do it with Hyatt, though it's not fast
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Old May 6, 2023, 8:07 am
  #13  
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Check this video:
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Old May 6, 2023, 8:26 am
  #14  
 
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Originally Posted by VegasGambler
I find it hilarious that people still think that CC spend is the way to status at 1 LP per dollar. Slow and steady I guess.

FWIW hotel programs have been doing this for a while.
Ive been an ExPlat (or US Chairman’s) since roughly 2009 and always having done it thru actual flying, and a lot of long haul premium cabin. My travel patterns have changed this year due to a different focus at work so I’m most certainly not going to requalify under normal circumstances.

so what do you recommend as the best way of doing that? I don’t have a ton of CC spend in general - maybe $5k per month total.
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Old May 6, 2023, 8:31 am
  #15  
 
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Originally Posted by Penguinmoon
Yes, they are. But my question is, at what point does the airline division of their company perform so poorly that it affects the credit card divisions profits?
Operational; this is the best AA has been run in 20 years and they have been near the top in the US over the last year. If you are talking financially they have also improved tremendously too and have great tailwinds now vs headwinds of the recent past.
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