Should CO have an "AAIRPASS" program?
#1
Original Poster
Join Date: Sep 2002
Posts: 235
Should CO have an "AAIRPASS" program?
I was looking at a brochure for the AA AAIRPASS the other day, along side some of their first class fares, and saw that the AAIRPASS can be a good deal on some routes. They also throw an AC membership, extra insurance(including baggage and trip delay), free drinks and headsets(in coach or on Eagle) and some elite privileges(FC Checkin, security lines and boarding when traveling in coach or on Eagle) in with the AAIRPASS, adding to its value.
What do people here think of the idea of an AAIRPASS for CO? Would anyone here consider buying a CO pass?
jh
What do people here think of the idea of an AAIRPASS for CO? Would anyone here consider buying a CO pass?
jh
#2

Join Date: Aug 2001
Programs: CO Infinite Plat, UA Lifetime 1K, AA EXP, US(ex-CP), VX, DL, Hilton Diamond, Marriott Plat, SPG Gold
Posts: 422
I don't think CO should have an AAirpass-type program. Business travelers will only use it for flights that end up cheaper than regularly available fares. Sure, it gurantees a certain number of miles sold per contract, but those miles will be only used for the equivalent of discounted fares. I know someone at an investment bank in NY whose company was an AAirpass user, and they did not feel obligated to fly AA at all.
[This message has been edited by infiniteflyer (edited 10-28-2002).]
[This message has been edited by infiniteflyer (edited 10-28-2002).]
#3
Original Poster
Join Date: Sep 2002
Posts: 235
<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by infiniteflyer:
I don't think CO should have an AAirpass-type program. Business travelers will only use it for flights that end up cheaper than regularly available fares. Sure, it gurantees a certain number of miles sold per contract, but those miles will be only used for the equivalent of discounted fares. I know someone at an investment bank in NY whose company was an AAirpass user, and they did not feel obligated to fly AA at all.</font>
I don't think CO should have an AAirpass-type program. Business travelers will only use it for flights that end up cheaper than regularly available fares. Sure, it gurantees a certain number of miles sold per contract, but those miles will be only used for the equivalent of discounted fares. I know someone at an investment bank in NY whose company was an AAirpass user, and they did not feel obligated to fly AA at all.</font>
It seems to me that the small discount the AAIRPASS program can give if you use it judiciously is a fair trade-off for a certain amount of guaranteed revenue and the time value of that money. I don't know if AA makes money on its AAIRPASS program or not, though.
I didn't understand one part of your post though. You said that your friend didn't feel obligated to use AA. What did he do with the AAIRPASS. Did he just let the miles expire? Blow them on uneconomical routes?
jh
#4

Join Date: Aug 2001
Programs: CO Infinite Plat, UA Lifetime 1K, AA EXP, US(ex-CP), VX, DL, Hilton Diamond, Marriott Plat, SPG Gold
Posts: 422
I don't know exactly what the company did, but it was a large company so if they had leftover miles, I believe they let their employees fly personal stuff and pay the company back at the discounted rate. I think AAirpass was cheaper for short hauls while transcons were cheaper buying a new ticket because it effectively was a per mile charge account.

