USA TODAY has a very good read which highlights what to expect in the next year regarding flight schedules. It’s not pretty, especially for those of you who travel out of non-hub cities. Some tiny airports will lose the majority of their air service as smaller carriers such as Mesa Airlines fall victim to the high fuel prices (currently @$130/barrel). Regional jets, a popular choice for smaller cities and shorter routes are no longer profitable at these oil prices so many airlines are planning to ground these types of planes.
The fall-out for travelers:
- Higher fare prices as reduced competition allows airlines to raise prices on less profitable segments
- Higher travel times in the form of less non-stop flights and more required connections
- More crowded planes as people squeeze into the available flight schedules
- Less flexibility in travel times and dates, especially for vacation destinations
We may not see this immediately, but it will hit us at some point depending on where we are departing and where we are going. There’s not much we can do to prevent high oil prices, but you can minimize the impact to your travel plans by planning early.
As frequent travelers, sometimes our flight schedules are fixed so book out as far as possible. Southwest gives you an edge as there are no costs for applying unused tickets to other Southwest ticket purchases. The same cannot be said for all the other major airlines.
Plan your vacations and book early to get the dates which fit your schedule. If you wait too long, you may not have the option to get on the flight and if you do, you may be paying up the nose for the few seats remaining.
In any case, expect higher prices regardless of when you plan to fly in the future. Play it smart and don’t procrastinate. Have a good week.
A reader passed on an interesting article from CNN’s travel section which relays some confessions of an ex-airline agent.
There are a few interesting tidbits which give some transparency into the inner workings of airline travel. It appears the poor financial outlook for airlines is driving down the level of customer service (oh really?). Poor training, low wages and non-existent perks result in ill-equipped agents manning the front-lines. An antiquated hodge-podge of systems only add to the difficulties in servicing you - the customer.
The best thing to do is remain calm and have patience regardless of the situation. While "free" upgrades are a thing of the past, being friendly and courteous can be the difference between spending another night at the airport and getting home to see your family and friends.
And in case you were wondering, there is a way for agents to pass their experiences with you to other agents.
Ticket agents are always updating Passenger Name Records, or PNRs. These computer files, which contain basic details on passengers’ trips, are accessible to most agents at check-in counters and departure gates.
Agents generally use PNRs to record special requests by passengers, but sometimes they also comment on a person’s behavior.
A friend of mine discovered this after she had a heated argument with a ticket agent about getting an upgrade on a flight to London. When she reached her gate and inquired again, the agent remarked on her "inappropriate behavior" at check-in, and my friend was stuck with her economy-class seat.
Good to know. Safe travels.
Straight from my email box to your favorite frequent traveler blog. For those of you looking to rent cars for the weekend, you can use the following promotions to earn double award points and 50% off weekend rentals.
Non-airport locations: PC# 118510
Airport locations: PC# 118506
Details can be found here.
Drive safe.
United Airlines recently raised the fee imposed for a ticket change from $100 to $150. This is not good news for frequent flyers who end up changing flights quite often based on a dynamic schedule. United is only digging themselves deeper in a hole - short gains for long term pain. The majority of airlines out there play the”captive audience” game - they figure you have no choice but to fly with them because of your destination. They are missing the bigger picture - with frequent flyer points being de-valued everyday, the only reason you would stick with an airline, is so you can board first. That’s a sad state of affairs for airlines.
I’ve switched to Southwest and their customer service and operational efficiency is bar-none, the best in the industry. I am off the plane a minute after it reaches the gate. They almost always depart and arrive on time. They are that good.
Some of you won’t have that option based on the airports available to your travel schedule, but for those of you who have Southwest as an option, I implore you to look into it. For the business travelers who’ve tried it, there’s no turning back.
Reuters News Feed:
NEW YORK (Reuters) — United Airlines said Sunday it was hiking the fee it charges passengers to change tickets from $100 to $150 in an effort to combat high fuel costs.
A spokeswoman for the airline said in an e-mailed statement that the company this weekend made the change to its ticketing policy.
It also added a Saturday night stay requirement on all tickets where it competes head-to-head with other legacy carriers, which she said will affect 65% of all the markets it serves. That will have the most impact on business travelers, who typically don’t want to spend a Saturday night in their destination.
U.S. airlines have announced a number of fare hikes, fuel surcharges and fee increases recently as they battle higher fuel prices and a weakening economy.
United parent UAL said on April 10 it has raised fares in the United States and Canada by up to $30 round-trip. United has raised fares by $4 to $30 per round-trip depending on mileage and competition from low-cost carriers.
Unfortunately, it will only get worse as airlines look for additional ways to cut costs or pass those costs onto the customer.
Continental: Responds to Delta & Northwest Merger
More merger news, this time directly from Continental. Interestingly, they started their own website to provide their perspective on the current airline industry consolidation.
Statement from Continental’s website:
As we’ve said repeatedly for more than a year and a half, our preference has been to remain independent as long as the competitive landscape remained the same. However, the landscape is changing. We will review our strategic alternatives and make sure we remain a strong long-term competitor. As always, our goal is to do what is best for our co-workers, shareholders, customers and communities we serve.
Translation: We will be consolidating in the near future.
The Wall Street Journal has an article on what airline consolidation means for fliers such as yourself. The title, “What’s in a Merger? For Fliers, Not Much” may be enough of a summary, but feel free to check out the article for the details. I’ve included a few choice quotes for additional context.
A few choice quotes from the WSJ article:
The history of airline combinations shows that travelers face a couple of years of more frequent missed connections, vanished reservations and lost baggage, flight delays and unhappy employees. Equally daunting for the companies themselves, many airlines have ended up losing the assets they bought.
Hubs and routes that were able to generate profits before the merger typically survive, and air service that struggled to make money before a merger often disappears after a merger.
New contracts for employees can push costs higher. Different types of airplanes drive expenses up by requiring more spare parts, more training for pilots and mechanics, and refitting of cabins and cockpits, for example.
…airlines already share passengers and, in the case of alliance partners, already price and sell their product as if they were the same airline. That’s true in the case of Delta and Northwest; they’ve already merged their flight schedules as SkyTeam partners. Generating new revenue may be tough.
At the same time, history has shown that competitors can take away customers of the merged airlines when their flights run late or labor groups stage protests. Another pitfall: Losing alliance partners. Continental Airlines Inc. is currently partnered with Delta and Northwest, but could well enter into its own merger feeling the need to get bigger. That could result in the Delta-Northwest combination losing substantial presence in New York and Houston, two of the four biggest cities in the country.
Doesn’t look great for the frequent flyer, but with oil prices chasing $100 dollars a barrel and the current economic situation - what choice do they have?
From a co-worker: According to a United pilot, an in-place contract between Continental and either Northwest or Delta is no longer valid due to the announced Delta / Northwest merger. This opens the door for a merger between United and Continental.
Mergers reduce competition and choices for the customer. In most cases, this will result in higher prices. On the bright side, depending on your location, it could mean more choices to fly and more flexibility of your (constantly de-valued) frequent flyer points.
Let the courting process begin.
If you haven’t heard already, you’re probably not a Northwest or Delta flyer. Subject to regulatory review, Delta and Northwest Airlines are merging. The new (old) name will be called Delta Air Lines. The details can be read from the following email sent out to a Northwest WorldPerks member.
Letter to a Northwest WorldPerks Member:
Dear John Smith,
As a valued Northwest Airlines customer and WorldPerks® member, I wanted you to be among the first to hear that we have announced a merger with Delta Air Lines. Subject to regulatory review, our two airlines are joining forces to create America’s premier global airline which, upon closing of the merger, will be called Delta Air Lines.
By combining Northwest and Delta, we are building a stronger, more resilient airline that will be a leader in providing customer service and value. Our combined airline will offer unprecedented access to the world, enabling you to fly to more destinations, have more flight choices and more ways than ever to earn and redeem your WorldPerks miles.
You can be assured that your WorldPerks miles and Elite program status will be unaffected by this merger. In addition, you can continue to earn miles through use of partners like WorldPerks Visa®. And once the new Delta Air Lines emerges you can look forward to being a part of the world’s largest frequent flyer program with expanded benefits.
The combined Delta Air Lines will serve more U.S. communities and connect to more worldwide destinations than any global airline. Our hubs – both Delta’s and Northwest’s – will be retained and enhanced. We will be the only U.S. airline to offer direct service from the United States to all of the world’s major business centers in Asia, Latin America, Europe, Africa and around North America.
Both airlines bring tremendous strengths to this new partnership. Our complementary service networks form an end-to-end system that is truly greater than the sum of its parts. This is a merger by addition, not subtraction, which means all of our hubs – both Northwest’s and Delta’s – will be retained. In addition, building on both airlines’ proud, decades-long history of serving small communities, we plan to enhance global connections to small towns and cities across the U.S.
All of these positive benefits of our combination mean that we can: * Offer a true global network where our customers will be able to fly to more destinations, have more schedule options and more opportunities to earn and redeem frequent flyer miles in what will become the world’s best and most comprehensive frequent flyer program. * Continue to serve our current roster of destinations and to maintain our hubs in Atlanta, Cincinnati, Detroit, Memphis, Minneapolis/St. Paul, New York, Salt Lake City, Amsterdam and Tokyo. * Improve our customers’ travel experience, through new products and services including enhanced self-service tools, better bag-tracking technology, more onboard services, including more meal options, new seats and refurbished cabins. While we work to secure approval of our merger, which may take up to 6 to 8 months, it will be business-as-usual at both airlines. We will continue to operate as independent airlines and the people of Northwest will remain focused on providing you with the very best in safe, reliable and convenient air travel. At the same time, both airlines will be planning for a seamless integration of our two airlines, one that delivers to you the enhanced benefits that will earn – and retain – your preference.
As we work through this process, we will keep you informed at every step along the way. Thank you for your business and we look forward to serving you on your next Northwest flight.
Sincerely,
Bob Soukup Managing Director, WorldPerks
There you have it - straight from the horse’s mouth.
This is more evidence why you should be SPENDING your frequent flyer miles whenever possible. At the bottom of this post is an email from USAir. In a nutshell, USAir passengers will receive ONLY the miles that are actually flown. Before this change, the 500 miles floor ensured at least 500 miles per segment. In addition, a new fee will apply when booking flights within 14 days of departure. Remember the days when one of the benefits of frequent flyer miles was for use in emergency late bookings? Those days are long gone.
You just have to love the way they spin this:
As part of our continuing efforts to provide valuable benefits to our frequent flyers, US Airways is making a change to our Dividend Miles program. We’re making these changes to offset record fuel prices and rising airline related expenses while maintaining the benefits you’ve come to expect.
They are definitely doing something, but it’s not increasing your benefits as a frequent flyer.
Don’t fool yourself about the value of your points. They are the first to be de-valued when it comes to cutting costs. The complete text is below.
Beginning May 1, 2008, Dividend Miles will award the actual number of miles flown rather than a minimum number of miles flown for each segment. Also, members who redeem miles for award travel within 14-days of departure on usairways.com will be assessed a quick ticketing fee.
Here’s a summary of the policy changes:
Accrual * Tickets purchased on/after March 1, 2008 for travel on US Airways on/after May 1, 2008 will earn the actual number of miles flown and will no longer earn a minimum of 500 miles per segment. * Tickets flown on partner airlines after May 1, 2008 will earn the actual number of miles flown. Tickets purchased prior to March 1, 2008 will continue to earn the 500 mile minimum for travel after May 1, 2008. Accrual on flight segments greater than 500 miles in length are not impacted by this change. Redemption * Members redeeming miles for award travel online within 14-days of departure will be assessed a quick ticketing fee of $50 per ticket.
A quick ticketing fee of $75 per award ticket will continue to apply for award tickets purchased from US Airways Reservations. Chairman’s and Platinum Preferred members booking within 14-days (both online and by phone) are exempt from the fee.
Historically, I’ve been a self-admitted technology-junkie. I used to be a technology fanatic before that, but time (less of it) got in the way. Today, I still like technology, but first I ask myself, “Will the time I put into learning some new technology pay me back in time-saving dividends down the line?” If the answer is “Yes”, I pick it up. Most of the time, the answer is “No” and I mentally drop it into the “one day when I have time, maybe I’ll pick it up, but until then, this will just be a big time sink” bucket.
It all comes down to efficiency, when and where it makes sense. Tedious tasks - automate them. Repetitive tasks - get it to down a process so you don’t have to think about it. Complex tasks - break them down into simple tasks, then automate what you can. If in doubt, find the keyboard shortcut.
This need for efficiency drove me to read several self-help books. Out of all the self-help books I’ve devoured, only “Getting Things Done” by Dave Allen proved to be practical and immediately valuable. The best part is I didn’t have to apply the entire system to start gaining value from reading the book. I was reminded of this book by a recent radio show titled “Tech Junkies Crazy About ‘Getting Things Done’” on NPR’s “All Things Considered”. I wholeheartedly recommend checking out this book - it was well worth my time and could be worth yours.
Remember, spending time with your loved ones should never be considered a task. Spend as much time as possible with them and avoid automating with a DVD player, television, or anything technology.
Based on the following email, it looks like broadband is coming to an airline near you. A co-worker mentioned Southwest and JetBlue will also be providing broadband access for transcontinental flights.
American Will Be The First U.S. Airline To Launch Aircell’s Real-time Broadband Connectivity
American Airlines is committed to enhancing the travel experience for its customers as the first aircraft installation of the Aircell® Internet broadband connectivity solution has been completed. American, which will be the first U.S. airline to offer customers Aircell’s Internet broadband solution, plans on additional installations and testing of the technology in 2008 on all 15 of its Boeing 767-200 aircraft that primarily fly transcontinental routes.
Aircell’s exclusive air-to-ground broadband system will provide customers with an Internet connection, VPN (virtual private network) access, and e-mail capabilities through all Wi-Fi-enabled laptops, PDAs and portable gaming devices. Customers will experience speeds similar to wireless, mobile, broadband services on the ground
After testing and certification is completed, customer benefits will also include:
• Complimentary access to AA.com including services such as gates and times, fares and AAdvantage information, • Access to the Wall Street Journal Digest Edition, • Compatibility with VPNs used to access corporate intranets and exchange email, • And seamless coverage over the continental U.S. above 10,000 feet.
Aircell will offer the connectivity solution to American Airlines customers in all classes of service on the B767-200 aircraft for a fee.
The jet engine puts me to sleep, but for those of you who need your online fix even in the air. There’s hope in your future.