Southwest Reserves the Right to Behave Badly

Beware frequent flyer program announcements that are made on weekends or late in the day on a Friday. It's a tactic used by spinmeisters in politics and the corporate world to minimize the negative reaction of the public and the media to bad news.

In last week's newsletter, we reported on American's new restrictions on mileage expiration, which the airline announced on a Saturday -- hoping, apparently, that it wouldn't find its way into the weekday news cycle.

The latest such move comes from Southwest, which last week sent out what appeared to be just another marketing communications email, headlined "Rapid Rewards E-mail Update." But if it were good news, why did Southwest wait until after business hours on Friday, June 8, to make it public?

Our suspicions were well founded. Buried at the bottom of the otherwise chatty and upbeat missive was the following:

Effective December 8, 2007, Southwest Airlines reserves the right to amend, suspend, or terminate the Rapid Rewards program at any time, with 30 days notice. This constitutes a revision of Rapid Rewards rule #27, which currently states: Southwest Airlines reserves the right to amend, suspend, or terminate this program at any time, with six (6) months notice.

This doesn't completely strip Rapid Rewards of its value, any more than American's new rule sinks the AAdvantage program.

But the policy change -- and the way it was communicated -- are part of a cynical trend toward disrespecting the rights and needs of the traveling public.

And no matter how or when it's communicated, that disrespect is the message airlines are sending to their best customers.

FrequentFlier Forum Topics

As always, there's plenty of activity on the FrequentFlier Forum.

In the "Airline Programs" Forum, madcap76 is looking for a double upgrade on an international flight: "Does anyone know, on most major carriers, if I were to buy a full fare coach ticket on a 3-class flight, can you use your miles to upgrade 'twice' to first class? That is, can you use your miles to first upgrade to biz class, then use the same amount again to upgrade to first class, all in one mileage transaction with the airline?"

Also in the "Airline Programs" Forum, vacation bound Larry is considering leaving American's program for Alaska's, since American changed its mileage expiration rule: "Since AA changed their program to resemble United's, is Alaska Mileage plan a good way to store miles? I travel on AA 1-4 times/year... My questions are mostly about ease of getting award flights using Alaska miles on AA, NWA, Delta or Continental. Anybody with experience redeeming Alaska miles for tickets is appreciated. Secondly, does Alaska give online booking bonuses or other bonus miles?"

Questions, answers? Post them to the Forum!

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ATA Points for Mattresses

Members of ATA's Travel Awards program can now earn points when purchasing Sealy and Stearns & Foster bedding.

Earn up to 3,300 points for mattresses from Sealy, and up to 6,400 points for Stearns & Foster mattresses. Mileage payout amounts to about two points per $1 spent.

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Avis Rolls Out New Benefits Program for Top Renters

Avis has launched Avis First, a new frequent-renter program that features such benefits as a free two-day weekend rental after every third rental; free car upgrades when available; and a dedicated reservation number. Avis First replaces the Avis Preferred Select program, which is no longer offered.

To be eligible for Avis First, customers must rent with their Wizard number, be enrolled in Avis Preferred, and complete 12 qualifying rentals or 35 qualifying rental days during a calendar-year.

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Earn More Miles with the Continental MasterCard

Between June 13 and July 16, OnePass members who have been newly approved for the Continental Airlines World MasterCard credit card from Chase will earn 5,000 more miles after the first purchase. That's in addition to the normal 15,000-mile first-purchase bonus.

Registration is required to earn the extra 5,000 miles.

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Stay at Leading Hotels to Earn Delta Bonus

Through July 15, SkyMiles members will earn a 1,000-mile bonus for qualifying stays at Leading Hotels of the World.

To earn the bonus, bookings must be made at www.lhw.com/skymiles.

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More United Miles for Netflix

Through June 30, new Netflix subscribers can earn 3,000 bonus miles -- double the normal sign-up bonus -- when charging the subscription fee to their Mileage Plus Visa credit card.

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US Air Discounts Awards During Off-peak Periods

Members of US Airways' Dividend Miles program can travel to Europe and the Caribbean for fewer miles if they're willing to schedule their trips during periods when travel demand is low.

Between September 1 and September 30, off-peak Saver awards between the U.S. or Canada and the Caribbean are reduced to 25,000 miles for coach, 50,000 miles for business or first class.

And between January 15, 2008, and February 29, 2008, award travel between North America and Europe is discounted to 35,000 miles for coach, 60,000 miles for business or first class.

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Deal Alert from SmarterTravel.com

1) Belgium and Germany fares on Northwest from $566

Northwest is introducing new service to Brussels and Dusseldorf this summer, and has sale fares from $566 roundtrip. Departures are available from Detroit, Los Angeles, and Minneapolis.

Travel is valid Mondays through Thursdays. Dusseldorf fares are valid through August 26, and Brussels fares are valid from June 15 through September 2. Fall fares are also available to Dusseldorf from August 27 to October 31, and to Brussels from September 3 through October 31. Fares require a Saturday-night stay, and the maximum stay is 30 days. Book tickets at least seven days in advance, and by June 14.

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2) New Orleans Fares on Continental from $150

Continental's latest domestic deal features flights to and from New Orleans. Fares start at $150 roundtrip.

Continental has not listed specific travel dates or a booking deadline.

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Win a Million US Airways Frequent Flyer Miles

Enter US Airways' "Year of a Million Dreams" sweepstakes by July 31 for a chance to win 1 million US Airways miles.

Entries are received by booking a qualifying Disney World vacation package of three or more nights, or by signing up on the US Airways Vacations website (no purchase required).

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[Visit http://frequentflier.com/sweeps.htm for more travel sweepstakes.]

Feedback from the Frontlines of Travel

"I think your title 'American Devalues Miles with New Expiration Rule' is disingenuous. The miles are still worth the same amount (e.g., 25,000 still buys you a standard roundtrip ticket). Furthermore, it is not that these miles expire automatically, in which case I think one could argue that the title is accurate. AAdvantage members just need to have ONE piece of activity every 18 months and they keep all their miles. Yes, one can lose track and not have any activity, but to say that the miles are devalued by this change is misleading in my opinion." [Shahar Z.]

[FrequentFlier.com replies - The value of a frequent flyer mile rises and falls as a function of several related variables: the price of a revenue ticket, the ease with which miles are earned, the availability of award seats, and the work required to maintain the miles. To the extent that some program members will now have to expend more time and energy monitoring their accounts and acting to prevent miles from expiring, the value of a mile is diminished.]

"I don't view the mileage expiration changes to be as negative as what has been expressed in the news. I do think the airlines really missed an opportunity to shine with these announcements. The expiration changes will significantly lower the balance sheet debt, and there are immediate and obvious program enhancements the airlines could have rolled out with the changes. A short term or limited bonus miles promotion to all members would have been on par with the mileage change and also a welcome gesture, for example. Or, given that this will lower their internal break-even cost of a mile; they could have lowered the mileage redemption levels for last minute reward travel from the normal 50,000 miles to 40,000.

"But I don't think this change impacts the airlines' best customers. I don't even think it impacts their infrequent travelers. It does impact people who fell off the boat, don't fly any more, and don't know how to play the program. And honestly, I'm ok with that. When the airlines keep those old miles on the books, it puts financial pressure on them that makes them not do something else; something else that could benefit the active flyers; the people who are the airlines best customers.

"Miles are a currency to promote loyalty and build customer engagement, and I don't believe the new mileage expiration changes detract from that." [Glenn S.]

"I am an AA frequent flier and do not find the 18 months expiration so bad. Whoever flies so little has little chance to accumulate meaningful mileage anyway. Difficulty to get an upgrade confirmed with miles is a different issue, in my view much more liable to criticism." [Pedro S. - Caracas, Venezuela]

"I just returned from a trip to China and was able to use miles to go over and come back in Business Class, but for 328 of the 331 days before my return, I did not know how I would return. I originally contacted United 331 days prior to the outbound date and somehow I was able to obtain savor award seats for two of us. However, when I started calling for the return, to protect myself, I started two days earlier and I was able to get the seats. However, from that day forward, there were never any seats released. During this period of time there were over 70 seats apparently unsold up until almost 4-5 days before the return date that I was looking for. As it turned out, it was only through the efforts of one of our daughters that we were able to be confirmed on the day that we wanted to return and that was within 24 hours of the date. It was an extremely aggravating situation, which I heard replicated from other travelers on our tour.

"The airlines have created a mess with their programs and they should blow them up. Like many other individuals, I take advantage of the miles available through credit cards and although we travel a lot it is not on one airline and if it were just miles flown, would never earn enough miles for special seats. The programs were originally set up to reward frequent flyers, but they should now be called frequent spenders programs. This may sound like I'm shooting myself in the foot, but the programs should be reconstructed to truly reward those who fly frequently with the other miles awarded or points which should be able to used towards the purchase of a ticket. Special incentives could be set up for more frequent spenders, but don't put out a program that promotes the use of miles to get a ticket and then have to go through all of the aggravation when trying to obtain one of these tickets." [Stephen M. - Rockville, MD]

Until next week...