American Airlines Keeps Elite Status Requirements Unchanged for Next Earning Year
American Airlines has announced that it will not be changing the requirements to earn elite status for the next earning year. This comes as a relief to frequent flyers who rely on their elite status for perks such as complimentary upgrades and free checked bags. While American Airlines did increase the threshold to earn its lowest level, Gold, for the current earning year, they have decided not to make any further adjustments.
The airline did, however, introduce some changes to its loyalty program. Under the new program, only American AAdvantage members will have access to certain services. This includes flying standby for domestic flights without a fee, holding a flight for 24 hours before booking, and purchasing one-day passes to Admirals Club lounges or Flagship lounges. Previously, these services were available to all customers.
Scott Chandler, American’s senior vice president of loyalty and revenue management, emphasized the importance of being an AAdvantage member, stating that “just being a member is a status.” AAdvantage members will also enjoy extended trip credits and the ability to receive partial trip credits when canceling restrictive basic economy tickets, with an additional fee.
The focus on loyalty programs is evident in American Airlines’ strategy, as these programs generate billions of dollars annually. Delta Air Lines made a similar move last year by offering free Wi-Fi to members of its SkyMiles frequent flyer program. Loyalty programs have proven to be a lifeline for airlines during the Covid pandemic, as they continue to generate revenue through co-branded credit cards and the sale of frequent flyer points.
American Airlines, along with United and Delta, has revamped its loyalty program to reward big spenders. Passengers now earn more points and elite status based on their spending rather than distance flown. This shift is a response to the surge in elite travelers and the need to adjust requirements and benefits accordingly.
In conclusion, while American Airlines has decided to keep elite status requirements unchanged for the next earning year, they have introduced changes to their loyalty program that will benefit AAdvantage members. By focusing on loyalty programs, airlines can continue to generate revenue and provide valuable perks to their most loyal customers.
