alaska airlines presentation travelcon 2 las vegas 2015

Hidden Gem of the Emerald City:

Alaska Airlines Mileage Plan

Scott Mackenzie

TravelCon 2 – 7 November 2015

Blog – www.travelcodex.com

Forum – forum.travelcodex.com

Networks & Partners

Route Map

Many Large, Quality Partners

Delta Air Lines American Airlines

Elite Status

Earning Elite Status

MVP MVP Gold MVP Gold 75K

Miles on Alaska Airlines 20,000 40,000 75,000

Miles on Alaska Airlines + Partners 25,000 50,000 90,000

Segments 30 60 90

• Fewer miles than most programs require

• Can achieve status while flying multiple carriers

– Need lots of miles from partners before it makes sense

• MVP Gold has unique flight cancellation benefits

MVP Gold Is the Sweet Spot

Alaska

Gold

Delta

Gold

American

Platinum

United

Gold

Miles required 40,000 50,000 50,000 50,000

Bonus award miles 100% 60% 100% 60%

Free checked bags 2 2 2 3

Confirmed upgrades 4 No No No

Same day change fee No No $75 No

Ticket cancellation fee No See fare See fare See fare

Award cancellation fee No $150 $150 $100

• Cancel up to 60 days before departure and use your credit for a

future flight; MVP Gold and Gold 75K can cancel at any time

Getting Upgrades with Status

• “U” fare class must be

available for upgrade

• All elite members can get free

upgrades at booking

– MVP Gold/75K: Y, S, B, M, H

– MVP: Y, S, B

• Four Gold Guest Upgrades for

MVP Gold and Gold 75K

– Can use for anyone, even if not

traveling with elite member

– Some fares excluded: G, R, T

American Airlines

• 1-2 free checked bags

• Priority AAccess check-in

• Priority AAccess boarding

• Preferred and Main Cabin

Extra seating

• Reciprocal lounge access

for club members

Delta Air Lines

• Priority check-in

• Zone 1 priority boarding

• Preferred seating

• Some complimentary

upgrades

Reciprocal Elite Benefits

Alaska Airlines Board Room

• Only a handful of Board Room locations

– ANC, SEA, PDX, LAX (SFO replaced by Cathay’s lounge)

• Many partnerships with other airport lounges

– All American Admirals Clubs, with free guest access

– New partnerships with Icelandair and Emirates

– Many other lounges depending on location

– Delta Sky Clubs removed

• Free access with credit cards: Amex Platinum, Citi

Prestige, or AA Executive AAdvantage

Earning & Redeeming Miles

Earning Miles

• Alaska generally awards the same number of award and

elite-qualifying miles

• 100% miles for most fares

• 125-150% miles for Y, S, B, and M economy class fares

• 175% miles for F and P first class fares

• 500-mile minimum even without elite status

• Earn 100-150% miles on most partner flights, including

American Airlines

• Earn 25-200% on Delta Air Lines

• Earn 25-300% on British Airways (better than AA)

Redeeming Miles – Five Award Levels

– Saver coach (low)

– Saver coach (high)

– Refundable coach

– Saver first

– Refundable first

The Switzerland of Airlines

43 Award Charts!

RULE #1: If Alaska can’t price it, you can’t book it

Individual Charts Create Odd Situations

Can you fly between KOA and CUN on one award?

• Ordinarily, no. Hawaii and Mexico are on separate charts, so

you would need to book two awards

• Mexico awards list travel to the continental U.S.

– Excludes Hawaii as an origin/destination

• However, awards on American Airlines are between Hawaii

and “North America,” which it defines to include Mexico

– Other awards only to/from continental U.S. and Canada

Read the Rules!

Conclusions:

• You have to use the Hawaii chart to book this award

• You have to fly on American

• You may be able to add connections on Alaska (???)

General Redemption Guidelines

• Only the lowest of the two saver coach levels is available if booking travel on Alaska with partner miles

• One stopover allowed on one-way awards

– Two stopovers allowed on round-trip awards

• You must call to book Cathay Pacific or LAN

• Each award can include only one partner

– Can mix that partner with segments on Alaska Airlines

– KLM/Air France count as one partner, so you could have segments operated by both carriers plus Alaska

– You can use different partners in each direction (by booking two one-way awards)

Great Values on Cathay Pacific

One-Way Award Fares Coach Business First

North America to Asia 30,000 50,000 70,000

North America to Australia/New Zealand 40,000 60,000 80,000

North America to Africa/India/Middle East 50,000 62,500 70,000

Map generated by the Great Circle Mapper – © Karl L. Swartz

Great Values on Emirates

One-Way Award Fares Coach Business First

North America to Asia 52,500 75,000 100,000

North America to India/Middle East 42,500 72,500 90,000

North America to Africa 47,500 77,500 100,000

Great Values on Fiji Airways

One-Way Award Fares Coach Business

North America to S. Pacific/Australia/New Zealand 40,000 55,000

Hawaii to S. Pacific/Australia/New Zealand 37,500 45,000

Map generated by the Great Circle Mapper – © Karl L. Swartz

Strategic Opportunities

Saving Money with Alaska Airlines

• Companion fare costs about $118

– Applies to any itinerary in economy class on Alaska Airlines

– Both passengers earn miles and qualify for upgrades

– Earned after signing up for Alaska Airlines Visa and at each

account anniversary

• 5% discount on weekly fare specials

– Must sign up for newsletters

• 20-minute checked bag guarantee

– Get 2,500 miles or $25 credit (only one per passenger)

Alaska Airlines Visa Signature

• 3X on Alaska Airlines and 1X on everything else

• $79 annual fee

• Typically 25,000-mile sign-up bonus upon approval

• NO free checked bag or priority boarding/check-in

Major benefit of card is the annual companion fare.

The AMAZING Companion Fare!

• Deposited as a coupon in your Mileage Plan account

• May be used for round-trip, one-way, or multi-city travel

• Can’t book first class, but flights are eligible for upgrades

and to earn miles

• TIP: Bank of America will offer customers multiple credit

cards, but DON’T apply for 2X at the same time

Upgrading the Companion Fare

• Used to be you could use companion fare for first class

tickets, but no longer.

• You can still upgrade the tickets, just as if you had paid

the normal price for each one.

– Complimentary elite upgrade

– MVP Gold Guest upgrade

– Upgrade with miles or at the gate

• Try booking a more expensive fare that includes an

instant upgrade. The companion fare brings the total

price down to a reasonable amount per person.

How Alaska Airlines Helps You Save Miles

• Cheaper awards to Alaska

– Considered part of the continental U.S.

• Cheaper intra-state awards

• Cheaper Avios awards to Hawaii

– All Alaska Airlines flights to the islands are 12,500 points

• Free stopovers on domestic one-way awards

Using Avios to Book on Alaska Airlines

• Avios is a distance-based award chart

– Great value in short, non-stop flights with no fuel surcharges

Using Avios to Fly to Hawaii

• Only 12,500 points

each way to Hawaii

• Connections start at

7,500 more

• Compare to 20,000

miles one-way for

most programs

Map generated by the Great Circle Mapper – © Karl L. Swartz

Using Avios to Fly to Hawaii

Using Avios to Fly to Hawaii

• You must call to book! Online searches will be empty.

Finding Alaska’s Award Space

• Remember there are TWO award prices at the “lowest”

coach level

– Only the cheapest will be available to partners

Finding Alaska’s Award Space

• Confirm partner award availability using American Airlines

• Might need to check segment-by segment

• American’s pricing is irrelevant as long as it’s available

Stopovers on One-way Awards

• Stopovers allow you to book a single award ticket for

multiple future uses

• Can fill in remainder of itinerary with Avios awards or

revenue tickets

20,000 Mileage Plan miles or 25,000 Avios points?

52,500 vs. 90,000 Miles

• EWR – SEA // SEA – OGG = 20,000 miles + $5

• OGG – SEA // SEA – SFO = 20,000 miles + $5

• SFO – SEA // SEA – DCA = 12,500 miles + $5

Map generated by the Great Circle Mapper – © Karl L. Swartz

Conclusion

Big Presence for a Small-ish Airline

• Alaska Airlines’ own network is limited …but it is great if

you happen to live or travel on the West Coast

– Expanding with more coast-to-coast routes

– Hundreds of flights to Hawaii and Alaska

• Great partner relationships help Alaska fill any gaps

– Knowing how to exploit partners is key to maximizing value

– American Airlines and Delta Air Lines great for U.S.

– British Airways, Emirates, and Cathay Pacific offer good value

The Last Decent Airline?

• Earning miles and status is relatively easy and more

rewarding than with many competitors

• “Highest in customer satisfaction with airline loyalty

reward programs…” – JD Power

– Ranked #1 among all airline programs in 2014 and 2015

• Mileage Plan ranked #1 among U.S. airline programs in

2015 by The Wall Street Journal