What's the book corporate America doesn't want you to read? Find out now -- or you could get scammed.

The free upgrade that isn’t

January 25, 2007

I’ve been on the receiving end of several emails from American Airlines frequent fliers who are steamed that effective March 1, a nonrefundable “co-payment” of $150 will be required to claim upgrade awards used with some economy-class fares when traveling between North America and Hawaii.

The full announcement — and American’s justifications for the move — can be found here.

A close read of American’s terms and conditions for its loyalty program suggests that it’s well within its rights to make this change.

But that doesn’t mean passengers have to like it.

I can certainly see the airline’s point of view. There’s a huge disparity between economy class fares and premium fares — too big, perhaps, to be offset by miles alone.

Then again, who is setting those fares? The airline is.

American needs to also take a hard look at its upgrade awards system. If it is charging passengers for an upgrade, then what meaning do these “awards” have?

If you said “none” you are correct.

It’s pretty clear that American is bracing for some criticism. The Q&A section in its announcement is pretty defensive. I’ll refrain from saying more, except to suggest that it consider refining its upgrade program again — soon.

Christopher Elliott is the author of Scammed: How to Save Your Money and Find Better Service in a World of Schemes, Swindles, and Shady Deals. Critics have called it “eye-opening” and “inspiring” — it’ll “grab your attention and won’t let go.” Order your copy now on Amazon, Barnes & Noble or iTunes.

Be the first to comment

Previous post:

Next post: