American Airlines on Thursday confirmed it offered incentive agreements to “several” travel agencies that it “recently” identified as generating “significant bookings” and “investing in modern technology.” The action removes an inhibitor to these agencies becoming preferred retailers — and, thus, their customers earning miles — in accordance with American’s latest programs. AA was not planning…
Class of service policies for air travel are among the most common elements of corporate travel programs. Products of a tug of war between spend management and employee wellbeing, they’re sometimes perceived as reflecting a company’s generosity and attention to human assets. There are multiple ways to construct such a policy. Flight duration is a…
If you take airline execs at their word, American’s first-quarter “managed” corporate revenue grew far more slowly than Delta’s and United’s. Growth in managed travel drew outsized attention in the most recent airline earnings season, partly because observers wanted evidence for the success or failure of AA’s dramatic changes to corporate sales and distribution. But…
What airlines want from their corporate customers and what they’re willing to give in return is changing. For many U.S. accounts, the request for proposals process and resulting contracts look very different than they did five years ago, especially for American and United clients. Airline corporate discounts are getting downsized or eliminated, and carriers want…
Keeping its chief commercial officer’s word on plans for more incentives on “internet” bookings, American Airlines on Tuesday announced new conditions for customers to earn miles and points beginning with tickets issued May 1. They’ll earn when they book directly with AA or certain partners, book anywhere as an AAdvantage Business member or contracted corporate…
Reaction: Responding to Scott Gillespie’s Op Ed on how today’s corporate travel market demands “long-sighted travel policies” prioritizing value and sustainability over traditional cost-cutting, readers generally agreed with the need for change. Microsoft’s Eric Bailey echoed the goal of reducing emissions and minimizing low-value trips but suggested different methods. He recommended carbon taxes and budget…
With American Airlines’ 2023 passenger revenues 8.8 percent higher and selling expenses 1 percent lower, executives said on Thursday that corporate buyers and travel management companies could expect more of the same: more incentives for business travelers to book directly, more focus on co-branded cards and loyalty, more degradation in support for predominant corporate travel…
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