• Home
  • Reviews
    • Flight Reviews
    • Hotel Reviews
    • Lounge Reviews
    • Trip Reports
  • About
    • Press
  • Contact
  • Privacy
  • Award Expert
  • Advertising Disclosure
Live and Let's Fly
  • Home
  • Reviews
    • Flight Reviews
    • Hotel Reviews
    • Lounge Reviews
    • Trip Reports
  • About
    • Press
  • Contact
  • Privacy
  • Award Expert
  • Advertising Disclosure
Home  >  American Airlines • OneWorld  >  American Airlines Adds Yet Another Advantage – US Airline to Beat?
American AirlinesOneWorld

American Airlines Adds Yet Another Advantage – US Airline to Beat?

Kyle Stewart Posted onJuly 26, 2020September 13, 2021 17 Comments
My dear readers, some links on this site pay us referral fees for sending business and sales. We value your time and money and will not waste it. For our complete advertising policy, click here. The content on this page is not provided by any companies mentioned, and has not been reviewed, approved or otherwise endorsed by these entities. Opinions expressed here are the author's alone.

American Airlines has made a number of substantial changes to the carrier, but its latest advantage may make American the US airline to beat.


If you are considering booking travel or signing up for a new credit card please click here. Both support LiveAndLetsFly.com.


If you haven’t followed us on Facebook or Instagram, add us today.

American Airlines Gets Help From oneworld Upgrades

This week Brett Snyder (Cranky Flier) had a conversation with oneworld CEO Rob Gurney, and Nat Pieper, SVP Fleet, Finance & Alliances, and Treasurer for Alaska. A revelation from that conversation was that oneworld will offer alliance-wide upgrades to match Star Alliance’s current offering.

“Wait, did I say upgrades? It’s true that oneworld today doesn’t have a cross-alliance upgrade program like Star does, but it has been reported by others that it’s coming. Rob confirmed that and told me that the expectation is the upgrade program should be functioning around the time Alaska comes online later this year. I tried to push for further details — like whether it would only be on stupidly-high fares like other programs — but he wouldn’t budge on that just yet.”

This would be a major advantage for those with oneworld miles and a blow to Star who would no longer be the sole alliance to offer it, and to SkyTeam which would add this to a number of deficiencies for the group. Speculation is that American Airlines or Alaska Mileage Plan members (or any oneworld program) would be able to use their miles to upgrade on itineraries within the alliance even though the flight was not flown by the carrier that issued the miles. It might be a good time to pick up a oneworld carrier credit card.

American Airlines MSS Termination

Adding in the additional efforts by American Airlines partnerships with JetBlue and Alaska, this adds one more strength to American’s position and could help the carrier come out stronger when COVID-19 concerns have dwindled. It might be time to consider adding an Alaska Mileage Plan or American Airlines credit card.

United already had access to alliance-wide upgrades through its Star Alliance membership, though that program held little value for members.

The issue is that business class fares have been so heavily discounted the past few years as the world was at peak travel that full-fare economy often eclipsed available business class fares by as much as two-to-one. Why would anyone pay twice as much for the fare and spend miles on upgrades that they could achieve by purchasing the fare outright, keeping their miles, and earning more status and credit along the way?

Earnings Call Sheds More Light About Strategy

I have been unforgiving of Doug Parker’s job performance and the entire executive management team over the last few years at American Airlines. However, I choose to evaluate others by how they perform in a crisis, not when seas are calm.

Parker addressed a question on the AAL Q2 Earnings call this week that highlighted how his team views the coronavirus crisis as it affects American Airlines and it caused me to reverse my opinion of American’s leadership:

“As horrible as this crisis is and there’s not much good you can say about it, one thing, one opportunity that’s given us”  “it gave us a chance post integration to literally start — to take the largest airline in the world and […] shut it down and start it from scratch. That’s a real opportunity that we’re going to — that we’re using. That allows us to only add back what makes sense. Things that might have taken us a very long time to continue to get through, getting management reductions out, getting older aircraft retired, getting more efficient throughout the airline, flying exactly where it makes sense instead of looking at the network and saying, in total, it makes sense, but some routes not doing, as well as others.”

He’s got a point. Many years ago, my industry was affected by an 86% drop in activity inside of six weeks. The way I got out of that impossible situation was to tear apart everything I thought I knew, start from scratch with the assets and people we had, and build something new. It defined my career and lead to greater growth than I could have ever imagined.

The team also spoke about the premium the carrier gets at Charlotte and Dallas that they don’t find in the Northeast or the Northwest. To remedy this, American is using the JetBlue partnership to remove 50-seat jets from the congested northeast corridor and… building the Seattle hub.

“In both of these cases, both the West Coast and the Northeast, the infrastructure is constrained. And we are in a situation where we’re really too small to win and too big to go and exit. And so we need to figure out a way — and there’s such a massive customer base that we need to find a way to go and access that revenue. So in our partnerships, both with Alaska and JetBlue, what it’s entirely about is creating a different and creative competitive alternative to the larger networks that our competitors offer on those coasts.

And that’s exactly what you see us doing. So we continue to go and build our Seattle hub. And together with Alaska, we will go and create the best network on the West Coast. With JetBlue, American Airlines is historically — and New York City is a great case study for this.” Vasu Raja, Chief Revenue Officer

Yes, American added a single Seattle-Bangalore flight (launch delayed due to COVID-19), and yes, Alaska joining oneworld will help integration in Seattle; but to my knowledge, this is the first formal mention of building a Seattle hub.

United and Delta Are Standing Still… For Now

United has not announced any new partnerships, no enhancements to their program and it seems like the Kirby-carrier is battening down the hatches (a safe bet) for the foreseeable future. They’ve extended status for members, reduced requirements for those able to fly this year and were at the forefront of those decisions – but that’s par for the course at this point.

Some could argue that Delta Air Lines made many substantial moves prior to the COVID-19 outbreak like taking ownership stakes in LATAM, Aeromexico, and Virgin Atlantic. But since the virus hit, the carrier hasn’t added any partners and SkyTeam doesn’t offer upgrades on other carriers. However, other than some questionable equipment retirements, the only substantial change is blocking middle seats.

Delta LATAM JV Approval

Conclusion

Last week, I wrote that American Airlines had pulled off an unbelievable coup by adding JetBlue and Alaska as partners to support their weakest markets domestically. When oneworld announced that the alliance would add systemwide upgrades and confirming that Alaska would enter full membership in 2020, at least six months ahead of schedule, American received a further boost. American’s managerial approach to the coronavirus crisis as shared on the earnings call this week further cements that the carrier is on the right track. The changes they are making as they shut the airline down and start it back up adding only the aspects that are working is logical and may put American back in the driver’s seat in the US. They may have become the airline to beat in less than six months.

What do you think? Are American Airlines managers positioning the company to be the best in the US? Will oneworld alliance-wide upgrades further enhance their position or be more of the same like Star Alliance?

Previous Article Citing Travel Concerns, Blue Jays Not Allowed to Make Pittsburgh Home
Next Article Compassion For Others And The Mask Idiot On American Airlines

About Author

Kyle Stewart

Kyle is a freelance travel writer with contributions to Time, the Washington Post, MSNBC, Yahoo!, Reuters, Huffington Post, MapHappy, Live And Lets Fly and many other media outlets. He is also co-founder of Scottandthomas.com, a travel agency that delivers "Travel Personalized." He focuses on using miles and points to provide a premium experience for his wife and daughter. Email: sherpa@thetripsherpa.com

Follow us on FacebookFollow us on Twitter

Related Posts

  • JetBlue Paris

    Irrefutable Proof The JetBlue-Spirit Merger Hurts Consumers

    March 12, 2023
  • JetBlue spirit merger NEA

    JetBlue-Spirit Airlines Merger: DOJ Drags Feet On Suit

    March 5, 2023
  • Secretary of Transportation Buttigieg

    Intolerable Inaction of Secretary Of Transportation Buttigieg

    February 26, 2023

17 Comments

  1. markj Reply
    July 26, 2020 at 3:05 pm

    I have got to say that I am impressed by the moves American has made. Market share moves can happen easier in tough times than good times and American has stepped up to the plate.

    I live in southwest Florida and with Alaska putting in nonstops to the west coast and the partnership with Jet Blue I may rethink my loyalty to Delta…but, then again, I have images of the extra leg room seat I paid for on an American 737 which wasn’t spacious enough for me to open my laptop computer and get some work done.

    • cwyfan Reply
      July 27, 2020 at 12:12 pm

      The real top prize would be if you were able to mix and match one world miles to pay for the entire ticket, or at least one type for the base fare and another for the upgrade.

  2. WR2 Reply
    July 26, 2020 at 4:13 pm

    Except that then you are flying more on AA. No legroom, grumpy old FAs, delayed flights. Knowing I won’t have to fly on them ever again takes the sting out of them shutting down my account.

    • Mark Maciuba Reply
      July 26, 2020 at 4:43 pm

      SO GO FLY DELTAS OLD 757,767.
      TIRESOME.
      ILL TAKE AA ANYTIME!
      LOVE ONE WORLD!

      • Chris Reply
        July 27, 2020 at 5:33 am

        Delta has been getting rid of everything old for the past two years. This gave them all the sane opportunities as AA, and they’re all over it. Delta might end up with the newest fleet AND the best balance sheet when this is all said and done. Sorry AA, your plan is not original or exclusive.

      • Pedro Reply
        July 27, 2020 at 8:29 am

        Delta’s ‘old’ 757’s, 767’s are preferable to anything AA flies since the interiors have been refurbished and they have seatback tv’s

        • Mark Reply
          July 27, 2020 at 12:17 pm

          Unfortunately, Deltas interiors are worn.
          IFE TECHNOLOGY OUTDATED.
          STREAMING THE FUTURE!
          AS FOR DELTAS NEW PLANES?
          DELTA NEEDS CASH.
          $5.8 BILLION SECOUND QUARTER LOSS HUGE.
          NOT TO MENTION BAD INVESTMENTS.

    • Grumpy Reply
      July 27, 2020 at 3:55 am

      buh-bye!

  3. Eric Reply
    July 26, 2020 at 6:29 pm

    I would agree that AA pulled off a coup if they added these partnerships to further strengthen their positions in the northeast and west coast.

    However, AA added these partnerships because they were significantly underperforming the competition in those regions of the country. In addition to the quote you pulled from the earnings call above, Vasu Raja also said in that same response that “In the Northeast and the West Coast, however, we produced a 10% RASM deficit to the industry.”

    This was not a coup, but a lifeline AA needed to address their Northeast / West Coast problem.

  4. James Reply
    July 26, 2020 at 7:18 pm

    I (stupidly) bought some shares in AAL and then didn’t sell them when it bounced over $20 last month, so I’m stuck with them now, but feel pretty good after earnings. Here’s what I like:

    -The JetBlue partnership
    -Not blocking the middle seat, which is COVID theater
    -Keeping planes full with lots of domestic deals
    -Honesty with staff about the future

    I’ll probably be stuck with these shares for a while now, but it does seem like the airline has one of the better strategies for navigating COVID-19.

    • Jason Reply
      July 26, 2020 at 8:43 pm

      AA’sload factor is only in the upper 30s/40s. Nobody is full

      • James Reply
        July 26, 2020 at 10:56 pm

        Okay, fair enough. I was speaking anecdotally about my two flights, which were totally full, and the Charlotte hub was a crowded mess. But I’m sure they’re also flying quite a few half-empty planes.

      • Angela Segars Reply
        July 26, 2020 at 11:06 pm

        We flew on AA a couple of days ago and it was excellent. Friendly FAs and good service made it that much better. Our Boeing 787-9 was about 60%. The FA even announced that if would like to change seats in an effort to “social distance” to go ahead. Super cool!

    • Alex Reply
      July 26, 2020 at 9:11 pm

      Just hold on to What you have….an a couple of months you will be able to make money…!

    • Nina d Reply
      July 27, 2020 at 2:55 am

      I have a flight American Airlines for Aug 5th for Greece.. do you think in your opinion if Greece will allow this flight to proceed? American Airlines customer service has been excellent with me in my flights changing and giving me updates.. just worried about the ban on Americans if you think the ban can be lifted by the end of the month of July.. especially hearing the extra measurers the airlines are making to allow transatlantic flights open between the US and EU

    • Arthur Thompson Reply
      July 27, 2020 at 11:44 am

      I have flown United, Delta, US Air (before the merger), Alaska, Allegiant, and American. Ill take American every time. I only fly the others out of absolute necessity. I’ve always found the flight attendants to be pity and full of personality; however, I obviously haven’t flown with all of them.

  5. John H Reply
    July 27, 2020 at 1:46 am

    A real innovative alliance concept would be to allow one’s status in the alliance to have the partners status. If a Lufthansa member with Gold Star Alliance could get the benefits of United Gold, such as Economy Plus at booking, and CPU access, that would be a coup. There would need to be limitations on the residency of the member and their native flyer program to avoid point arbitrage.

    The OneWorld addition doesn’t appear to grant this boon, so an American elite will have limited recognition on JetBlue and Alaska, and may still look for that RJ to get their perks, especially post-Covid. Will their mileage – based upgrades clear in order of OneWorld status? Or only if they are flying on the ticket stock of the operating carrier with that carriers member number?

Leave a Reply

Cancel reply

Search

Recent Posts

  • Avianca 787-8 Business Class Review
    Review: Avianca 787-8 Business Class March 20, 2023
  • Color Blind Pilot Sues United Airlines For Firing Him March 20, 2023
  • Ryanair Twitter
    Ryanair Savagely Trolls Passenger On Twitter March 20, 2023
  • hyatt all-inclusive hyatt zilara rose hall
    Hyatt Acquisition Provides Hints About All-Inclusive Future March 19, 2023

Categories

Popular Posts

  • American Airlines unaccompanied Minor Predator
    American Airlines Flight Attendant Freaks Out After Man Offers His First Class Seat To Child February 25, 2023
  • United Airlines Polaris Lounge Chicago Review
    Review: United Polaris Lounge Chicago (ORD) February 21, 2023
  • Bankman-Fried Alaska Airlines
    Poor Sam Bankman-Fried “Downgrades” From American Airlines Business Class To Alaska Airlines First Class February 20, 2023
  • There’s A Pilot In My Seat! February 21, 2023

Archives

March 2023
M T W T F S S
 12345
6789101112
13141516171819
20212223242526
2728293031  
« Feb    

As seen on:

live_and_lets_fly

The new United Polaris Lounge at Washington Dulles The new United Polaris Lounge at Washington Dulles is the most beautiful of all Polaris Lounges. Stay tuned for a detailed look and many more photos on the blog tomorrow. Well done @united.
@malaysiaairlines just announced it would retire i @malaysiaairlines just announced it would retire its A380 fleet. While not surprising, it is sad to see the growing list of carriers retiring this superjumbo jet. On Malaysia Airlines, I flew the #A380 once from Kuala Lumpur (KUL) to London (LHR) and had the entire first class cabin to myself (full review on the blog). It was a beautiful flight that I will always remember.
Welcome to @fly_bur @aveloair! I am so excited tha Welcome to @fly_bur @aveloair! I am so excited that a new carrier, Avelo, has launched, especially from an airport just 12 minutes from my home!
I greatly miss the @lufthansa #747-8 at @flylaxair I greatly miss the @lufthansa #747-8 at @flylaxairport. Hopefully this summer it will return.

.
.
.
.
#Lufthansa #FirstClass #747 #747-8 #StarAlliance #Miles #Points
I recently spent a weekend at the @ventanabigsur. I recently spent a weekend at the @ventanabigsur. This is not only a lovely, all-inclusive resort, but one of the best properties to use your @hyatt World of Hyatt points.
.
.
.
.
#Hyatt #BigSur #California #WorldofHyatt #CA-1 #Points #Hotels
In terms of a spacious first class product, the @E In terms of a spacious first class product, the @Emirates suite on a 777-300ER is hard to beat. My preference is Suite 2K.

.
.
.
.
#Emirates #777 #firstclass
Nearly five years ago, I took a “break” from I Nearly five years ago, I took a “break” from Instagram ahead of the birth of my first child. Goodness, how time flies. While I’ve enjoyed catching up on others over the years, now it is time for me to return to Instagram. In this first post, I highlight two joys in my life, my two children, whom I trust will grow up to be prolific travelers that circumnavigate the globe as ambassadors of love and respect.

.
.
.
.
.

#travel #airplanes #airlines #miles #points #familytravel #human #integrity #honor
United Airlines' new Polaris seat is a huge improv United Airlines' new Polaris seat is a huge improvement over UA's current business class seat. Check out my blog at liveandletsfly.com for 70+ photos of how @united is transforming its entire business class experience starting this December!
The perfect @flysas name tag for #Longyearben! The perfect @flysas name tag for #Longyearben!
Spotted four #polarbear outside of #longyearbyen - Spotted four #polarbear outside of #longyearbyen -- oh, and I love 40°F summer weather!
One of the best crews I have ever had the pleasure One of the best crews I have ever had the pleasure of flying with in all my years of flying. Thank you @flysas SK940 on 11 Aug 2016
Next stop ARN! But dear @flysas , next time if I a Next stop ARN! But dear @flysas , next time if I assign a window seat months in advance, don't move me to a center seat "for my convenience" with no way to get my original seat back... 😞
Ready for #PIA from #MAN to #JFK -- we will be rac Ready for #PIA from #MAN to #JFK -- we will be racing the #Delta flight to JFK at the gate next to us, which also departs at 12:45p. With @onemileatatime
Another room with a beautiful view... #hyattregenc Another room with a beautiful view... #hyattregencycasablanca #cassablanca #hyatt
Enjoying #shanghai with @onemileatatime from the i Enjoying #shanghai with @onemileatatime from the inside of the @grandhyatt_shanghai ... It is 40°C outside! 😓
From my front gate to my boarding gate in 15 minut From my front gate to my boarding gate in 15 minutes flat. I ❤️ #bur #burbankairport
@malaysiaairlines #747 out of retirement and in se @malaysiaairlines #747 out of retirement and in service at #kul -- beautiful livery!
View from my 61st floor room at the beautiful bran View from my 61st floor room at the beautiful brand new @parkhyattguangzhou -- look for a full review coming soon on the blog #hyatt #parkhyatt #guangzhou #parkhyattguangzhou
Will miss the @united #globalfirstlounge at #ord, Will miss the @united #globalfirstlounge at #ord, which closes tomorrow and the Queen of the Skies #747 which will be retired in 2018.
The colonial #architecture of #mumbai is stunning. The colonial #architecture of #mumbai is stunning. If you're ever here, get up at 5am and have a walk around the city before it gets busy. You can hear the birds instead of honking horns.
Load More... Follow on Instagram
facebook twitter instagram rss

This site is for entertainment purposes only. The owner of this site is not an investment advisor, financial planner, nor legal or tax professional and articles here are of an opinion and general nature and should not be relied upon for individual circumstances.

 

Advertiser Disclosure: Some links to credit cards and other products on this website will earn an affiliate commission. Outside of banner ads published through the Boarding Area network, this compensation does not impact how and where products appear on this site. While we do try to list all the best miles and points deals, the site does not include all card companies or credit card offers available in the marketplace. Please view our advertising policy page for additional details about our partners.

 

Editorial Disclosure: The editorial content on this page is not provided by any entity mentioned herein. Opinions expressed here are the author's alone, and have not been reviewed, approved or otherwise endorsed by any of these entities.