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Welcome

Friends,

Happy Wednesday! A warm welcome to all our new subscribers—it’s great to fly with you.

805 words today—let’s get going.

Links

Korean Air’s new (and very blue) branding.

Preliminary NTSB report on American 5342.

Economic jitters at the major US carriers.

The Palace Madrid joins The Luxury Collection post-restoration (and looks beautiful).

Frustration mounts at Southwest Airlines; change is hard.

Story

Let’s start with the obvious reality: airline status and frequent flier miles are hilarious and wonderful.

On one hand, they’re purely transactional—fly or spend a certain amount to earn specific perks. On the other hand, they can produce irrational behavior to earn something you would enjoy but likely not spend money on (or at least prefer not to).

Points function as a fiat currency—with a predictable redemption floor and a wonderfully vague ceiling.

That is the business case (and magic) of reward programs. When executed well, they produce irrational consumer purchasing behavior that drive incremental revenue while engendering brand loyalty in exchange for excess inventory.

So long as that paradigm is mathematically balanced (read:profitable) in the house’s favor, you have something that really strengthens an income statement. The false-positive on many program’s parts is to ignore irrationality and rigidly over-lever recognition and redemptions to dollars spent. But I digress.

What does this all mean for you and me? Two things:

1. Great value is often worth* chasing. I like to build trips around where my points go the farthest, and then assemble the rest from there. Feel free to roll your eyes.

2. The right status** can be helpful. That’s why I talk so much about Oneworld Emerald: it lets me buy inexpensive economy tickets (or use points for nearly free flights) while still layering on perks like free checked bags, lounge access, and premium seating.

If you’re reading this thinking, ‘That’s nice, Tommy (you neurotic moron who writes emails about airline points), but where do I even start?’—be encouraged. You are asking the right question.

Start pragmatically: Where are you currently earning points? Do you actually know all the ways you can use them?

If you travel with frequency, are you making the most of your ability to earn a higher status level without getting caught up in any nonsensical faux-prestige?

I’d love to help you craft a smart strategy and put it into action. I can also tell you that a little focus here goes a long way: just over a decade ago, I strategically proposed to Hannah two days before award inventory opened for the flights I wanted to book for our honeymoon. I confirmed the seats as soon as the (flight) schedule opened.

That trip would have cost over $100,000 in cash—but I booked entirely with points. It was a great gift to give my wife.

Airline status and frequent flier miles are hilarious and wonderful.

Big Picture: The best part? You can do this, too. Reply to this email or schedule time with me here if I can help.

Happy flying.

*As a quick example, Hannah and I went to the Alila Ventana Big Sur right before our second daughter was born. To be clear: I had no special interest in Carmel or Big Sur until I found this hotel and learned that I could spend 44,000 Hyatt points to get a room that everyone else was paying $2500 per night for. It is an awesome resort and likely worth the cash rate—which made using points there all the more fun. I built the trip around the hotel once I locked in the redemption.

**For my family, being Emerald through British Airways’ Executive Club program meant we could check twelve bags for free among the four of us and eat at Qantas’ First Class Lounge before we flew back to Dallas from Melbourne in economy on points a few months ago. It is also why I am able to access American’s Flagship Lounge (typically reserved for business and first class passengers flying overseas), before a short hop from Dallas to, say, Austin. I love it, for sure, but it also has created thousands of dollars in value for us—and keeps me spending incrementally with OneWorld carriers.

Remember, this life you are living has meaning. Thank you for reading. I am grateful you are here and would love to hear from you. If you'd like to write me a note, simply reply to this email. Otherwise I'll see you in the next issue.

Be well today. -Tommy

P.S. If I can ever help you plan your next travel adventure (slash help make your points go farther), I’d be delighted. You can schedule time together here.