"We're trying to reward people for utilization of the airline, and mileage isn't an accurate representation of that."
What an idiotic statement. Even more amazing is that the story doesn't challenge such an outrageous statement. Fascinating - when DL announced some changes along this vein with respect to how elite travelers were crowned, the HOWLS of protest were deafening. But an LCC can get away with doing it from the ground up.
Gots to love free advertising (read: lapdog media coverage.)
Airline Plans Dollar-Based Awards
By RON LIEBER - Staff Reporter of THE WALL STREET JOURNAL
The newest low-fare airline is taking an unusual approach to its frequent-flier program: Awards will depend on how much money customers spend rather than how many miles they travel.
Independence Air plans to use this strategy when it begins flying next month from Washington's Dulles Airport, with plans to serve 35 destinations by the end of this summer. "We're trying to reward people for utilization of the airline, and mileage isn't an accurate representation of that," says Rick DeLisi, a spokesman for the airline, which is a unit of Atlantic Coast Airlines Holdings Inc. in Dulles, Va.
Fliers will earn one point for every dollar they spend on Independence, including taxes and fees. Once they reach 1,500 points, they can take a free flight to any destination in the lower 48 states within 1,500 miles of their home airport. They will need 3,000 points to fly farther than 1,500 miles.
Independence's dollars-based program makes it unique among the big U.S. carriers. Currently, most major airlines track how far customers fly and give out free tickets mostly according to the distance they travel. Southwest Airlines tracks the actual number of trips its customers take -- at whatever distance -- and rewards them that way.
The new airline did borrow some ideas from its low-fare peers, though. Like Southwest, Independence's program won't limit the number of free seats available on any given flight, and its points will expire after just a year. Independence won't offer any elite status to its biggest spenders.
Already, UAL Corp.'s United Airlines is girding for the arrival of Independence and the growing presence of other upstart carriers at Dulles, where United runs many flights. It is currently offering big bonuses to its own frequent fliers who travel to or from Dulles, Baltimore, or Reagan National Airport.
Travelers who register on United's Web site and fly two round trips or four flight segments in or out of any of the three airports get a free ticket anywhere within 800 miles.
What an idiotic statement. Even more amazing is that the story doesn't challenge such an outrageous statement. Fascinating - when DL announced some changes along this vein with respect to how elite travelers were crowned, the HOWLS of protest were deafening. But an LCC can get away with doing it from the ground up.
Gots to love free advertising (read: lapdog media coverage.)
Airline Plans Dollar-Based Awards
By RON LIEBER - Staff Reporter of THE WALL STREET JOURNAL
The newest low-fare airline is taking an unusual approach to its frequent-flier program: Awards will depend on how much money customers spend rather than how many miles they travel.
Independence Air plans to use this strategy when it begins flying next month from Washington's Dulles Airport, with plans to serve 35 destinations by the end of this summer. "We're trying to reward people for utilization of the airline, and mileage isn't an accurate representation of that," says Rick DeLisi, a spokesman for the airline, which is a unit of Atlantic Coast Airlines Holdings Inc. in Dulles, Va.
Fliers will earn one point for every dollar they spend on Independence, including taxes and fees. Once they reach 1,500 points, they can take a free flight to any destination in the lower 48 states within 1,500 miles of their home airport. They will need 3,000 points to fly farther than 1,500 miles.
Independence's dollars-based program makes it unique among the big U.S. carriers. Currently, most major airlines track how far customers fly and give out free tickets mostly according to the distance they travel. Southwest Airlines tracks the actual number of trips its customers take -- at whatever distance -- and rewards them that way.
The new airline did borrow some ideas from its low-fare peers, though. Like Southwest, Independence's program won't limit the number of free seats available on any given flight, and its points will expire after just a year. Independence won't offer any elite status to its biggest spenders.
Already, UAL Corp.'s United Airlines is girding for the arrival of Independence and the growing presence of other upstart carriers at Dulles, where United runs many flights. It is currently offering big bonuses to its own frequent fliers who travel to or from Dulles, Baltimore, or Reagan National Airport.
Travelers who register on United's Web site and fly two round trips or four flight segments in or out of any of the three airports get a free ticket anywhere within 800 miles.
