American Cuts Miles & Loyalty Points On Basic Economy Fares

How AAbsurd.

Let’s just hope everyone else doesn’t start going down the same road.

This is exceedingly stupid, even for AA management. American was drawing people from ULCC's by offering the same fare with advantages like a frequent flier program. Now they take away that one compelling advantage?

It looks like these aren’t the only AAdvantage updates coming down the pike ( https://www.aa.com/i18n/aadvantage-program/aadvantage-program-updates.jsp)

@Christian - I suppose AA still has the advantage of a more comfortable coach seats compared to Spirit ot Frontier. That is why as a 6'3" male, if the price between the basic fares for Frontier, Spirit, and AA are the same, I will still choose AA despite this change (though realistically, I will likely buy up to a regular economy fare).

One has to wonder if this might have to be aligned with the imminent demise of Spirit. Clock is ticking for those of us that credit flights like these to Alaska.

What Ford said! Reddit and FT are blowing up with it, but no formal AAnouncement.

Not clear to me...Will this affect crediting flights to other airlines? (Alaska, BA, etc.)

The reality is, Economy Minus on AA was a bit too good to be true if you were an AA elite - you got all the same perks, with the only “cost” being 60% fewer loyalty points and AAdvantage shinplasters. If anything, it actively encouraged elites to book Economy Minus. Which you could easily earn back through regular spending if you really wanted to. Frankly surprised it took them this long to shut it down.

Smart move. Y- pax probably don't care unless they are playing the upgrade game. In that case, it is fitting to not let them double dip.

@Christian

There is no market in the US for ULCC’s. It’s not in our culture to buy a ticket for $79 and then pay $200 after add ons. The model works in other regions of the world but not US.

If you purchase a basic economy ticket you know you are saving money and there should be no expectation of earning mileage.

If you’re an elite member and want more miles or you’re expensing your ticket to work than yes pay the $200 extra for a main cabin fare RT to Europe or Asia.

Don’t double-dip… it’s like putting your whole mouth in!

Just wait until AA miles are devalued in 2026. It’s definitely coming. Would AA even be worth flying if their points were worth, say…United’s? Not for me. AA seats and service are mediocre.

AA has made a few customer-friendly changes recently and it seemed like management really wants to gain business. But now they're taking a step back, and to not even announce this is pretty shady. They were only giving a paltry 2 miles per dollar so it's not like they were being generous anyway. How long until they start with Basic award tickets?? Now we're back to wondering what crap is next.

Yeah it sucks, but their target demographic for basic economy fares only looks at the price on Google Flights

Seems like they're just making it easier for the corporate traveler (but price sensitive leisure traveler) to book the best price/time with little incentive to stay loyal. Maybe seat selection and luggage can sway some but many routes you'd still net paying less flying a competitor (especially out of an AA hub).

To be honest this makes sense to me. The typical flyer that buys basic economy doesn't really care about a FFP benefits, nor will their accumulated miles ever amount to anything to the level of a redemption. How many basic economy trips (at the 2X earn) would you have to fly to even earn 7.5K miles to redeem a LGA-ORD coach ticket? A typical basic economy flyer is not spending $3800/a year or even over few years on flights. I can only speak for myself - as a frequent flyer I almost never buy BE and I'd gladly book a main cabin at a price difference of $30-$50 over BE for the flexibility to change/rebook and LP earns, except a couple of times on NYC-Boston/Miami trips where basic was like $49 and main was $99 and I was sure of the travel dates. To this I'd have to say AA's yield management has enough data to justify this push to persuade frequent flyers away from BE with minimal loss of infrequent flyers (who may or may not even be, or ever be incentivized to become AAdvantage members).

But aren't you competing with Spirit and Frontier who will still have loyalty programs and reward even those $59 tickets?

AA's strategy is just too stupid, how much costs you can potentially save with only this super super small amount of miles like less than 5 dollars that people do not even care to earn LOL, just keeping firing every potential customers they could. Their super unreliable schedule has already earned a good reputation among business traveler.

Delta is already there ..

I am sure they will lose me at least, I prefer AA now, but then with this change, I will fly all airlines. Oh, right, including closing their credit cards.

I agree. At least they still provide free seat assignment (including MCE) to status holders. Even after this change, I'll rather book AA BE than UA or DL.

It's not about saving costs, it's about making people buy higher fare. But it's not gonna work, no one sane will pay for higher fare type just to get miles.

I see lots of people boarding in Groups 8 and 9 so they have no AAdvantage account. Presumably a good chunk of these flyers might fly 1-2 twice a year and have no interest in accruing miles. What this really does is highly encourage those chasing elite status to book Main Cabin.

Hey Ben, tangential question: I'm seeing zero availability on AA for Oman Air flights, even on dates that show up for BA and Alaska. Do you know what's going on there? Do you have any contacts you can reach out to and see if it's a bug or intentional? Wondering if it has something to do with WY finally joining the alliance and AA not integrating them properly compared to the previous non-alliance partnership

Will you get credit if you have another OneWorld number on your reservation? I always use my BA Emerald Number

Alaska: has you earn status on award flights.
American: doesn't let you earn status on paid flights.

And my friends wonder why I switched.

Yeah I hit Alaska Gold OW Sapphire this year entirely flying AA flights on Alaska points, most of them 4500 Atmos points a leg. If I paid AA cash for basic economy flights even before this shift I still couldn't have done that.

>no one sane will pay for higher fare type just to get miles.

And then if you're not hooked in to the AAdvantage program, what's encouraging you to book AA the next time if you're never going to hit status?

I don't think it will make any difference to most travelers. Airline miles aren't worth paying for, unless you fly a lot. I'll take the cheaper fares. I don't need the miles.

>A typical basic economy flyer is not spending $3800/a year or even over few years on flights.

Well then there's no need for a policy change.

> as a frequent flyer I almost never buy BE and I'd gladly book a main cabin at a price difference of $30-$50 over BE for the flexibility to change/rebook

I mean how often do you rebook? Ain't mathing for me

Simply a race to the bottom.

I haven't seen this mentioned on this blog (I may have simply missed it) but even the Simpsons had a recent episode with a Points guy who was dating his sister-in-law. Once the latest fad appears on the Simpsons, we know we are screwed.

Most of my miles these days are from shopping and getting credit cards. Ever since we stopped earning actual mileage flown miles earned hasn’t been much anyway for me.

This is what happens when brands allow bean-counters to make business decisions. Watering down the soup produces profit too, but at what long term cost? In this decision, AA is teaching its customers to shop by price from now on. Delta did that to me last year. I mean, who wants to buy points aka upgrading to a same size seat on an airline they don't care about? Anecdotally, I have a special credit card deal application from AA on my desk - the kind they give you on the airline with no first year fee and tons of first year benefits. I was going to apply today - nope - in the shredder it will go. Bye bye AA!

Most of the traveling public doesn’t know about this nor will they write to the airline to tell them this is not a good idea. I will write AA to tell them my concerns with this policy.

I fully agree with you, JN. My plans change regularly (such is life in a small fast-growing business), so the "flexibility" offered by the regular fare over basic is vitally important to me. The miles/LPs is just an added bonus on top of the flexibility.

It doesn't matter to me, because I don't purchase AA flights anyway, and use award miles instead, paying $5.60 for a one way domestic flight.

You just lost a loyal customer and card member. What a nightmare.

I don’t think this will be a problem for infrequent (2 or 3 times a year) fliers. It takes so many miles to get a free ticket that - unless you fly a few times a month and can accumulate LOTS of miles- the miles are essentially worthless.

very disappointed they are doing this. Going to use up my frequent flyer miles and go with other airlines now.

"I’ve been a loyal AA cardholder for over 15 years, but this change feels like a breaking point. I understand devaluations, but giving zero miles for a flight while I’m still paying the same fare price is a tough pill to swallow. I primarily use the Aviator AAdvantage card to keep my status alive, but if my actual flying doesn't contribute a single point, why shouldn't I just switch to a Chase Sapphire or Venture X and book whatever is cheapest? AA is teaching us to be price-shoppers, not loyalists. Why be loyal to American Airlines when they aren't loyal to me. I flight over 30 flights a year which may not be much to other weekly flyers, but this money comes from my company. If American loses passengers and credit cardholders (users) where will their business end up?

It's in line with most legacy carriers for the deep discount fares

So why use the aa card? It is not like they have better seats or food. Or Anything !