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Economic Impact
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Airlines offer incentives to bring back passengers
10/03/2001 By TERRY MAXON / The Dallas Morning News U.S. airlines are ramping up their efforts to lure back business and leisure travelers with a mixture of frequent-flier enticements, fares discounts and other promotions. Most U.S. carriers Tuesday matched 50 percent discounts by United Airlines Inc. aimed at business travelers who don't want to stay Saturday night to qualify for a leisure-ticket discount. American Airlines Inc. introduced its own version Tuesday of United's "Back to Business" fares, calling its offering "Getting Back to Business." "We want to help get America back in business, inject some energy into our economy, and get travelers back on our airplanes," said Mike Gunn, American's executive vice president of marketing and planning. "These fares are just the incentive travelers need to start flying again." The carriers are offering a 50 percent discount on the high-priced coach fares to people who buy at least 21 days in advance. Although a Saturday night stay is not required, travelers must stay at least one or two days to qualify for the prices. The sale also provides a 25 percent discount for people buying their tickets at least 10 days in advance. The sale can cut more than $1,000 off a roundtrip fare between Dallas/Fort Worth and New York or $700 off a D/FW-Chicago fare. Delta Air Lines Inc. and Northwest Airlines Inc. said they already had fares similar to the United and American discounts in the marketplace. However, they said they were matching in competing markets. Northwest said its BizFlex fares offer a 50 percent discount with a 14-day advance purchase, and a 40 percent discount with a 10-day advance purchase. In addition, its special fares don't expire Dec. 31 as do the United and American discounts, Northwest said. Program restored American restored its Net SAAver program, which offers cheaper fares for last-minute weekend trips, and the Fort Worth-based carrier loaded deeper discounts and more destinations than usual for the weekend of Oct. 12-13. The fares were at least 25 percent to 30 percent lower than comparable weekend fares that American has offered on previous weekends. For example, American is offering a $119 round-trip fare from Dallas/Fort Worth to Charlotte, N.C., for departure Oct. 12 or 13 and returning the following Monday or Tuesday. A year ago, its Net SAAver program offered the same route for $169. Under the program, a D/FW-New York fare is $139. In late July, American offered the same route for $189. On Tuesday, American also matched Delta's promotion from last week that lowered the number of frequent-flier miles needed to claim a free travel award. Like Delta, American will let its frequent-flier members get a domestic award for 15,000 miles, rather than the usual 25,000, and a trip to Europe for 35,000 miles instead of 40,000. Travel to other points of American's and Delta's systems are similarly reduced. For North American trips, travel has to be completed by Nov. 15. For international trips, the completion date is later, with the exact deadline determined by the destination. American also announced that its AAdvantage members can earn double miles for trips taken on American, TWA Airlines LLC or American Eagle through Nov. 15. The promotion requires members to register on American's web site, www.aa.com, or by calling (800) 882-8880 and using the code DBLAA. Status upheld Alaska Airlines Inc. said Tuesday that its frequent-flier club members with elite status would keep their elevated status through 2002. American had taken the same step last week. "We understand that many of our customers have had to alter travel plans and may have difficulties requalifying for their 2002 MVP or MVP Gold status," said Gregg Saretsky, Alaska's senior vice president of marketing and planning. "We are grateful for their patience and loyalty and are pleased to be extending their membership status for an additional year." Delta chairman and chief executive officer Leo Mullin unveiled a promotion Tuesday to bring travelers back to New York, saying the airline would distribute 10,000 free tickets to New York over the next six months through a variety of channels. Mr. Mullin said Delta will donate 2 million miles each to the American Red Cross, United Way, United Way International and CARE. Denver-based Frontier Airlines Inc. said it would discount travel for active military personnel and eligible dependents by 35 percent on any regular fare of $250 or more. The discount does not require advance purchase and can be bought one way.
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