American Airlines has announced that travelers booking basic economy tickets on or after Dec. 17 will no longer earn AAdvantage miles or Loyalty Points, as part of a broader trend of airlines reducing perks on cheaper fares. While basic economy remains the lowest-priced option with some included amenities, loyalty rewards are now limited for these tickets, although elite members can still access upgrades. This move reflects American's effort to stay competitive with other airlines like Delta and United, which have also adjusted their loyalty programs for basic economy travelers.
Frontier Airlines CEO Barry Biffle responded dismissively to United Airlines CEO Scott Kirby's claim that the discount airline model is dead, defending his airline's lower costs and market strategy amid industry struggles with oversupply and rising costs. The debate highlights ongoing competition among U.S. budget carriers and larger airlines adapting their offerings.
United Airlines is expanding its routes and strategically targeting Spirit Airlines to eliminate competition, particularly at Newark, by adding new destinations and flights, which critics argue is an anti-competitive move aimed at driving Spirit out of business and consolidating market power, despite public claims of protecting consumers.
United Airlines is expanding its routes and increasing flight frequencies, partly to capitalize on Spirit Airlines' financial struggles and potential bankruptcy, offering more options to travelers and filling gaps left by Spirit's service withdrawals.
