February 9th, 2011

Frequent Flyer Program Changes Benefit Ministry Travel Clients

American Airlines recently unveiled new ways for members of its frequent flyer program, AAdvantage, to use their accumulated miles. AAdvantage points can now be used to directly purchase car and hotel rentals.

While all the major airlines offer various ways to accumulate miles—everything from buying flowers to turning on a light switch—they tend to be pretty stingy in how they allow passengers to spend those miles. Typically miles can only be used for flights, and then only under tight inventory controls that make it difficult to actually use the miles.

American, however, has bucked that trend by offering rooms at 10,000 hotels in 320 destinations worldwide that can be purchased with miles. In the past, American would allow you to transfer points to the points program of selected hotel chains. You could not book hotels or cars directly. Travelers are now given the option of using all miles or a combination of miles and cash to pay for hotel and car rentals through American. Points redemption, however, can only be done through the airline’s website and not by phone.

American also offers what it calls “exclusive deals” with certain hotels, which cost fewer miles. This means that there is not a direct correlation between the price of the room and the number of points needed.

The InterContinental Los Angeles hotel, for example, is available for 17,200 points per night. A room booked through the hotel’s website is $259. The Omni Los Angeles charges $10 more per night ($269) but is 4,500 AAdvantage points cheaper. AAdvantage Elite members get greater discounts.

A compact car rented from LAX, for example, cost a minimum of 2,450 points per day. Car renters are still responsible for any taxes or fees, which are paid at the time of rental.

These new AAdvantage options are also good news for Ministry Travel passengers who fly internationally on partner airlines and prefer to accumulate American miles.

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