Starting tomorrow, your cash is no longer welcome on American Airlines

Starting tomorrow, Passengers on domestic American Airlines flights will be forced to use plastic for all on-board purchases.

This means you’ll need a credit or debit card to purchase headsets, alcoholic drinks or food.

In the lineup of frequently asked questions, this is the answer given to the question “can I still pay with cash”:

We anticipate that most of our customers will be prepared for cashless cabins as the vast majority of our domestic tickets are purchased with credit cards.

Awesome marketing spin – “we anticipate”, “most”, “vast majority”. All code for “some passengers will be screwed”.

I’m especially concerned about unaccompanied minors and (younger) tourists visiting the US from countries where plastic is not as popular. First the airlines take away free food and drinks, then they take away the ability to pay for it with cash.

If you do not have a credit card but still want access to on board purchases, I recommend finding a prepaid card (available from Walmart and most grocery stores). Still, that is a bit of a hassle to go through, just to get a drink and a bite to eat, so your best option is to get some real food at the airport and bring it on board. Airport concessions still love your cash.

American Airlines is not the first to go completely cashless, Midwest, JetBlue, Virgin American, AirTran and Frontier all converted to plastic payments ages ago, but American Airlines is the first of the big 5 to make the move. Expect the others to follow really soon.

Southwest Airlines new fees: Pets, children and baggage

Starting in June, Southwest Airlines is allowing for pets on board for a $75.00 pet fare. This doesn’t mean the animal that won’t fit in a small carrier can climb on board. The carrier will count as a carry on bag. Hmmm, what if the pet fits in a purse and no one knows it’s there?

In the human realm, there’s another fee being tacked on in June for children flying solo if they are between the ages of 5-11. The $25 is to help cover the cost for making sure that junior, as an unaccompanied minor gets the extra assistance needed. Flights need to be direct, otherwise no solo travel for your pre-adolescent offspring.

In another effort to bring in more money, another $25 is being tacked onto the overweight baggage fee. On a positive note about this overweight baggage stuff, I imagine travelers aren’t hurting their backs as much dragging belongs from pillar to post.

If you compare the fees other airlines charges for these services, as reported in this AP article, Southwest is still a cheaper option. The $75 charge or a pet seems like a bargain, although AirTran’s fee is just $69 for one-way.The most expensive is Delta. The on-board pet can cost $150 to $277.

Boeing 737 makes duck soup with ducks and lands safely

Not all planes that hit flocks of birds end up making crash landings. When a Boeing 737 flew through a flock of ducks near Fairbanks, Alaska on Thursday, it did make an emergency landing to make sure that there wasn’t any major damage to the aircraft other than the crack in the outer windshield. The only other damage was a dent in the engine cowling.

The description of the ducks bouncing off the jet reminded me a bit of the pheasants (and the black bird , and the chipmunk AND raccoon) that bounced off our car last summer when we drove along the Enchanted Highway in North Dakota on our Great American Road trip. Quite alarming and unusual. We’ve been on this road before with never a problem.

It’s not that unusual for planes to hit birds in Alaska. According to the article in the Anchorage Daily News most of the time, the birds just bounce off the airplane and nothing happens. In our case, one of the pheasants was stuck in the grill of our car, something my husband discovered when we stopped to get gas.

In the case of a plane going through flocks of ducks, I wonder if anyone on board has ever yelled, “Duck!”

*Thanks to Gadling reader, Matt for the heads up on this story.

American Airlines’ Mitchell: We want to give passengers “what they value most”

Mark Mitchell, American Airlines’ managing director of customer experience, is the point man for customer service at the airline. With the summer travel season now underway, I asked him how air travelers could have the best possible experience, and what airlines like American are doing to make it better.

Q: What can air travelers do to get the best possible customer experience from an airline like American?

Mitchell: Our goal is to provide travelers the best possible experience, and it begins long before someone steps inside an American Airlines plane. We strive to ensure that our tools, processes and interactions make it easy for someone to choose American — whether it’s booking online at aa.com or redeeming AAdvantage miles with our new flexible awards booking tool or making a call into our reservations system. And once in our care, the American Airlines team is committed to doing everything within its power to offer travelers the best customer service.

We take this very seriously. More than 200 employee-led teams across our network over the past two years have been working to identify issues and develop solutions within six key issues customers care about: delays and delay management, gate interactions and the boarding experience, on-board interaction, cabin interior condition, baggage handling and baggage resolution.

Q: Is it possible to run a profitable airline and have happy customers? Or does an airline have to choose one over the other?


Mitchell: We believe that customer satisfaction is a critical part of the path to profitability. American is committed to enhancing the customer experience, and we believe that will help turn our company around financially.

Although the economic environment remains challenging, we continue to look for new ways to improve operations to provide passengers the best experience possible. For example, we know on-time performance in the form of predictable and reliable schedules is important to our passengers. Some aspects that affect on-time performance — such as bad weather — we cannot control. But American is focused on those things we can control.

We implemented new procedures last year, including adding time to our schedule, re-adjusting flight plans to increase speed, pairing pilots and flight attendants with specific aircraft and deploying new technologies to help speed our customers through the airport. The enhancements were made with one simple goal — get our passengers to their destinations on-time, with as few hassles as possible. And while we do not control bad weather and delays because of air traffic control issues, we are seeing that the new system we have built is helping us to navigate a better airline when these events occur.

Q: What should customers expect from an airline like American?

Mitchell: They should expect that American will deliver on its promise to offer safe, dependable, on-time service. American is continuing to invest prudently in the airline, even during these difficult economic times to help us deliver on this promise more consistently. In addition to many technology investments to provide better tools for our employees and customers, we also began taking delivery of 76 Boeing 737 aircraft that will help us keep customers loyal to American while helping the company reduce costs.

Customers should also expect that American will continue to lead the industry in making booking travel easier. American recently introduced ”One-Way Flex Awards” — this gives our 63 million AAdvantage members more options to redeem travel. They new technology provides customers the ability to use miles on a one-way basis at half the round-trip mileage requirement and to combine different types of award travel on a single ticket.

Q: What should they not expect?

Mitchell: Travelers should not expect airlines to be able to account for bad weather or airport delays caused by congested airports or outdated air traffic control system in every instance. However, we continue to invest in new technologies that will help us better navigate through these issues and speed up recovery when they occur.

Q: American Airlines created your position in 2007. If I recall, the idea was to demonstrate American’s commitment to a better overall customer experience by adding a new leadership position within the company. How is the customer experience better today than it was when you started?

Mitchell: The customer experience has improved on many levels. I am fortunate to work every day with a dedicated team of employees from various backgrounds, including information technology, maintenance, flight and customer service, to support our frontline employees where the customer experience activities ultimately take place. Our role is to track results, identify best practices, and work across various functions and organizations to facilitate and ensure activities are successfully carried out.

By all measures, we have been successful. For example, in year-over-year comparisons between December 2007 and December 2008, American has seen complaints across all six issue areas decline by more than 28 percent and a marked improvement in customer experience ratings in five of the six customer service issue areas.

Q: Last year, American Airlines implemented a new customer blueprint that focused on delivering the basics, including safety, dependability, cabin cleanliness, baggage handling, courtesy and professionalism. Why was such a blueprint necessary?

Mitchell: The customer blueprint was born out of our need to formalize how we wanted to differentiate the travel experience for our customers and was based on feedback from the many different work groups involved in improving our customer experience scores. It also provides the basis for our roadmap and to establish priorities for our many customer initiatives.

It is tangible and visual, and it serves as a good reminder for all of us to keep the customer experience first and to remember to give our customers what they value most.

Q: The latest American Customer Satisfaction Index has just been released, and your airline scored a 60, which is down more than 3 percentage points from last year. What accounted for that drop, in your opinion?

Mitchell: I can’t account for the Customer Satisfaction Index, but I can tell you that American’s internal customer satisfaction surveys — from cabin cleanliness to handling baggage to onboard interactions with our flight attendants and delay management — show marked improvements from a year ago. And the benchmarks we measure ourselves against indicate otherwise as well. In fact, in mid-May, American paid out $14 million to approximately 72,000 frontline employees for meeting customer service and operational goals during the first quarter of 2009.

Q: It’s been a year since American Airlines added a $15 fee for the first checked bag. From a customer service perspective, how is that working out?

Mitchell: Customer acceptance on domestic bag fees has gone well. Even in the earliest days a year ago, the process went more smoothly than many expected. Since then, customers have come to understand — and we believe, accept — the process and the concept of paying for the optional services that you choose.

Selling food onboard is another similar example. Basically, those who use it, pay for it. Those who choose not to pay for it, don’t. That would include approximately 50 percent of American’s domestic trav
elers who do not check a bag and therefore do not pay a fee.

Incidentally, that percentage of carry-on travelers has not changed — it is about the same as before the fee was implemented. We have seen a decline in the number of second checked bags. Also, premium travelers are exempt from the charges. That includes top-tier AAdvantage members, full-fare travelers, as well as those traveling on military fares.

When it comes down to it, approximately 25 percent of American’s domestic travelers actually pay the first checked bag fee — that means about 75 percent do not.

Q: In Gerard Arpey’s recent remarks at your shareholders meeting, he said the key to American’s a la carte pricing initiative’s effectiveness is that it gives customers the ability to customize their travel experience as they see fit, according to what they value most. What are the customers you interact with telling you about a la carte prices?

Mitchell: The fact is airlines’ costs continue to outpace fare increases and have not produced the type of returns necessary to sustain a healthy business. The key to our unbundled — or a la carte — pricing initiative is that it gives customers the ability to customize their travel experience as they see fit, according to what they value most.

As an industry leader, American recognized that the industry needed to balance revenue with giving value to our customers. We began offering unbundled services such as buy-on-board food in 2004, and continued to lead this trend on the bag fee front in 2008, with the rest of the industry following.

We recently enhanced our buy-on-board food service in the coach cabin, selling Boston Market sandwiches and salads on some longer flights. We have assembled a team as well to focus on maximizing the customer value proposition across all the optional services we have available. This team is working diligently across our many channels to understand how to offer each of these in a way that customers get the value for what they choose to purchase.

Q: I want to stay on the subject of prices for a second. Transparency seems to be a big buzzword in the travel industry. Some online travel agencies have starting quoting total prices for certain items, like hotel and car rental rates. Do you believe your customers would benefit from having fares quoted that included all taxes and mandatory fees?

Mitchell: While total price may sound like a simple concept, in practice it is not. If one or two airlines were to choose to do that while others did not, their prices at first blush would appear to be more costly than those advertised or offered by competitors. Most Internet Web sites and computer reservation systems show the lowest prices first. Those who follow the industry know that it takes only a very small difference in price on any given route to drive customers away.

The bottom line is that the absolute full price, including any additional taxes or fees that are not already within the base fare, are fully disclosed to the shopper before they ever have to push the purchase button. They do see the bottom-line price before purchasing and that is the most important fact here. Full price before you buy.

Q: There’s a debate raging in Washington over passenger rights at the moment. I think it’s fair to say the airline industry has resisted most of these proposed new rules. Do you envision any scenario under which the defeat of the latest passenger rights legislation might lead to a better customer service experience?

Mitchell: We believe that the issue of how passengers are treated on flights when delayed on the ramp has been addressed by each carrier individually. Our goal at American is to ensure our customers and their belongings get to their desired destinations safely and on time. In the event of bad weather, we’ll always make the safe decision. As I mentioned earlier, we have implemented a host of new initiatives designed to enhance the customer experience, especially when planes are uncontrollably delayed at airports due to bad weather.

Read more of Elliott’s interviews on his travel blog.

Delta plane diverts after food poisoning scare

A Delta flight on its way to Atlanta had to make an unscheduled stop at Orlando International Airport to offload three passengers suffering from food poisoning.

The plane had departed Ecuador, but the condition of the three passengers was serious enough to warrant an early stop to get some medical attention. Two of the passengers were transported to a local hospital, the third refused any help.

The passengers did not become ill from any of the food served on the plane and it is not immediately clear whether they were traveling together.

None of the other passengers on the flight became ill, but I’m sure they were not too thrilled by the 3 hour delay. The Delta Airlines site shows the course of events, and clearly shows the delay and diversion.

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