planes hotels and automobiles
TRANSCRIPT
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Planes, Hotels, and Automobiles
Going the Extra Mile
August 2010
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Proprietary and Confidential
2010 Archstone Consulting All Rights Reserved
Agenda
Overview
Airlines
Hotels
Rental Cars
Executive Summary
Appendix
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2010 Archstone Consulting All Rights Reserved
Overview
Maximize your miles and points by choosing carefully
All major U.S. airline, hotel, and rental car programs have been extensively analyzed and ranked
A 1-10 point system was established for both for airlines and hotels
Rental car reward programs have been summarized due to the lack of depth
The winners are announced at the end!
The Consultants Equality
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Agenda
Overview
Airlines
Hotels
Rental Cars
Executive Summary
Appendix
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Airlines
Airline were compared according to six different components
A point system (max 10 points) was established for airlines based on the following criteria:
Total Earned Flights 5 Points
Global Reach 1.5 Points
Other Differentiators 1.5 Points
Accruing Status & Bonuses 1 Points
On-time Percentage .5 Points
Fleet Age .5 Points
Points were allocated on the basis of importance as well as the level of differentiation betweencompetitors within a category
Credit cards and partner programs were not considered; all airlines have relatively similar creditcard offers and at least some decent partners
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Global Reach
Carrier Destinations Points
Delta 355 1.5
Continental* 351 1.5
US Airways 231 1.1American 157 0.9
United* 114 1.5
Southwest 69 0.5
JetBlue 61 0.5
* When Continental and United complete their merger, they will becomes the worlds largest airline, which is why they have both beenawarded 1 point
Delta and Continental are the clear winners with the most global destinations
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Accruing Status & Bonuses
Carrier T1 T2 T3 T4 Points
DeltaMiles 25K 50K 75K 125K
1.0Bonus 25% 100% 100% 125%
ContinentalMiles 25K 50K 75K $30K
0.8Bonus 25% 100% 100% 100%
AmericanMiles 25K 50K 100K
0.7Bonus 25% 100% 100%
US AirwaysMiles 25K 50K 100K
0.6
Bonus 25 100% 100%
UnitedMiles 25K 50K 75K 100K
0.5Bonus 25% 50% 75% 100%
Deltas 4th tier with a 125% bonus on miles separates itself from the competition
Due to lack of status programs, Southwest and JetBlue given the low of 0.5
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Other Differentiators
Delta has the most rewarding perks
1.5 Points - Medallion qualification miles rollover, unlimitedupgrades all levels, free airport club membership for T4 status,choice of 1 reward for T3 (including 20K miles), 2 rewards for T4
1.3 Points - Unlimited upgrades for all levels, 25K mile bonus toT4, free club membership to T4, free meals for all
1.2 Points - Unlimited upgrades all levels, hidden 4th tier
1.0 Points - Unlimited upgrades for all levels, $5 charge for front ofcoach regardless of status, free lounge access at 150K miles flown
0.9 Points - No charge for TV use, free snacks and Dunkin Donutscoffee, free wireless in some flights and terminals, XM radio, 1stbag free
0.8 Points - Only unlimited upgrades for T3, 500 mile system
otherwise
0.7 Points - Fun and energetic staff, great customer service,unlimited peanuts, no baggage fees
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Total Earned Flights
Carrier Miles Domestic International Points
Delta* 220K 4.4 2.1 4.0American 200K 4.0 2.2 3.9
Continental 200K 4.0 2.0 3.7
US Airways 200K 4.0 1.9 3.6
United 200K 4.0 1.8 3.5
JetBlue* 245K 8.9 n/a 4.8
Southwest* n/a 4.7 n/a 3.2
JetBlue for domestic, Delta for international
Mileage totals were calculated assuming 100K base miles (50*2 flights, 1000 mile flight average)flown during the year, at the 100K status level where all airlines give 100% mileage bonus
Earned flights assume the higher mileage rate if two-tiered (for example 50K miles, not 25K for adomestic flight), or if three-tiered the average of the top two tiers (50K for a 25/40/60 system)
* Delta awards platinum customers with 20K extra miles; JetBlue offers 6 miles per dollar when booked on the website, 3 otherwise (theabove calculation assumes the flights are booked on the website with $350*50 dollars spent); Southwest gives 1 roundtrip with blackoutsor .5 roundtrips without blackouts for every 8 paid roundtrips
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On-Time Percentage
Carrier On-Time Points
Southwest 82.1% 0.5
US Airways 80.1% 0.3
United 79.6% 0.3
Continental 77.7% 0.2
Delta 76.8% 0.1
American 76.7% 0.1
JetBlue 76.6% 0.1
Southwests highly efficient crews result in the most on-time flights
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Fleet Age
Carrier Fleet Years Points
JetBlue 5.5 0.5
Southwest 9.3 0.3
Continental* 9.7 0.2
US Airways 11.5 0.2
United* 12.6 0.2
Delta 13.1 0.1
American 13.9 0.0
JetBlue has the newest planes of any carrier, all with free TVs!!
To
* When the merger completes, Continentals f leet average age will be lowered,and Uniteds will improve, hence the adjusted points
From
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Current Offers
Be sure to check out and sign up for the following offers
Triple Miles & MQMs on All Delta Shuttles
Earn One Mile per $1 Spent Plus $50 At Residence Inn
Hop, Skip, and Jump for Preferred Status
10,000 plus 2 Extra Points per Dollar with JetBlue AMEX
Triple points between NYC, BOS and LAX
Fly Short-Hops for Discounted Miles
Double Points for Philly, DC, or Denver
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https://www.delta.com/pet/shuttlepromo/pet/mainhttp://www.continental.com/web/en-us/apps/onepass/promotions/registrationDetails.aspx?promoCode=A7128http://www2.usairways.com/en-US/dividendmiles/promotions/hop_skip_jump.html?c=dm_txt_00981https://www143.americanexpress.com/apisites/microsite/ApplicationFormApp.do?partnerId=77&channel=1000&cardType=JBCA&seqNumber=3&returnUrl=https://www.americanexpress.comhttps://trueblue.jetblue.com/web/trueblue/lax-triplehttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttp://www.southwest.com/rapid_rewards/rr_promotions.htmlhttp://www.southwest.com/rapid_rewards/rr_promotions.htmlhttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttps://trueblue.jetblue.com/web/trueblue/lax-triplehttps://trueblue.jetblue.com/web/trueblue/lax-triplehttps://trueblue.jetblue.com/web/trueblue/lax-triplehttps://www143.americanexpress.com/apisites/microsite/ApplicationFormApp.do?partnerId=77&channel=1000&cardType=JBCA&seqNumber=3&returnUrl=https://www.americanexpress.comhttp://www2.usairways.com/en-US/dividendmiles/promotions/hop_skip_jump.html?c=dm_txt_00981http://www.continental.com/web/en-us/apps/onepass/promotions/registrationDetails.aspx?promoCode=A7128https://www.delta.com/pet/shuttlepromo/pet/main -
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Airline Winners
Airlines 2010
Delta 8.2 Points
Continental 7.7 Points JetBlue 7.3 Points
Deltas emerges as the best overall frequent flyer airline, United is a close 4th
Full results are available in the appendix
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Agenda
Overview
Airlines
Hotels
Rental Cars
Executive Summary
Appendix
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2010 Archstone Consulting All Rights Reserved
Hotels
Hotels were compared according to four different components
A point system (max 10 points) was established for hotels based on the following criteria:
Total Earned Nights 6 Points
Global Reach 2 Points
Accruing Status & Bonuses 1 Point
Other Differentiators 1 Point
Points were allocated on the basis of importance as well as the level of differentiation between
competitors within a category
Credit cards and partner programs were not considered; all hotels have relatively similar creditcard offers and at least some decent partners
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Global Reach
Hotel Chain Hotels Points
Hilton 3,500 2.0
Marriott 3,200 1.8Intercont. 4,400 1.6
Starwood 979 1.0
Hyatt 434 0.7
* Intercontinental (also owns Crowne Plaza, Holiday Inn, Indigo, Staybridge, Candlewood) has most of their nicer hotels in Europe andAsia, and with a smaller percentage of resorts compared to Hilton or Marriott in locations like the Caribbean
Hilton comes out on top with the most hotels in desirable locations
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Accruing Status & Bonuses
Carrier T1 T2 T3 Points
StarwoodNights 25 50
1.0Bonus 50% 50%
Hilton
Nights 10 36 60
0.9Bonus 15% 25% 50%
Intercont.Nights 15 50
0.8Bonus 10% 50%
MarriottNights 10 50 75
0.7
Bonus 20% 25% 50%
HyattNights 15 50
0.5Bonus 10% 30%
Starwoods gold status and 50% bonus at 25 nights sets them apart
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Total Earned Nights
Carrier Points Nights Weeks Points
Hilton* 425K 10.1 2.0 6.0
Marriott 285K 9.5 1.6 5.7
Hyatt* 168K 10.2 1.1* 5.5
Intercont. 270K 9.8 1.4 5.4
Starwood* 60K 7.7 1.3 5.0
Hiltons HHonors Double Dip allowing 20 points a dollar them on top
Point totals were calculated assuming $20,000 dollars were spent a year at a single hotel chainwhile at the highest status (50 weeks of $400 a week)
Earned nights and weeks are estimating for the same quality of hotels (i.e. even though Starwoodmay have some of the nicer hotels, their lower property and point values were selected)
* Some Hiltons offer point bonuses, this point total assumes an average of 500 point bonuses a week, as well as Hilton points are selectedfor the Double Dip, not airline miles; Diamond option for Hyatt is either 500 to 1,000 points or $15 food and beverage credit, this tableassumes the 750 points on average; 1 week stays at the Hyatt include 5 free dinners, alternatively one can just book several 1 nights;Starwood total includes 500 point bonus a week
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Other Differentiators
Hyatt and Hilton compete for the top spot with great benefits
To
From1.0 Points Internet at 15 nights,breakfast, lounge, gift, 4 annual reservedsuite upgrades at 50 nights
1.0 Points Breakfast, lounge, and internetat 36 nights, various on property benefits,gift at some hotels
0.9 Points Breakfast and lounge accessat 50 nights, gift at 75 nights
0.9 Points Breakfast, lounge, gift, andinternet at 50 nights
0.0 Points No lounges, no free breakfast,
hotel gives free breakfast to all, no onewants to stay in a Holiday Inn!
All hotel chains give room upgrades with either the 2nd or 3rd tier statuses
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Current Offers
Be sure to check out and sign up for the following offers
Double Points for all HHonors Stays (wow!)
5,000 Delta Skymiles a Stay (in addition to base points!!)
Earn 5,000 Bonus Points at Hyatt Hotels in Northern California
Three Nights, One Free at Westins
Stay One Night, The Next is 40-50% Off
Up to 25K Bonus Points for Staying at Indigo Hotels
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https://www.hiltonhhonors.com/PYO/Login_Q3_2010.aspx?lang=EN&cid=OM,HH,HHonors10Q3,Placementhttp://www.marriott.com/rewards/promotion.mi?promotion=DE10http://goldpassport.hyatt.com/gp/en/offers/pop_offer.jsp?contentId=90021446http://www.starwoodhotels.com/promotions/promo_landing.html?category=WI_PROMO1&IM=SPG_HP_TL_EN_SEG_GLOBAL_DREhttp://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.ichotelsgroup.com/h/d/in/1/en/c/10/content/dec/teaser/in/1/en/lp/promolp/indigostay2.html?_promoCode=1203&cm_sp=IMMerch-_-PC_US_en-_-FOP_Stay2http://www.ichotelsgroup.com/h/d/in/1/en/c/10/content/dec/teaser/in/1/en/lp/promolp/indigostay2.html?_promoCode=1203&cm_sp=IMMerch-_-PC_US_en-_-FOP_Stay2http://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.starwoodhotels.com/promotions/promo_landing.html?category=WI_PROMO1&IM=SPG_HP_TL_EN_SEG_GLOBAL_DREhttp://goldpassport.hyatt.com/gp/en/offers/pop_offer.jsp?contentId=90021446http://www.marriott.com/rewards/promotion.mi?promotion=DE10https://www.hiltonhhonors.com/PYO/Login_Q3_2010.aspx?lang=EN&cid=OM,HH,HHonors10Q3,Placement -
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Hotel Winners
Hotels 2010
Hilton 9.9 Points
Marriott 9.3 Points Starwood 7.9 Points
Hilton scores a near perfect 10; Hyatt and Intercontinental are very close behind
Full results are available in the appendix
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Agenda
Overview
Airlines
Hotels
Rental Cars
Executive Summary
Appendix
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Rental Cars
Choose Hertz points or 200 Delta miles a day or 500 Marriott points a rental
1 Point per dollar,10 rentals a year = 10% bonus, 40 rentals a year = 25% bonusand car upgrades
With 50 rentals a year, $200 a rental, you earn 25 non peak rental days or 12.5peak days, 5 week long rentals non peak and 2.5 peak weeks
Can use points fun and prestige cars too at an moderate cost
Emerald Aisle where you can choose any car is a nice feature Choose National credits or 50 Delta miles a day (nothing compared to Hertz!) or
250 Hilton points a rental (Hilton points worth less than Marriott)
Rental credit every rental or 4 days, one free day after 7 credits with no status, onefree day with 6 credits for executive status (12 rentals a year) and car upgrades
With 50 rentals a year, only 8.3 rental days earned
50 Delta miles a day (nothing compared to Hertz!) or 250 Hilton points a rental
(Hilton points less worth than Marriott if youve paid attention)
Hertz is the clear winner among the relatively underdeveloped rivals
The other car rental agencies offer no benefits
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Agenda
Overview
Airlines
Hotels
Rental Cars
Executive Summary
Appendix
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Executive Summary
Fly Delta, rent a Hertz, stay in a Hilton
For the average consultant travel schedule using Delta, Hilton, and Hertz:
Earn at least four peak domestic or two peak international round trip flights
Obtain as many as two free weeks in a hotel
Receive on average three weeks of car rentals
JetBlue is hands down the best airline if you only care about getting the most free North Americanflights (without first class and other elite perks), but one must also consider the hubs!
Continental, Marriott, and National should be the only alternatives to the above
For short term allegiance switches - use airline partner miles (like getting Continental miles fromU.S. Airways), or choose miles instead of points (like Delta miles at a Marriott)
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Questions
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Agenda
Overview
Airlines
Hotels
Rental Cars
Executive Summary
Appendix
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Airline Full Results
Carrier Total Points Rank
Delta 8.2 1
Continental 7.7 2
JetBlue 7.3 3
United 7.2 4
US Airways 6.8 5
American 6.4 6
Southwest 5.9 7
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Hotel Full Results
Carrier Total Points Rank
Hilton 9.9 1
Marriott 9.3 2
Starwood 7.9 3
Intercont. 7.8 4
Hyatt 7.7 5
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JFK Airport Map
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EWR Airport Map
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LGA Airport Map
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