"'You've Got Miles' ... AOL AAdvantage Rewards Takes Off" Word count: 510.
Reprinted with permission from Flagship News November 2000. Author's copyright.
Comments and Reprint Requests: mickwrites@yahoo.com.

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"You've Got Miles" ...
AOL AAdvantage Rewards Takes Off
by Mick Doherty

In an effort to offer consumers more for their mile, American Airlines, which launched the industry's first frequent flyer program nearly 20 years ago, has teamed with America Online (AOL) to launch the largest online/offline rewards program in the world.

AOL Aadvantage Rewards takes the "mile" beyond the travel industry. Partnerships with leading companies offer members more opportunities to earn and redeem miles for goods and services. Through partnerships with TD Waterhouse, 1-800-Flowers, Cooking.com, Sharper Image, AA Vacations, leading rental car and hotel companies and more, the AOL AAdvantage mile is a new and valuable currency that allows members to earn and redeem miles through their daily activities, such as shopping online and browsing the Web. Membership in the program is free.

"By teaming the first and most successful frequent flyer program with the world leader in interactive services, American Airlines and AOL have the unique ability to create the world's most meaningful rewards program," said Mike Gunn, AA's executive vice president of marketing and planning. "Through AOL AAdvantage Rewards, consumers will essentially have access to unlimited mileage earning opportunities and rewards."

Online Loyalty Programs Popular
According to a recent Jupiter Communications Consumer Survey, more than three-quarters of online users belong to at least one loyalty program, and on the average each online user belongs to three. The same survey showed that online consumers believe they would be more likely to conduct transactions online if rewards miles or points were offered.

Peter Greenberg, travel editor for NBC's Today show and the chief correspondent for the Travel Channel, says the American/AOL partnership "shows how far e-travel has already evolved beyond mere ticket transactions." In fact, said American CEO/chairman Don Carty, the program creates "a whole new currency for the online generation."

"When you say 'miles' people get it," said Joe Redling, senior vice president of brand marketing for AOL. "They understand the value of what miles can provide them and we're thrilled to launch what promises to be the most exciting rewards program ever."

An Industry Trend-Setter
Travel industry commentator Tim Winship, founder of FrequentFlier.com, agrees that the AOL AAdvantage Rewards program is likely to be a trend-setter. "It can only be a matter of time," wrote Winship in his column for Smarter Living, "before other airlines and online services cobble together their own joint offerings meshing on- and offline loyalty programs and providing consumers with yet more options as to how, when, and where to earn and redeem miles."

One of the standing themes of the program is "Rewards of Everyday Life," as it aims to impact the consumer's daily routine. The program's benefits, including expanded opportunities for earning and redeeming miles, should help motivate consumers to think in terms of, "What I do today earns miles I can use tomorrow."

To celebrate the launch , AOL AAdvantage offered a month-long "Million Miles A Day" Sweepstakes. The sweepstakes awarded one million miles to one AOL AAdvantage member each day throughout October.

Additional information about the program is available — surprise! — on the Web at http://www.aolaadvantage.com/ or via AOL Keyword: Rewards.