How Lufthansa Makes It Easier for Hackers to Steal Miles

A hacker stole more than 25,000 miles from my Lufthansa Miles & More account last week. Based on previous experience when reporting fraud to other companies, as I called the Miles & More U.S. phone line, I expected either to be connected with their fraud office or to be contacted by them as soon as possible, in order to get to the bottom of the incident.

Almost a week later, I’m still waiting.

Many airlines have taken measures in the last couple of years to prevent hacking of frequent-flier accounts. Lufthansa’s Star Alliance partner, United Airlines, for example, used to allow logging into an account simply with a four-digit PIN code. It no longer does, having realized that hackers have ways of figuring out such a number — after all, the possible combinations are limited.

Lufthansa, however, seems not to have received that message. You can still log into a Miles & More account with a five-digit PIN code. That was what someone — a Russian hacker, apparently — did last Monday…

Airlines wake up to benefits of mileage redemption for unsold seats

IMG_0439There are few more frustrating aspects of being loyal to an airline or a global alliance than the inability to redeem the miles you’ve worked hard to earn for what are known as award flights. There is, however, something even worse: Airlines choosing to send out flights with empty seats rather than make some of them available for mileage redemption.

I’m referring to saver award levels, not those that require double or triple miles. As it is, round-trip saver awards require as many as hundreds of thousands of miles these days.

Last week, I called out Air New Zealand, one of the worst offenders — particularly in Business Class — on Twitter. With a few hours left until its Los Angeles-London flight on Feb. 2, there were six unsold Business seats. Yet not one of them was available on miles. On the same flight the next day, 16 Business seats were open — again, no award space. The coach cabin was wide open on both days, so the carrier wasn’t protecting Business seats to accommodate a so-called oversell in economy…
 
>> READ THE FULL STORY ON THE HUFFINGTON POST

American isn’t changing fare-publishing

EF1American Airlines’ roll-out of a new bundled fare structure this week has created some confusion among frequent fliers about what the change means to the way they book tickets. They have nothing to worry about — at least for now. American is not changing the decades-long practice of how fares are published on an airline tariff, and fears of a lack of transparency are misplaced.

You can still see in which booking class your ticket will be issued, though it’s indeed a bit confusing how exactly one would know the difference between the three new fare types by looking at that booking class, which could be the same for all three fares. So let’s break all this down and try to make sense of it.

First, what has American changed? It has bundled products and services that airlines have been unbundling for a few years, though some of those extras like certain seats are still sold separately. When you search domestic fares in the contiguous 48 states on its website, you now get three tabs: lowest fare, refundable (both coach) and Business/First Class. The default tab is lowest fare. In that category, there are three types of fares, as shown below for a one-way trip from Washington to Los Angeles…

Why airline alliances are good for fliers

The Star Alliance’s 15th birthday this month reminds me that a global airline alliance is one of the most fascinating concepts in the history of commercial aviation. It’s also an example of the airline industry’s creative thinking aimed at increasing revenues. However, unlike some of the questionable practices I described in “Decoding Air Travel,” this one has dramatically improved the customer experience.

It’s fascinating for me personally, because it combines my two passions and areas of expertise, international affairs and air travel. In fact, what alliance executive teams do every day is nothing short of diplomacy. International negotiations and dispute resolution are two of their specialties, and a big part of their duties is selecting new members, not unlike NATO and the European Union.

When Star was formed in 1997, the idea was not only to represent its members’ best interests — that’s primarily the job of trade associations — but to boost business by feeding passengers from one carrier to another in the smoothest possible way. Soon, airline diplomacy began in earnest — first among alliance members, which after all are rivals in a fiercely competitive industry, and then with airports, transportation authorities and governments around the world. The other two global alliances are Oneworld and SkyTeam…

Round the world in a week, without pain

How do you make sure a whirlwind trip round the world in just a week doesn’t wear you out and affect your productivity? Things went surprisingly well for me last week, as I flew from Washington to Munich to Paris to Bangkok to Islamabad, back to Bangkok, on to Seoul and back to Washington, so I thought I’d share the experience.

The first thing I have to say is that I don’t drink coffee or take sleeping pills. My only medicine when it comes to air travel is securing the best comfort and luxury I can — I need my flat beds, gourmet meals, lounges with showers, and sometimes even chauffeur-driven cars to connecting flights. I certainly can’t pay for them, but we’ll come to that momentarily…

Airlines still think customers are stupid

While most U.S. airlines have learned to be relatively honest with their best customers, many of their foreign peers have not yet realized that travelers are not as stupid as to fall for their PR spin and questionable practices.

It’s time for those carriers to wake up to the fact that it’s the end of 2011, and much in the airline industry is rather transparent to those of us who pay attention. Trying to persuade customers that bad news is actually good may be an essential PR trick, but in today’s hyper-connected world, it’s not hard to figure out someone’s true intentions. Among the airlines still using the old playbook is British Airways, which is surprising for such a major and quite good global carrier…

The benefits of non-airline credit cards

You may have seen TV commercials featuring American Express or Capital One credit cards that promise points or miles with the clout to get you any seat on any airline without blackout dates. Those financial services companies try to distinguish their own loyalty schemes from airline programs, which restrict access to award seats.

Non-airline programs are not affected by award seat limits, because they don’t need award availability to book you on a flight. Instead, they sell you a regular revenue ticket, charge the ticket price on your credit card, then credit the cash amount back to your card and take miles or points out of your account, whose number is based on a standard formula…

Consider options before giving up seat

Volunteering to get bumped from a flight is an issue often raised by participants in the events on my book tour. As is the case with most situations I discuss in “Decoding Air Travel,” I advice travelers to think carefully before giving up their seat and examine the alternative ways to get to their destination — and to know exactly what they would get in exchange.

U.S. airlines, which overbook flights all the time, offer discount vouchers valued at as much as $400 for bumps on domestic flights, and up to $800 on international flights. Those certificates are very tempting and can save you lots of money. In fact, many travelers take certain trips only because they have vouchers to use. However, unless you are familiar with alternative flights that will get you to your destination, you may be asking for trouble…

Is media coverage of air travel helpful?

In my 18 years in journalism, I always believed that the media’s role is to inform, entertain and educate. These days, the education part seems to be missing in many cases, and one area where that’s quite evident is air travel. With the airline system being so complex and frustrating, should the media be more helpful in guiding travelers through the maze?

I asked myself that question as I was preparing for an interview about my book, “Decoding Air Travel,” on NPR’s Weekend Edition last week. The overwhelming positive response to the interview and the sales numbers — more than 500 books sold in two days — show that the public badly needs help in navigating the airline universe…

Delta SkyMiles needs new leadership

Delta Airlines has cemented its status as the network U.S. carrier with the worst frequent-flier program, further devaluing its long-cheapened SkyMiles. The leadership of the program or the airline — or perhaps both — doesn’t seem to understand what the loyalty business in 2011 is about. It may be time for a new team at the top.

For more than a year, Delta failed to publish an award redemption chart for most of the world, resulting in lack of transparency about how many miles were really needed for an award ticket. When it finally unveiled a chart this week, the mileage rates on many routes were increased significantly. Many loyal SkyMiles members felt cheated and disrespected, calling Delta’s move a “stunt” in comments posted on FlyerTalk, the largest online travel community…