BMI Archives | Nicholas Kralev

Hilton tries hard to lose my business

When it comes to elite status downgrades, the landing can be either hard or soft, and each company in the travel industry has its own rules. Hilton’s harsh and inflexible policy has just made it easier for me to defect — a move I’ve been contemplating for more than a year.

I have previously written columns critical of Hilton HHonors, the hotel chain’s loyalty program. I haven’t enjoyed it, because I like the person in charge of the program — Jeff Diskin, senior vice president for global customer marketing at Hilton Worldwide. However, Hilton HHonors has lost much of its competitiveness in recent years…

Western carriers return to Iraq

Iraq may not be among Western travelers’ most desired destinations quite yet, but some of the world’s leading airlines have decided that flying to the war-ravaged country can be profitable, so they are returning there after a 20-year absence.

Although two of Europe’s major carriers — Austrian Airlines and Turkish Airlines — have been serving Iraq since 2008, their re-entry in that market was viewed as only moderately significant at the time, and none of their peers followed suit. Austrian chose Erbil, the capital of Kurdish northern Iraq, which was never nearly as violent as the rest of the country…

Hotels offer flexibility to earn loyalty

What makes a hotel loyalty program most competitive? Is it the elite benefits it grants its best customers or the variety of options it offers for redeeming earned points? Does it matter who’s asking: a program executive or a traveler?

It turns out, it does. As a customer, if I decide to be loyal to a hotel chain, the first thing I do is look up the requirements for achieving top elite status, and then the benefits that status would give me. Only after that do I consider the value of the program’s points. However, Steven S. Sickel, senior vice president for distribution and relationship marketing at the InterContinental Hotels Group, who oversees the chain’s loyalty scheme, Priority Club, has a different perspective…

Airline trade group raps governments

Should the world’s largest airline trade group openly criticize national governments that have enormous power over the industry? How likely is it that politicians will actually listen to that criticism, and could it backfire in the end?

Giovanni Bisignani, director-general of the Geneva-based International Air Transport Association (IATA), seems much more concerned about the industry’s future than not angering governments. In fact, he thinks officials’ failure to adapt their policies to new realities is hurting the airlines. Mr. Bisignani made some daring comments aimed at specific governments at a press conference in Washington last week — in addition to projecting that the industry will lose about $11 billion this year…