American Airlines is improving the AAdvantage loyalty program

Earlier this month, American Airlines announced big changes to its AAdvantage loyalty program — and thankfully, most of them are positive.

American will soon offer more flexible cancellation policies, more ways to redeem your miles, a new Loyalty Choice Reward option and other improvements. However, the airline is also taking away benefits from those who are not AAdvantage members.

Let’s take a look at these changes and what they mean for you.Fortunately, American made it clear that it will not raise the number of Loyalty Points required to earn status. However, with the addition of a new Loyalty Choice Reward, earning status can be slightly easier.

Currently, at various Loyalty Point levels, you’re able to choose from a list of rewards. These include priority boarding, systemwide upgrades, lounge passes and more.

Starting with the new qualification year on Mar. 1, 2024, the airline will let members select bonus Loyalty Points at three Loyalty Choice Reward levels. This can come in handy if you are just a few Loyalty Points shy of earning the next status level at the end of the year.American is also adding more opportunities to earn and redeem miles.

On the earning side, when American flyers pay to upgrade to a premium cabin, they’ll earn redeemable miles and Loyalty Points for the amount paid. While this is a much-appreciated change, the date of when it takes effect has not yet been released.

Plus, those with Platinum Pro, Executive Platinum and Concierge Key elite status will soon be able to redeem miles to enjoy Flagship First dining experiences when flying in a lesser cabin. Flagship First dining is available at Dallas Fort Worth International Airport (DFW) and Miami International Airport (MIA).

Additionally, members will eventually be able to redeem miles to upgrade cabins on partner airlines. This will roll out later in 2024, although pricing and other restrictions have yet to be announced.

Finally, American is incentivizing flyers to join the airline’s AAdvantage Loyalty program by adding new benefits for members. The airline will also make some benefits that were previously available to all travelers exclusive to AAdvantage members.

Starting at the end of January 2024, AAdvantage members will be able to cancel nonrefundable Basic Economy tickets and receive a travel credit for the amount paid, minus a $99 fee. The only caveat is that this only applies to domestic trips booked directly through American Airlines. Previously, Basic Economy tickets were neither changeable nor refundable.

Additionally, AAdvantage members will continue to have one year to use Trip Credits. But once the changes take place, those who are not AAdvantage members will only have six months to use the credit. These changes apply for all Trip Credits issued on or after Mar. 11, 2024.

Lastly, only those enrolled in the AAdvantage program will have access to free 24-hour ticket holds, free same-day standby and the option to purchase one-day passes to the Admirals Club and single-visit passes to Flagship Lounges. Most of these changes will take place later in 2024 (at a date not yet announced), while the free same-day standby changes goes into effect Mar. 1, 2024.

American Airlines has announced several significant changes to its fee structure and loyalty program, aimed at increasing direct ticket sales and enhancing revenue from ancillary services. These adjustments include raising the cost of checked baggage and introducing measures that encourage customers to purchase tickets directly from the airline if they wish to earn frequent-flyer points.

Fee Structure Changes

Effective soon, the fee for checking a bag on a domestic flight will increase from $30 to $35 if purchased online and to $40 if purchased at the airport. Additionally, the cost for a second checked bag will rise from $40 to $45, applicable both online and at the airport. This is the first time American Airlines has increased its baggage fees since 2018, reflecting a broader industry trend towards maximizing ancillary revenue. The airline, headquartered in Fort Worth, Texas, initially introduced baggage fees in 2008, starting at $15 per bag, to mitigate the escalating costs of jet fuel. Over time, these fees have become a significant source of revenue for major U.S. carriers. In 2022, American Airlines led the industry by generating $1.4 billion from baggage fees alone, according to figures from the U.S. Department of Transportation.

The new fee structure also impacts short international flights, including routes to Canada, Mexico, and the Caribbean. The cost of checking a bag on these flights will increase by $5, bringing the fee to $35 for the first bag and $45 for the second. Despite these increases, American Airlines will continue to allow customers with elite status in its loyalty program, those who purchase premium-class tickets, and those using American-branded credit cards to check at least one bag for free.

In a move to mitigate the burden on customers whose luggage slightly exceeds weight or size limits, American Airlines is introducing a graduated fee system. Rather than imposing the full extra fee, which can range from $100 to $650 depending on the extent of the excess, the airline will implement incremental fees starting at $30 for bags that are no more than 3 pounds or three linear inches over the limits. This adjustment aims to provide a more reasonable and customer-friendly approach to handling overweight and oversized baggage.

Loyalty Program Adjustments

In addition to changes in baggage fees, American Airlines is reducing the cost of transferring points between frequent-flyer accounts. This change is part of the airline’s broader strategy to enhance the value and usability of its AAdvantage loyalty program for its customers.

Significantly, American Airlines is also revising the way customers earn frequent-flyer points. Starting with tickets issued on May 1, customers will need to purchase tickets directly from the airline, its partner carriers, or from preferred online travel agencies to earn points in the AAdvantage program. The airline plans to publish a list of preferred