Yesterday American Express announced that effective August 1st cards that come with Priority Pass would no longer be able to access non-lounge experiences (e.g restaurants, cafes and bars). Chase, Citi & U.S. Bank all offer Priority Pass in one form or another, in addition when asked if they plan to introduce a similar rule they all three card issuers stated that they have no plans to change Priority pass at this time.
These type of public relations statements don’t actually mean anything, as you can see they all “no plan for changes at this time” (emphasis mine). I suspect what has happened is that the American Express contract was up for renewal and Priority Pass wanted to charge more for access to these “non-lounges” and American Express decided it was too expensive. The real question will be what Chase/Citi/U.S. Bank do when the fee increases are passed onto them as well and if American Express’ removal of this benefit causes their own acquisition/retention rates to increase.
In fact, if all Priority Pass cards from banks losses the access to restaurants, it simply means the majority of Priority Pass won’t have this option (I suspect the Priority Pass holders from other sources are pretty minor). In such case, just treat it as what it was in the old days (not so old) when these restaurants have not been added in yet. Adjust your expectation to its value. That’s all you need to do.
I honestly had no idea that there were restaurants that didn’t enforce the boarding pass rule. My only experience is with SFO and PDX. I travel though PDX a lot and I would say at least 75% of the traffic at Capers is priority pass now. I’ve never had an experience where they haven’t checked my boarding pass.
While I have AMEX platinum I’ve never even bothered to get PP through that card as the benefit through Sapphire Reserve is much better. The only thing that is quite frustrating is the limits put on the lounges for PP. It seems like every time I’m at PDX the sign is out at the Alaska Lounge. I think if Alaska were smart, they’d offer a discount on the membership for PP members.
CNS1280
I travel the same airports reg as well, and they never ask for a BP. Agree about Caper’s customer’s mostly PP. The Ruben is mind blowing. Caper’s market RIP.
Also have PP from CSR & Amex PT never had an issue double dipping (using both memberships) but I always tip well with cash and joke that “tipping’s not just for cows and e-scooters”.
Re:AS lounge it’s my understanding that is closed to PP during the remodel but that may be an excuse as well. As I have had same issue at SEA/LAX.
Alaska Lounge has offered occasional discounts on memberships if you can show membership in any other lounge program. (PP counted) I think the last time they did was October of 2018, when they waived the normal $100 initiation fee.
I think a cap on non-lounge visits is probably the most sustainable option. Even if they require a boarding pass could’t someone just buy a fully refundable ticket most days they are working? If your CL is high enough to get a CSR card this seems feasible. Wonder what the airlines might do if you purchased a huge quantity on refundable tickets and never actually flew.
Probably ban you and/or seize your points, if any.
People do this all the time as normal business practice. If you are rushing between cities (or just want to get home), you buy a refundable ticket for every flight out and just use the earliest one you can get too. Airlines also like this, because a refundable ticket can cost 3x or more.
other than WN, which airlines do offer full refund nowadays?
All of them if you but a refundable fare class
Hopefully they get the message we’re sending though. The fact that people are asking about it should tell them they need to keep it.
People who want to use the heck out of it are not going to sway them. Occasional travelers who cost them less money over the year will.
Seeing as restaurants being added is relatively new, guess which group is going to raise the bigger stink?
Discussions of abuse are not relevant. The real issue is here at the end of Doc’s post: “I suspect what has happened is that the American Express contract was up for renewal and Priority Pass wanted to charge more for access to these “non-lounges” and American Express decided it was too expensive. The real question will be what Chase/Citi/U.S. Bank do when the fee increases are passed onto them as well and if American Express’ removal of this benefit causes their own acquisition/retention rates to increase.”
The loophole where people who work at these airports continue to abuse it by getting lunch/dinner/whatever there everyday has to be closed. Priority Pass or the banks need to force people to show a boarding pass for their flight and for it to be scanned. At the restaurants in my experience, they never ask for the boarding pass. I can only imagine how much these people who are abusing it are costing everyone.
In other words, close the loophole that benefits workers who largely get paid barely more than minimum wage, but continue to personally benefit from other loopholes? 🤔
As someone who doesn’t apply for business cards because of moral qualms, does not MS, and only uses Priority Pass as it was intended, I personally say yes, close this loophole. The other way is to limit the number of restaurant credits to, say, 10 a year for everyone but keep it.
The Robinhood sort of logic really doesn’t work.
I cannot imagine that a minimum wage worker, would carry a CC with a $450+ AF. Anyway, if PP setup their mobile terminals to scan BP that would mostly eliminate the issue. The barcodes can be easily forged but that is a bigger issue.
I mean I can imagine it if it resulted in free meals whenever you are working
Obviously, a card that enables airport employees “to eat every day” isn’t sustainable if the card is priced for far less frequent travellers. Aside from requiring a boarding pass (which the restaurant and staff might not be inclined to enforce — they want the business and the tip!), PP could limit the number of restaurant visits each cardholder could receive. Like no more than 4 in one airport in a month, for example.
I was actually at PF Changs at LAX earlier this month and was shocked to see how many people there using PP (and, granted, it did seem the majority of diners were using PP) were airline employees in uniform. I used PP myself there before a flight, and the restaurant definitely did not ask to see my BP.
$450 for an annual meal plan at work sounds awesome, where can sign up?
I got a referral link if you want 😛
I do have a 3 PP memberships (as of now), but I don’t work at an airport so it doesn’t really help..
Any US armed forces recruiter would love to lie to you err talk and sign you up. 😉
Lrdx
I’m pretty sure that would involve changing jobs ..
Essentially a $150 AF with CSR.
There’s a clear value proposition in it though. Free lunch everyday?
Don’t know if there are many out there who actually abuse it as Josh suggests, but a boarding pass check should be there if it’s becoming a burden to the program. PP isn’t a social safety net, however much they make shouldn’t really matter
What makes you think airport workers “get paid barely more than the minimum wage”… ridiculous assumption
And even if they do does that mean american express (and us through our card fees) need to buy them lunch every day?
Ridiculous comment… try harder..
Look up job postings for ramp agents, wheelchair pushers, cleaning crews, and even outsourced customer service agents, and you won’t see wages much higher than minimum wage. I’m also speaking as a former airport worker who got paid barely more than minimum wage.
I don’t believe my or anyone’s fees are better valued to be spent on the person who flies every day of their work week and also gets lunch through PP vs. anyone else who carries a PP.
That’s very sad, but Priority Pass should not be the one subsidizing airport workers lifestyle. They should adjust the T&C so that boarding passes from revenue/award tix are what count. That would stop airport staff and airline employees from abusing PP, to the detriment of the vast majority of honest members.
PP and merchant gets paid either way so they have little incentive to enforece per T&C your supposed to have a “valid” BP
Per T&C #15 Travel Industry Employees: Airline, airport and other travel industry employees traveling on reduced-rate tickets are not eligible for access and Priority Pass has the right to refuse Program membership to people who are employed by or contracted to an airline, airport or a Government in respect of airline or airport security.
aubergine
This is why companies engage ‘secret shoppers’ to make sure that all parties are following the rules – whether its the brand standards for hotels or T&C for a benefit that someone else is paying for.
Not sure what the huge difference between road warriors and airport/airline employees. I guess that some think that business travel is “acceptable” for regular use of PP but not airport personnel. Its a card benefit and while I know that the Centurion require s a BP, does PP?
Would have been sweet deal when I used to get a fixed daily per diem for meals when I was in Corp world. In addition to hotel reimbursements/pts and FF miles.
When people think its cool if daily business travelers do it, but not airport workers, what you’re seeing is how people view poor people and class. Spending on airline tickets has nothing to do with the Priority Pass program whatsoever.
Explain why I am wrong.
You’re very possibly wrong because these supposed “daily business travelers” are a tiny minority. There are very few people who are in a position to get 2-3 meals a day in an airport every day just by traveling a lot.
Every benefit is going to have those who use it much more than average, and the program has to factor these outlines into its costs (or restrict them). The problem emerges when there are too many of them. What people may be suggesting is that a large group of people who are at the airport all day every day are more of a potential burden on the program than the very small group of people who travel daily.
I can’t say I have a clear opinion on whether airport employees are the main burden on pp restaurants. Answering this requires much more data, and it may make much more sense to look at the burden created by non-daily frequent travelers. But either way, there is a rationale here that is not reducible to class (which is not to say that “otherness” does not contribute to people’s understanding of the situation).
I actually ate at a PP restaurant a couple weeks ago, and the server checked my boarding pass when I paid.
I used PP card 6 times in the past 12 months (most recent was 1 week ago in SFO) , and none has asked for boarding pass
My ‘hit’ rate for verification of BPs across all airports has been about 25%
Technically the “loophole” would still exist because you can always buy a refundable fare ticket. But after doing that and canceling for the 50th time in a row, the airline would likely ban you (it could take quite some time for them to link the purchases, however, since you wouldn’t input your FF number).
Lufthansa actually famously caught some guy doing that with refundable J fares, who apparently was living in their lounge.
link?
Lufthansa famously sued passenger for skiplagging, not just for buying a refundable ticket. But the court threw out the lawsuit.
After checking further on loungebuddy website (which Amex recently acquired).
I’m thinking that PP may eventually be replaced by Amex with loungebuddy.
“…..With LoungeBuddy, all travelers can access any of the lounges in our network — no memberships, elite statuses, or first class tickets required….”.
In many ways I value PP non-lounges options over lounges.
Few of the PP lounges offer free showers Int’l and the price is the same often for showers outside lounge i.e. LHR
But exception s do exist but most PP lounge food is only so-so.
I suspect absolute majority of PP holders in this country have them through AMEX, Chase and Citi. If they all remove non-lounge benefit from PP there’s very little value for PP to maintain relationship with those restaurants and bars.
PP’s (and most travel card’s) value (to their issuers) has always been claiming that it is there yet make it difficult/impossible to use.
Thus they will be very glad to maintain the relationship, marketing the hell out of it, while paying almost nothing due to people can’t actually use it 😉
DoC, I am sure I speak for many when I say we appreciate your clarity and straightforwardness in reporting these things. Too often we just get bland statements parroted or worse, “expounded upon” in such a way that we are led to believe that no devaluation would happen, without cause for believing so. Thank you for your diligence!
Agreed. Plain human English can be hard to come by sometimes!