Here’s a recollection of something that happened years ago that hasn’t fully left my mind…

If you don’t already know, there used to be an airline called TWA (Trans World Airlines). After suffering extensive financial issues, TWA became a part of American Airlines.

I used to fly TWA a lot and earned what they called the “Red Card” which represented their highest frequent flyer level.  Essentially, you received an upgrade whenever there was an empty seat, etc.

Very soon after the change I was flying American somewhere and I was seated in coach (American had more stringent upgrade rules).

I was sitting next to a person who really should have been required to buy 2 seats and I noticed there were a number of empty seats in first class.  I politely inquired of the flight attendant if I might move up there.

She politely said no.  I responded by saying that TWA had always put its highest level frequent flyers in first class if there was a seat available.

Her response was “and look what happened to them.” 

I remember this a decade or more later.

There are any number of lessons here.  I’ll pick one…

Giving away costly extra services to your best customers may show your appreciation, but does not necessarily translate into benefit for the business. In fact, it may cost you more than you think.

[this part's for you, Barry]  Watch out what you give away. 

Marc Bluestone