American Airlines AAdvantage, the oldest contemporary frequent flyer program, celebrates its 25th anniversary this year. We spoke with Kurt Stache, President AAdvantage Marketing Programs, about some recent developments and plans for the future.

InsideFlyer
Your promotion “lesser miles for shorter destinations,” is this something you will reintroduce in 2006 or make a permanent part of your program?
Kurt Stache
It is likely that we will do it again.

IF
Citibank will start to issue an American Express Card tied to the AAdvantage program; this is good news for the programs, don’t you think?
Kurt
Yes, this is another opportunity for our members. We think the Amex brand has value and we hope it will attract more members.

IF
The 25th Anniversary is known as “silver.” Any ideas to add a silver elite level to AAdvantage?
Kurt
We are not considering that at this time.
You will see in the next 6 to 12 months some incentives to keep members engaged in our program as they are in between tiers or maybe close to achieving a tier.

IF
Do you have some perspective personally on what is ahead for the industry?
Kurt
What I think is important: customization of the programs. I would love to get to a point someday that would allow our members to personalize what it is that they want out of their frequent flyer program. So instead of a “one size fits all,” it’s more of a customized program.

We would like to create the technology that would start to take us down that path

IF
What is the hottest partner sub-segment of the AAdvantage program?
Kurt
Hotel companies.

IF
What else would you like to tell our readers?
Kurt
I have a question for you. Last month we announced that Executive Platinum status could be earned on a segment basis. Did you receive any feed back?

IF
It’s all been positive. I’m big on segmentation.

IF
Are there a percentage of anytime awards being used these days?
Kurt
The numbers haven’t changed much. That validates to me that people value their miles.