Many people have a huge investment in their frequent flier programs, having spent years accumulating miles for a long-awaited trip. But with Delta Air Lines (NYSE:DAL) changing its frequent-flier program rules, many fear that their miles might be at risk and that they won't get the full benefits they're used to receiving in the future.
In the following video, Dan Caplinger, The Motley Fool's director of investment planning, goes through the changes to Delta's frequent-flier program and the potential impact on United Continental (NYSE:UAL) and American Airlines Group (NASDAQ:AAL). Dan notes that Southwest (NYSE:LUV) made similar changes to its program, emphasizing the amount you pay for a ticket rather than the number of trips or the distance you travel. As airlines work to be more profitable, they want to reward the customers that are most important for their success, and that means rewarding business travelers even more than traditional airline-mile programs did. Dan concludes that if Delta's program is a success, then you can expect United and American to follow suit soon.
Are airline stocks the best place to invest?
Delta and other airlines have been strong lately, but there's still a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.
Dan Caplinger and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.