Point Hacks' purchase of AFF

I've been thinking about this for a while now pondering why PH would purchase AFF. Conclusions I've come to

1) AFF is quite profitable so purchased a going concern to earn revenue
2) AFF is break-even/marginally profitable. PH believe they can make it more profitable. Either through advertising/membership fees
3) PH believe there is a lot of useful data in AFF that they can benefit from and hence make PH more profitable.

Personally I hope its option 1 or 2. Option 3 makes me thing more articles will be published based on discussion by AFF members. In some ways it feels that the IP generated by member discussion is then "given away for free" to the public in PH articles. I'm well aware anything we write here is in the public domain. However, most people take away information from this forum but also contribute too.

Of course there is probably a 4th and 5th option too that I haven't considered.

At the end of the day if people don't like this change, they'll speak with their virtual feet. So it will be in the interested of PH to not mess things up :)

Congrats to @Admin on the sale and looking forward to the future.

agree🎉👏👏

I mucked up my first reply to option 3 edited to the gist of content data from AFF is valuable but demographic data even more so (subject to privacy policy of course)
I think you'll find it was a combination of 1 & 2. They have a different audience across both (although there would be some cross-over). They want this to be a discussion forum, whereas PH's SM sites are article based - of course articles there will be referenced here by members, but I wouldn't think any more than any other site. The process for AFF has worked well for the last 20 years (and has certainly changed since I joined at the beginning) and hopefully will continue to evolve.
 
I think you'll find it was a combination of 1 & 2. They have a different audience across both (although there would be some cross-over). They want this to be a discussion forum, whereas PH's SM sites are article based - of course articles there will be referenced here by members, but I wouldn't think any more than any other site. The process for AFF has worked well for the last 20 years (and has certainly changed since I joined at the beginning) and hopefully will continue to evolve.

1 and 2 are slightly contradictory. 1 being quite profitable and 2 being marginally profitable ;) I think I know what you mean though and I really wouldn't expect any public discussion on the profitability or otherwise of AFF anyway.
 
I was happy with PH assisting us in enrolling family members in the St George deal for 200,000 Amplify points over 2 years. We got the whole extended family onboard as Kris Miles are worth so much more than Qantas points for international flying.
 
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Interesting thread - I was blissfully unaware.
Guess in time I need to decide whether to continue as an "AFF Supporter", paying real $$ each year.

I get the weekly email from US based Flightaware and had noted its takeover by Collins aerospace last year.
Of course that business is way more than the news & "squawks" but after a similar discussion there on whether the ownership change might impact the "community" I note the level of political insults between red and blue has not changed all that much.
 
Buying a business often means borrowing money to do it. Most business don't buy another to keep the status quo, they see more value coming and will make some changes to increase the value even more.

Once the value has increased to the desired amount, and usually there will be a date they aim for (to keep investors happy) as well then everything is up for sale again.

Like real estate, the big profit it isn't in the yearly rental collected but the capital gain when you dispose.
 
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One thing that does come to mind as to why PH might have bought AFF. When things on the internet are offered for free YOU are the commodity. It's not unheard of companies buying other companies just to get access to their customer list.
 
Two totally different ends of the spectrum

Points hack for punters
This forum for travel "geeks"

Interesting times
But there’s a Ven Diagram and I’d suspect the overlap area is larger than the other bits! 😉
 
Wondered why there was never a Kieth mentioned in recent years, the transition from a group of like minded enthusiasts to the monetisation of a web site/s is inevitable. As mentioned previously, on whatever site/s, why would anyone be happy to promote skills and techniques developed over decades and give that information for free? answer = increase subscriptions = sell more credit card deals = more subscriptions = sell = ultimately sell to an Expedia or the like.
not saying that’s the case with AFF, more the others. Anywho, the nett result is more punters competing for more elusive award space, the airlines loving it and ultimately an expedia >hotels>agoda >priceline outfits - happy little soul aren’t I
 
*Keith also @keith what do you do these days ( if that’s not A Personal Question)
also also kpeeping with my negative theme hope it’s wasnt a Borgetti type meeting
 
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