US Airways Dividend Miles - FF program for High Revenue Flyer's




swanscn
Aug 1, 12, 8:21 am
I know many here are going to disagree with what I am about to suggest, and that is OK but I am going to suggest it anyway.

I am beginning to believe that US (and other airlines) need to think about a FF program within the existing constructs of their FF programs. This program would target high revenue producing flyer's, not necessarily high mileage flyer's. I like some others on the board spend many thousands on air travel each year, in my case > 150k each year. And I must admit the idea did not come from me, but Singapore Air. At SQ if you spend 50K of more a year with them you become a member of PPS. The benefit of this is the attention the airline provides to the high revenue therefore highly valued flyer's. I am suggesting that US and other airlines consider doing similar things. And example of what I have gotten as a PPS member, when the non-stop SIN-EWR was booked full and I was routed through FRA, a few days before the departure a seat opened up and the PPS desk moved me onto my preferred flight. This level of service provides incredible value to me as a SQ customer, and what SQ gets is a customer not trying Cathay Pacific when they can not get the non-stop flight (win-win).
The benefit for US is that high dollar value flyer's who will not make it to CP level will not look to take their business elsewhere. My suggestion is that US should consider doing something similar and reward those customers who spend more than 50K per year with them but fly less than 125,000 miles.
Now here is what most on this board will shout me down about, these people will be given a benefit above the CP levels. My personal belief is that there are many CP's who do not spend $50,000 per year with US, but those who do will get this benefit. I know from experience that I can reach CP level with $0 dollars and 0 flights during a 12 month period. Why, because I have done it, I just credit 6 EWR-SIN flights a year to my US account and I am CP. The same is true for anyone else who credits miles to their US account from other airlines. This program just rewards those who actually spend the dollars with US.

I would like to know how many others thing this is a reasonable suggestion.


Phudnik
Aug 1, 12, 8:33 am
Both UA and AA have programs like what you describe. (I don't know what DL does.) To be honest, I'm not sure US values high-dollar flyers enough to institute such a program (case in point: 100% EQM for Y/B fares). I wouldn't have any problem with this if I were still a US CP, however.

I expect that US will eventually start requiring people to take a minimum number of US flights each year to maintain status; UA does this, I know, and I think AC does too.

apeortdz
Aug 1, 12, 8:41 am
...I expect that US will eventually start requiring people to take a minimum number of US flights each year to maintain status; UA does this, I know, and I think AC does too.

What is that minimum number of flights?


SS255
Aug 1, 12, 9:26 am
What is that minimum number of flights?

UA requires a minimum of four segments on UA metal to qualify for any Premier level.

US is the least generous of all of the major U.S. airline mileage programs:

No Y/B bonus
Million Miler programs qualification is the most difficult, with the lowest benefit (lifetime Silver, nothing beyond that)
No top tier based upon high spend
No E+-type product for elites or for purchase
Two SWU's + companion is more restrictive than UA/AA's SWU's (not sure about DL), although they are good on any fare, unlike UA's SWU's.
No regional upgrade certificates (UA offers 2 at 75K, and 2 more for every additional 25)

Where US excels is in its generous upgrade domestic benefit -- especially for CP's. If you fly just over 100K/year, mostly domestically on mostly cheap tickets, you'll usually end up in F.

I'm a 1K on UA, and I fly up front less than I did as a Gold on US.

I

Superguy
Aug 1, 12, 11:47 am
The one thing I've thought about the Y/B bonus is that unless you're forced to buy a Y/B (and I'll admit, in some cases I am required to buy that for work), you can often get unrestricted F (booked in A) for less than a Y/B fare. At least domestically anyway.

Take a look at doing the Preferred Upgrade choice to get B fares. If you compare the B fare that pops up with what you can flexible A fare, you'll see that A is often cheaper and sometimes as much as half the price of a B fare.

While it sucks that Y/B doesn't get a PQM bonus - and I have written in and complained about this - my guess is that US's rationale is that they've made F cheap that people would rather buy that over a B fare anyway and they'll still get their PQM bonus, plus sit in F. The only issue comes if a company requires buying Y/B fares and won't accept the argument that buying an A fare is cheaper than a Y/B.

Superguy
Aug 1, 12, 11:51 am
Both UA and AA have programs like what you describe. (I don't know what DL does.) To be honest, I'm not sure US values high-dollar flyers enough to institute such a program (case in point: 100% EQM for Y/B fares). I wouldn't have any problem with this if I were still a US CP, however.

I expect that US will eventually start requiring people to take a minimum number of US flights each year to maintain status; UA does this, I know, and I think AC does too.

I can't comment on AA's Concierge Key, but UA GS. No one knows what the actual spend it, but most believe it's >30k on B and above fares.

Given UA's mess, there are a lot of unhappy GS's this year, and many have said it wasn't worth it this year like in year's past as UA doesn't treat them nearly as well as they used to. Who knows if that will change or not in the future.

swanscn
Aug 1, 12, 11:59 am
But the question is should US institute such a program? For me the answer is clearly yes, even if I did not reach the spending amount.

BoeingFlyer2012
Aug 1, 12, 12:12 pm
The one thing I've thought about the Y/B bonus is that unless you're forced to buy a Y/B (and I'll admit, in some cases I am required to buy that for work), you can often get unrestricted F (booked in A) for less than a Y/B fare. At least domestically anyway.

Take a look at doing the Preferred Upgrade choice to get B fares. If you compare the B fare that pops up with what you can flexible A fare, you'll see that A is often cheaper and sometimes as much as half the price of a B fare.

While it sucks that Y/B doesn't get a PQM bonus - and I have written in and complained about this - my guess is that US's rationale is that they've made F cheap that people would rather buy that over a B fare anyway and they'll still get their PQM bonus, plus sit in F. The only issue comes if a company requires buying Y/B fares and won't accept the argument that buying an A fare is cheaper than a Y/B.

And actually, US Airways' web site is not even set up for customers to be able to request B bk class specifically.

Superguy
Aug 1, 12, 1:11 pm
And actually, US Airways' web site is not even set up for customers to be able to request B bk class specifically.

I've only ever seen B tickets if selecting the Preferred Upgrade option or on international tickets. Y was very rarely seen on US's site.

I like that UA allows you to pick your booking code. It's great for filtering some results, especially when you know there are fare buckets it won't otherwise show.

On US, the only real way to request a fare bucket is to call in and specifically ask for it.

SS255
Aug 1, 12, 2:20 pm
But the question is should US institute such a program? For me the answer is clearly yes, even if I did not reach the spending amount.

US did implement such a program, about 5 years ago. I cannot remember what they called it, but only very high revenue flyers were invited to join. The catch? It cost $800/year, and the services they touted were basically the same services one would expect if flying 100K+ miles/year.

Unsurprisingly, the program was extremely short-lived, and I believe that was after a free trial period.

swanscn
Aug 1, 12, 3:38 pm
US did implement such a program, about 5 years ago. I cannot remember what they called it, but only very high revenue flyers were invited to join. The catch? It cost $800/year, and the services they touted were basically the same services one would expect if flying 100K+ miles/year.

Unsurprisingly, the program was extremely short-lived, and I believe that was after a free trial period.

Most likely it was because the put a additional price tag on entry. Asking a High Revenue flyer to then pay additional money is plain stupid. The program at SQ costs nothing, just spend 50K per year on tickets and you are in, when you go 12 months without 50K you are out. This plain and simple logic has kept me on SQ, when I had other options.

Why it makes sense for US is it keeps the revenue coming from the high revenue flyer who is not going to make it to CP level on miles or segments. Otherwise if they are not going to make it to the top tier they will show around. This type of program is one that makes those in it understand that they do value our business (not just our money). But the benefits must be tangible not just fluff, for example. If the LAX PHL flight is sold out and I am booked on a connection through CLT, if a seat opens they would contact me to find out if I wanted to be changed to the non-stop. If I said yes it is done and there is no charge for this. This is why the dollar spend must be significant, otherwise people could book connections to save money in hopes of being moved.

Biggie Fries
Aug 1, 12, 4:31 pm
I can understand where the OP is coming from. The CP perks are only so-so if you are already running a ton of money through their system, and to not even get those perks at a high spend would rankle. No doubt the late-booking flyer, and not necessarily the highest-mileage folks, is (are) the cash cow(s) of the system.

On the other hand ... if, like me, you are flying a fair number of miles but trying (reasonably successfully) to do it at a low-ish cost, then the perks seem great. This has been discussed elsewhere on the board, but I'm sure -- well, theoretically sure -- that if there were enough high-spend traffic out there to which US could appeal, that they would gladly jettison high-hanging fruit like, well, me. I, in turn, would fly US a lot less, since without some of these cool benefits, the middle-seat miles would get onerous, and the same amount of spend would start seeming costly. Not that I would expect US to care, if they could entice bigger spenders with the same emoluments they are currently lavishing on me.

Until then, I'll try to enjoy the situation.

pbuntrock
Aug 1, 12, 4:40 pm
Both UA and AA have programs like what you describe. (I don't know what DL does.) To be honest, I'm not sure US values high-dollar flyers enough to institute such a program (case in point: 100% EQM for Y/B fares). I wouldn't have any problem with this if I were still a US CP, however.

I expect that US will eventually start requiring people to take a minimum number of US flights each year to maintain status; UA does this, I know, and I think AC does too.

Here's my problem with this on US. I spend a lot on tickets, mostly to Asia; US does not fly to Asia. So I get my EQM's on US from other *A airlines. If US moves to a revenue model I'm gone on day one, it can't possibly work for me. If they flew domestic, Europe and Asia it would be different.

NYCommuter
Aug 1, 12, 6:24 pm
And actually, US Airways' web site is not even set up for customers to be able to request B bk class specifically.

True. The website used to be set up so that you could see all fare classes and their costs and pick the one you wanted. Too bad that function is gone. I recall that function being available around the time that Ben Baldanza wanted to have cheaper fares not earn miles, so maybe it was there for that reason.

What more does a United or other airline high-spender program offer that being CP doesn't? (Other than a free US Airways club membership, which sometimes is given out.)

smcbride11
Aug 1, 12, 6:39 pm
I'd love a program like that - I just squeaked into CP last year with 122 segments, but only 60k miles and a $44k spend.

This year, I'm on track to spend much more money but will struggle to make PP - all North East travel at 500 mi per segment. Revenue based perks would be phenomenal.

Segments
Aug 1, 12, 10:56 pm
Count me in I agree that the current program doesn't do much for those who buy last minute high $ tickets on short haul flights

Yes, it irks when my domestic ticket costs as much as many coach tickets to Europe and I get a fraction of the EQM miles and no recognition for my high spend

swanscn
Aug 2, 12, 5:38 am
One thing to note, I was never suggesting that US replace the existing program. This program would exist within the constructs of the existing program. The difference is that it would reward those who spend a large some but may not get the benefits that those who spend mush less receive.

BoeingFlyer2012
Aug 2, 12, 8:42 pm
I'd love a program like that - I just squeaked into CP last year with 122 segments, but only 60k miles and a $44k spend.

This year, I'm on track to spend much more money but will struggle to make PP - all North East travel at 500 mi per segment. Revenue based perks would be phenomenal.

As in 44,000? Not sure I would ever want to give US that much money in any given year.

swanscn
Aug 3, 12, 9:14 am
As in 44,000? Not sure I would ever want to give US that much money in any given year.

But some people must because we value schedule over pretty much everything else. When I do travel in the US I try to do same day trips as often as I can, and leaving near PHL generally means US. I will always take a non-stop over a connection and 1 connection over 2. This year I have been to and from XNA on the same day (actually arrived by in phl at 0 dark 30 of the next day), MIA TPA, normal ones like CLT RIC RDU but you understand where I am going.
What I am suggesting is that US show value to high revenue flyer's, that is all.

Superguy
Aug 3, 12, 9:42 am
As in 44,000? Not sure I would ever want to give US that much money in any given year.

I'd rather give it to US than UA whenever possible.

That said, if possible, I'd prefer to fly better *A carriers when they're viable options.

At least in my case, if I have to travel internationally, I have to use US carriers or fly codeshares with US flagged numbers. Given that, I'd take US over UA across an ocean under those circumstances. That is assuming I couldn't get a good price on a codeshare with a good *A carrier.

valor155
Aug 3, 12, 11:13 am
UA requires a minimum of four segments on UA metal to qualify for any Premier level.

US is the least generous of all of the major U.S. airline mileage programs:

No Y/B bonus
Million Miler programs qualification is the most difficult, with the lowest benefit (lifetime Silver, nothing beyond that)
No top tier based upon high spend
No E+-type product for elites or for purchase
Two SWU's + companion is more restrictive than UA/AA's SWU's (not sure about DL), although they are good on any fare, unlike UA's SWU's.
No regional upgrade certificates (UA offers 2 at 75K, and 2 more for every additional 25)

Where US excels is in its generous upgrade domestic benefit -- especially for CP's. If you fly just over 100K/year, mostly domestically on mostly cheap tickets, you'll usually end up in F.

I'm a 1K on UA, and I fly up front less than I did as a Gold on US.

I

Thank you for this informative comparison of UA and US FF programs. ^

UA, upgrades are VERY hard to come by at lower levels. But, UA's saver mileage redemption is great (compared to DL, I don't have the data for US) and I get E+ for pretty much every flight. E+ does make travel a lot nicer because you just aren't packed in so tight.

DEN is a UA hub, but US has a good schedule from there. I've probably flown at least 30% of my UA FF miles on US, because of that.

Superguy
Aug 3, 12, 11:23 am
I think there is one main difference between US and UA FF's. Keep in mind this is still in theory as there have been a lot of gripes about how UA treats Plats, 1Ks, and GS currently (namely with upgrades and using upgrade instruments).

That difference is this: US will treat you better at the lower end and UA will treat you better at the higher end.

Yes, I miss E+ on UA. However, I've always had an exit row on US when I wasn't in F. Had I been a higher level elite at the time when they gutted MP (was only Premier), I might have toughed it out on UA. However, since I wasn't, UA expected me to play E+ roulette at T-24 and never see F except on red Saturday night flight to Fargo ND. I'm about to cross into 50k territory on my next flight and US had been good to me on all that time.

Using RPUs and GPUs have been a pain since 3/3. Add the fact that you have to buy a W fare to get use a GPU internationally and it just sucks when you factor in the fare difference. You literally have to gamble for an upgrade unless you're willing to buy a TOD. Not a huge deal if you're traveling on someone else's dime, but it sucks when you have to add upwards of $1,000 of your own money to a ticket to even play the game.

Yeah, they're are things that suck about US's program. I think they're stingy with only 2 CP certs, and the companion certs are worthless to me as I'm a single guy. And no Y/B PQM bonus blows too. However, since they've treated me overall better than UA has, and AA wouldn't work for me, I'm more willing to put up with US's shortcomings.

iflyalexair
Aug 3, 12, 12:36 pm
I'd love a program like that - I just squeaked into CP last year with 122 segments, but only 60k miles and a $44k spend.

This year, I'm on track to spend much more money but will struggle to make PP - all North East travel at 500 mi per segment. Revenue based perks would be phenomenal.

That's unbelievable! I am Platinum with DL and last year I spent less than 3200$ and flew almost 75,000 miles.

Superguy
Aug 3, 12, 12:45 pm
That's unbelievable! I am Platinum with DL and last year I spent less than 3200$ and flew almost 75,000 miles.

It's possible. Sounds like a lot of expensive <500 mile flights, possibly to US captive small locations.

That's getting CP the hard way. :D

smcbride11
Aug 4, 12, 9:47 am
Yup. It's not too fun; a lot of last minute travel in the North East and Canada - I've had more than my share of PVD-PHL-YYZ for $2500+ - on the ZW CRJs... But hey, if the company says it's required, it's required.

geo1005
Aug 6, 12, 7:56 am
I've had more than my share of PVD-PHL-YYZ for $2500+ - on the ZW CRJs...

:eek: (that's all I have to say about that)

Superguy
Aug 6, 12, 12:31 pm
Yup. It's not too fun; a lot of last minute travel in the North East and Canada - I've had more than my share of PVD-PHL-YYZ for $2500+ - on the ZW CRJs... But hey, if the company says it's required, it's required.

I bet you're pretty sore from the screwing you got. :(

Centurion
Aug 7, 12, 4:14 am
A lot of airlines also do exactly what you sugest or a mix that involves miles/segments and amounts spent like British Air.



SEO by vBSEO ©2011, Crawlability, Inc.