The stronger of the two models prevailed. Delta vs. NW and Delta won out.
I don't understand how you feel anything prevailed. The merger hasn't even been approved yet...the resulting business model hasn't even been introduced (if you think that there aren't any changes coming on the DL side, I think you're in for a shock). Therefore, the reaction from current customers of either side can't yet be measured. However, if the sentiment here is any indication, it's going to be very difficult for any business model to survive the mass exodus of NW's current customer base.
I don't understand how you feel anything prevailed. The merger hasn't even been approved yet...the resulting business model hasn't even been introduced (if you think that there aren't any changes coming on the DL side, I think you're in for a shock). Therefore, the reaction from current customers of either side can't yet be measured. However, if the sentiment here is any indication, it's going to be very difficult for any business model to survive the mass exodus of NW's current customer base.
I believe that it's a mistake to gauge the reaction from a small online community vs. the public and shareholders at large.
In addition this merger most likely will be approved under the current administration hence the desire to have it underway and complete by the next election.
I believe the merger is a win for both Delta and Northwest. In addition Delta is bringing a tried and trued business model to the customers of NW in order to ensure that Northwest does not go out of business.
Tried and true business model????? Have you read Randy's statement that what drove this merger was an error of major proportions by DL management, a business plan that relied on $65 oil????? NW at least hedged on some of its fuel and has been undergoing fleet replacement with more fuel efficient planes. Plus NW has the best cash position of any domestic legacy airline.
If one wanted a tried and true business model, they should have at least gone with NW management instead of DL mismanagement.
With the dilution of all FF programs, NW WP is about the only program left with a perk that can be almost always counted on...free upgrades to first class. They are also one of the few airlines that haven't succoumbed to a bunch of RJ's with no first class. I've been an elite member with NW for 10 years...most always PE...as I am again this year. It takes very little planning to give yourself the best upgrade potential. I don't track my upgrade percentages because it's extremely rare that I ever fly coach. Maybe one or two times a year I might miss out on the upgrade. If you're flying in excess of 75k miles a year and it's almost all domestic then you appreciate the first class. I can let most of the other stuff go....the miles don't mean so much to me anymore because it's become more difficult to redeem them. As a mostly business traveller I value the first class upgrades and I value a Club that offers free internet so I have a place to pop into and take care of business. I've flown Delta and Continental both...I've never gotten an upgrade on Delta and rarely so on Continental. I like Continentals President's Clubs, however Delta's Crown charges for internet access. I absolutely hate this change as I fear that upgrades to first are pretty much gone and I doubt they'll change the Crown Club's so now I have to pay to check my email. I'm ready to switch to Continental as the lesser of all the evils.
I believe that it's a mistake to gauge the reaction from a small online community vs. the public and shareholders at large.
Maybe, but I believe that this particular online community (unfortunately) already knows what the rest of the public will eventually find out. So, what happens when they do?
Quote:
Originally Posted by Live4Miles
It sounds like CO will be the next airline to go. (UA)
Yeah, I know...we'll see. For now, I'd rather be with UA/CO than DL.
Quote:
Originally Posted by sxf24
Outside of upgrade percentages, I fail to see how the product, service or benefits of DL are inferior to NW and would drive any high value customer away. Low yield mileage whores, perhaps. But the combined airline would be better off without them.
Ok, lets start listing them...
- Fees on award tickets...not so much of an award anymore when you're paying $400+ to go to Europe.
- India Call Center...like it or not, the NW elite line reps are about as good as they get
- Standby fees... No free same day standby for anyone under GE on DL.
- 125% mileage bonus for Platinum Elites on NW.
- Worldclubs vs. Crown Rooms
There are likely more... Others are welcome to chime in.
Quote:
Originally Posted by sxf24
No. DL has fewer F seats (as a percentage of total seats) than NW and sells a much, much higher percentage of F seats domestically. Upgrades will become more difficult on some routes. Unfortunately, economic reality dictates that less is given away for free.
You haven't answered the question...so I'll ask it again...What exactly is attractive about the current DL product? (I really don't know, and am looking for something...anything...to make the news less bad).
Programs: NWA Platinum, HHonors Diamond, SPG, YX, AA
Posts: 6,031
Quote:
Originally Posted by Brian286
I believe the merger is a win for both Delta and Northwest. In addition Delta is bringing a tried and trued business model to the customers of NW in order to ensure that Northwest does not go out of business.
Huh? Delta LOST 70+ million last quarter...more than any other US airline.
Tried and true business model????? Have you read Randy's statement that what drove this merger was an error of major proportions by DL management, a business plan that relied on $65 oil????? NW at least hedged on some of its fuel and has been undergoing fleet replacement with more fuel efficient planes.
Hmm...before you make a bigger fool out of yourself, please realize that:
- Not even the great NW planned for $100 or $110 oil when they exited bankruptcy. Perhaps we should now base a business plan on $150 oil, and start massive cutbacks and laying off people, hell, why don't we base oil on $200 and then shut down the airline completely, starting now?
- You should also do some fact checking regarding fuel hedging. DL didn't hedge fuel? DL hedged 27% of Q1 2008, 42% of Q2 2008 (so far), 26% of Q3 2008 (so far), and 11% of Q4 2008.
Perhaps you missed this thread: Why Frequent Flyers Can't Trust Delta
Delta is desperate as a result of its long history of mismanagement and repeated alienations of its best customers.
Quote:
Originally Posted by MKEbound
Huh? Delta LOST 70+ million last quarter...more than any other US airline.
Quote:
Originally Posted by Carolinian
Tried and true business model????? Have you read Randy's statement that what drove this merger was an error of major proportions by DL management, a business plan that relied on $65 oil????? NW at least hedged on some of its fuel and has been undergoing fleet replacement with more fuel efficient planes. Plus NW has the best cash position of any domestic legacy airline.
If one wanted a tried and true business model, they should have at least gone with NW management instead of DL mismanagement.
Thanks guys. I didn't have all of the info in front of me, but I knew that there was plenty of ammo out there!
Location: San Antonio, TX; CO Platinum; DL Gold; UA Premier Executive
Posts: 9,298
There are a number of concerns about the consequences of the merger from a frequent flyer standpoint. While we can't expect DL and NW to hammer these issues out overnight, NW should take care to offer its loyal flyers reassurances that the WorldPerks program's advantages are not going to be sacrificed so that we all wind up in the unsatisfactory SkyMiles status quo.
As others have noted, the DL double elite qualifying miles program is already putting us NW elites at a disadvantage vis-a-vis our soon to be Medallion brethren. NW can and should level the playing field.
NW must also aggressively defend and promote the perks that make WorldPerks superior to its competition. In particular, the notion that NW elites may no longer be able to reserve exit row and bulkhead seating on international flights at the time of booking -- a practice that is currently favored by DL -- is particularly noxious.
While the paint on the planes we have come to know and love may change, it would be nice to know that WorldPerks is pulling SkyMiles up, not the opposite, with SkyMiles dragging WorldPerks down.
Programs: WN CP, A-List; CO Plats; NW Golds (ex Plats); Hilton Diamond; Marriott Silver; Club Cholula™ Plat
Posts: 19,258
Quote:
Originally Posted by GBadger
Quote:
Originally Posted by Brian286
I believe that it's a mistake to gauge the reaction from a small online community vs. the public and shareholders at large.
Maybe, but I believe that this particular online community (unfortunately) already knows what the rest of the public will eventually find out. So, what happens when they do?
Perhaps he also missed the Save SkyMiles movement a few years ago. The "small online community" can be quite effective.
This time I think a very large number of folks will just vote with their feet.
Maybe, but I believe that this particular online community (unfortunately) already knows what the rest of the public will eventually find out. So, what happens when they do?
The Detroit News ran an article this afternoon that points out some of the items we've talked about here. (They were quoting a Mr. Winship of FrequentFlier.com)