emcampbe

Do you have a source for this? Saying they will and that its to their benefit to do so is fine as an opinion. But If people are buying the upgrades when it doesn't count toward PQD anyway, then how exactly does UA benefit?

RNE

Ahem. Read two posts before yours.

RNE

Every business benefits from determining which of its customers contributes to its bottom line. Frequent flyer programs were a quick and dirty way for airlines to do this. Things like Global Services were an even better measure. Money, not miles. The logical outgrowth from this is—and always has been—measuring dollars spent, not miles flown. We are now in a transition period where both are measured. But dollars are not yet accurately measured because some spend is not counted. That will change. All spend will be counted and miles will not matter at all. They really never should have. Let me close by stating that spend itself is also not a good measure. Margin needs to be measured to truly determine who is more valuable. That ultimate measurement is coming because it benefits the airlines. Wait and watch.

halls120

They are actually making it easier to reach the 10K PQD requirement through increased ticket prices. My PQD total is well ahead of my PQM total so far this year, and it isn't because I'm flying more.

Nikongirl

I'm in exactly the opposite position: already at 92K PQM, but clearly won't make the PQD since I'm only at $4659. Any chance I'll be given 1K again if I only have miles but not the spend?

exerda

Nope. You're less than halfway to the required spend. Your only options are a legit non-US address that will pass UA muster, or a very pricey mileage run somewhere.

Keep in mind you will have to pass $5k PQD just to make Gold regardless of your miles.

JetAway

Your situation is a good example of how hard it is going to be for many to make the PQD requirement to achieve or maintain their accustomed status. Which could support RNE's contention that purchased Accelerator PQMs might count toward PQDs in the future.

pdx1M

While I don't disagree that much with what you say I think what airlines would really want to do is to alter customer behavior to increase spend and margin. That is actually different from just finding the big spend or margin customers.

Best example: a business flyer on OPM who has a choice of two airlines for a trip next week at essentially the same fare and acceptably equivalent schedules. How does an airline get that customer to choose to make that trip with them? FF programs are a good tool for influencing such decisions and so long as that customer is buying a ticket that contributes margin and provided that the revenue management systems are good enough not to generally underprice that seat versus what the airline could get if they didn't sell to that customer, then the airline wants that piece of business. It isn't at all clear to me that a pure revenue or even margin based FF program will influence that customer's purchase choice.

The airline isn't in the FF program for the purpose of "being fair" or even "rewarding their most profitable customer" - they are in it to improve their business. It isn't at all clear that the move to dollar based programs in their current simplistic form actually does that efficiently.

RNE

And I mostly agree with what you're saying. Identifying best customers is a separate matter from influencing purchase decisions and ultimately driving revenue. I did not mean to imply that FF programs exist for any reason other than the airline's benefit. Moving from a miles-based measure to a dollar-based one is meant to further that end.

RNE, opining that customers are a necessary evil.

RNE

Thanks for the mention. That's consistent with what I'm saying, but it's not a good example, because even if Nikongirl spent, say, $1600 for 8000 PQMs (20�/each) to reach 100k PQMs, that extra spend even if it counted toward PQD would get her only to Gold 2015, nowhere near 1K. That said, all spend should count. Money is money. And UA should measure it all—for its own benefit, not necessarily ours.

halls120

Why do think UA would make it easier to attain status by allowing all spend to count for PQD status? They are clearly trying to cull the herd when it comes to their over-entitled elite population, and limiting the spending that counts for PQD.

I think it is far more likely that they will raise the PQD spend levels than make it easier to reach those levels.

RNE

Wow, you're really going out on a limb with that prediction. Yes, UA will of course raise PQD.

But no matter how "hard" they make each status level, the move away from miles is unmistakable and inexorable. I predict that momentum will go so far as to count all spending. You scoff. We'll see.

JetAway

I think "culling the herd" is secondary to making money, especially when herd benefits have themselves been culled.

usmsbow

Wow, I'm impressed. Did you earn a lot of those PQM on Star Alliance/non-UA tickets? If not, wow...

I'm estimating I will have just over 68,000 PQM by 12/31, but my PQD will be no higher than $4,000. No gold for me!

halls120

I like to live life on the edge.

Won't happen unless DL does it first.