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Old Sep 18, 2016, 8:49 pm
  #1  
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Question suggestion to United on selling upgrades policy

I sent this letter through 1K Voice this evening. I'd welcome everyone's thoughts on whether this is a reasonable suggestion as well as how likely United is to implement it.

Oh, and if someone could please once-and-for-all authoritatively explain the difference between upgrades, upsells, buy-ups, and whatever other types of monetization methods are out there, I would really appreciate it. (The Wiki isn't entirely helpful in this regard and the United website and even several United employees in different departments haven't been able to fully or consistently explain it either.) I tend to agree with Matthew Klint (Live & Let's Fly blog) that this is an area ripe for DoJ or DoT adjudication.


*****


Dear Mr. Munoz,

I am writing to make a suggestion to help improve the customer experience for 1K's and Global Services passengers. As a long-time, loyal customer who flies 100,000+ miles per year and spends $12,000+ annually, and has flown over 1.3 million lifetime miles on United, I am deeply disappointed with United's shift in upgrade policy over the past few years. Sadly, it is becoming increasingly difficult to land Unlimited Complimentary Upgrades. Instead, United has chosen to monetize upgrades rather than to use upgrades to reward loyalty. Consistent with this policy, you couldn't know how disheartening it is to see United sell upgrades for tens-of-dollars to a customer that may only fly a few times per year when I was at the top of the upgrade standby list but will now sit in coach.

Thus, while I have no choice but to accept United's new business model of selling upgrades to anyone versus recognizing long-term, high revenue passengers, I humbly suggest there is a better way to earn incremental revenue from the forward cabin that will screw 1K's and GS's less. Quite simply, I ask you to consider allowing Premier status passengers a first right of upgrade purchase ahead of General Member passengers. This could be accomplished by opening up the upgrade purchase window for 1K and GS passengers perhaps one day to 12 hours before offering upgrades to non-Premier status customers. With this slight adjustment to United's forward cabin monetization model, the airline can still achieve its goal of earning extra revenue through upgrade sales. At the same time, allowing GS and 1K passengers the opportunity to purchase upgrades before offering upgrades for sale to everyone will alienate your Premier status passengers less. Hopefully you'll see this as a win-win for the airline and its most loyal customers.

Thank you in advance for considering my feedback.
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Old Sep 18, 2016, 8:55 pm
  #2  
 
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Originally Posted by HNL2017
I sent this letter through 1K Voice this evening. I'd welcome everyone's thoughts on whether this is a reasonable suggestion as well as how likely United is to implement it.
....

*****


Dear Mr. Munoz,

I am writing to make a suggestion to help improve the customer experience for 1K's and Global Services passengers. As a long-time, loyal customer who flies 100,000+ miles per year and spends $12,000+ annually, and has flown over 1.3 million lifetime miles on United, I am deeply disappointed with United's shift in upgrade policy over the past few years. Sadly, it is becoming increasingly difficult to land Unlimited Complimentary Upgrades. Instead, United has chosen to monetize upgrades rather than to use upgrades to reward loyalty. Consistent with this policy, you couldn't know how disheartening it is to see United sell upgrades for tens-of-dollars to a customer that may only fly a few times per year when I was at the top of the upgrade standby list but will now sit in coach.

Thus, while I have no choice but to accept United's new business model of selling upgrades to anyone versus recognizing long-term, high revenue passengers, I humbly suggest there is a better way to earn incremental revenue from the forward cabin that will screw 1K's and GS's less. ....
I predict that you will lose UA's attention and sympathy at around the bolded part of your missive and then receive an anodyne corporate response.
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Old Sep 18, 2016, 10:35 pm
  #3  
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Originally Posted by transportprof
I predict that you will lose UA's attention and sympathy at around the bolded part of your missive and then receive an anodyne corporate response.
I thought the same thing.

I will add that, while the OP is a 1K 1.3 MM, and while he spends $12K a year on UA, he is NOT one of UA's high revenue flyers. High rev are those who buy F/J to begin with.

That said, I agree that UA's shift is not friendly to loyal upgraders. But perhaps it makes the airline a more viable airline?

Last edited by zrs70; Sep 18, 2016 at 11:22 pm
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Old Sep 18, 2016, 11:18 pm
  #4  
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That latter is needs to be clipped down to 10% of the length. Start with the conclusion, VERY brief factual explanation, do not mention any other issues unrelated to the one topic, repeat conclusion
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Old Sep 18, 2016, 11:27 pm
  #5  
 
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While I don't agree with the low cost upgrade options that UA offers either at booking or at check in, I think it is insulting to offer a lower cost upgrade option to a GM vs. a frequent flyer.

If my frequent clients found out I was selling my software at a cheaper price to a once a year buyer that doesn't even meet our own minimum spend requirements vs them, I would be out of business.

I barely spend the minimum 12K spend requirement, yet my Chase card spend with United far exceeds 18K. Why do you ask? Because change fees, paid upgrades don't count, yet a nobody that doesn't care about status has a paid E+ fee count toward PQD? This IMO is a screwed up policy.
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Old Sep 19, 2016, 2:05 am
  #6  
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Originally Posted by zrs70
I thought the same thing.

I will add that, while the OP is a 1K 1.3 MM, and while he spends $12K a year on UA, he is NOT one of UA's high revenue flyers. High rev are those who buy F/J to begin with.

That said, I agree that UA's shift is not friendly to loyal upgraders. But perhaps it makes the airline a more viable airline?
Yes, the letter is too long. However, his ideas are on point. The way United has chosen to monetize the first cabin is one of the reasons why I stopped striving for 1K. Instead, I shop judiciously and more often than not, i'm able to purchase an upgrade with money or miles. I know what you're thinking, that United's plan has been successful. However, I'm no longer paying W and above fares, and I'm not flying United as much as possible to maintain 1K status. So in the end, all they've really done is drive some of my business that used to be directed at United to another airline.

even when you add to my purchased fares the upgrade fees and the cost of the miles that are used to upgrade, I'm not spending near as much on United as I used to. Great job, Jeff.
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Old Sep 19, 2016, 4:14 am
  #7  
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Sympathy to OP. But the whole thing is moot.

When the rest of the world is doing it, why should UA choose not to follow?

It is not a popular policy, which I am with OP. But there is practically nothing we can do except stop flying.
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Old Sep 19, 2016, 6:39 am
  #8  
 
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Originally Posted by COSPILOT
While I don't agree with the low cost upgrade options that UA offers either at booking or at check in, I think it is insulting to offer a lower cost upgrade option to a GM vs. a frequent flyer.

If my frequent clients found out I was selling my software at a cheaper price to a once a year buyer that doesn't even meet our own minimum spend requirements vs them, I would be out of business.

I barely spend the minimum 12K spend requirement, yet my Chase card spend with United far exceeds 18K. Why do you ask? Because change fees, paid upgrades don't count, yet a nobody that doesn't care about status has a paid E+ fee count toward PQD? This IMO is a screwed up policy.
Is this correct? I thought the paid upgrade fees do count to spend. And I can't fathom that they wouldn't while paid up to E+ does. But I admit to not paying much attention to this level of detail so I could be wrong...

FWIW
DLM
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Old Sep 19, 2016, 7:04 am
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Basically United wants to have its cake and eat it too. They believe they can "hook" occasional travelers by offering cheap upgrades. You are already locked in, so there is no point in offering you the hook. If you don't like their upgrade policy change your buying patterns and fly another airline. United will not change unless it's in their monetary interest.
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Old Sep 19, 2016, 7:08 am
  #10  
 
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The time of purchase and check-in upgrade offers usually(?) don't count toward PQD. If the upgrade cost is equal to the fare difference then it may be treated as a re-fare and count. It's not easy to distinguish these 2 from the website except by the timing of the upgrade and the cost.

Originally Posted by dmunz
Is this correct? I thought the paid upgrade fees do count to spend. And I can't fathom that they wouldn't while paid up to E+ does. But I admit to not paying much attention to this level of detail so I could be wrong...

FWIW
DLM
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Old Sep 19, 2016, 7:38 am
  #11  
 
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Originally Posted by halls120
The way United has chosen to monetize the first cabin is one of the reasons why I stopped striving for 1K. Instead, I shop judiciously and more often than not, i'm able to purchase an upgrade with money or miles. I know what you're thinking, that United's plan has been successful. However, I'm no longer paying W and above fares, and I'm not flying United as much as possible to maintain 1K status. So in the end, all they've really done is drive some of my business that used to be directed at United to another airline.
Exactly. Status just does not hold many benefits for getting upgraded, (other than to E+), which is what I really care about, so status does not drive my behavior. I buy a fair amount of first and business on domestic work travel, just because it is often so cheap I am willing to pay out of my own pocket. I try to upgrade with miles on international where possible, but also look for cheap business class on all the airlines. I'm not really loyal to any one airline. I've flown a lot of UA, but that is due to the routes they have. I have also flown AA and DL where more convenient. Maybe that is the behavior they want, maybe it isn't.
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Old Sep 19, 2016, 8:14 am
  #12  
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I presume that the screening software will direct OP's note to the trash because of the language used in a business communication.

OP might consider rewriting the note in a short and succinct manner, focusing on the single issue of concern and leaving out all of the rest of the extraneous garbage. UA has all of the detail on OP, including exactly what he flies and how much he spends.

If OP believes that someone who spends $12K flying 100K miles is a high-value customer, he needs to seriously recalibrate. Take a look at the cost of a simple RT TPAC C ticket from the East Coast to Asia and then reconsider.

As to the underlying issue of the lack of freebies, that is long over. Plentiful CPU's were a way to entice passengers back into the air during the recession. That is over and the economy is on screech. UA is not going to give away anything it can sell. Nor will DL or AA (although AA simply sells F at low prices).
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Old Sep 19, 2016, 8:16 am
  #13  
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Originally Posted by Often1
As to the underlying issue of the lack of freebies, that is long over. Plentiful CPU's were a way to entice passengers back into the air during the recession. That is over and the economy is on screech. UA is not going to give away anything it can sell. Nor will DL or AA (although AA simply sells F at low prices).
I agree that the days of plentiful CPUs are over, and that UA shouldn't give away what it can sell.

However, the way that UA continues to market them as a viable benefit comes close to being a bait and switch con.
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Old Sep 19, 2016, 8:29 am
  #14  
 
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I don't think that you will get much of a response even with a letter that doesn't talk about screwing 1Ks and GSs. As Gold, the idea of unlimited upgrades is laughable, yet they still tout it on a regular basis. Even if they open the ability to buy upgrades a day early, many 1Ks and GSs will still be mad that they have to pay for something that they "should be getting for free".

Let's go back to 500 mile certs...
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Old Sep 19, 2016, 8:45 am
  #15  
 
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My biggest complaint is that they upgrade/upsell too many people days ahead of the flight. I cannot tell you how many times I've wanted to buy a first class ticket and the cabin is full, so I end up flying in coach on a super expensive Y ticket that is probably higher than anyone in first paid.

Please save at least one first class seat until 1 hour before departure.
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