point #1 above has been made multiple times by a lot of people here, including me. it sounds obvious from a customer loyalty perspective .. but, anything close to free upgrades will change behaviour (why buy a confirmed J when you can play Aerolotto) and cheapen the J class. US based airlines have basically done this... SQ/EK etc. do not.

as an SE, i would love it if it happens, but i also understand the underlying economics.