Originally Posted by
Klm is Dead - Long Live KLM
Interesting point.
If DLNW can make $6050 profit selling a $7000 J class ticket to someone who hates DL and only flies them once a year because they have to, why should they reward someone else with elite status who is "loyal" but has a negative contribution margin after flying on less than $4000 of heavily discounted and mistake fare tickets, spends hundreds of hours and hundreds of dollars in payroll costs hogging the CSR lines with constantly changing award tickets and makes a sport out of profiting from every loophole in the FFP to be found?
They can't fill the premium cabin with $7000 customers, that is reality. That is the reason they offer $4000 discount fares and use the remaining seats as a marketing tool for the AL via FF program awards. Turn the question around: Why would DL NOT use the empty seats to as a marketing tool. reduced margins are better than no margins at all.