Originally Posted by
Vulcan
I FINALLY found this that I posted in June of 2013
"I found this:
This excerpt is from "UAL's Our Times, V5 #12 Dec 18, 1999 p10." It's dated but relevant. Does anyone have a more recent statistic?
"United's Premier customers represent 8 percent of the active members, but generate 35 percent of the total transportation revenue. Premier members spend more than 6 times general members, while Premier Executives and 1K members spend more than 12 times and 30 times respectively. If just 1 percent of the Premier-level members resigned from Mileage Plus, the company would lose $58 million in transportation revenue."
While this is OLD, it gives some idea of the importance of Premier members.
While the current number of Premier members is unavailable, some really, really rough estimates are possible:
In 2005, Randy posted that there were 42 M MileagePlus members, 11.7 million (28%) were active. OF THE ACTVE:
535K Silver(4.5% of active)
239K Gold (2% of active)
46.1K 1K(0.4% of active)
18K GS (0.15% of active)
Note how the total % (~7) is pretty close to the 8% in the 1999 article
In a Feb 2011 Financial Interview, Tom O'Toole of UA stated that the combined MP/OP members were expected to number 94M.
Rounding and bringing it to 2013, lets call it 100M members in MP today.
If we take the same 28% as active, we have 28 M active MP members today, meaning, if we use the percentages that existed in 2005:
Silver 1.26M
Gold 560K
Plat ?
1K 112K
GS 42K
Thus, in 1999: "if just 1% of premier members resigned, the company would lose 58 million in reveue...."
Imagine the revenue loss if 2-3% of current MP members are no longer loyal to UA. It seems to be a really big gamble by UA. ""
Since I have no way to Quantify the percentage of how many are Platinum, the 0.4% that Randy identified as 1K would equate to 40,000. Throw in the people that move in from CO and I would say that the 65,000 quoted is a pretty good number.
Thanks for a more detailed post!

These were the numbers I was using to roughly guess 100K max 1Ks and more like 80K. I believe the actual number (its something that would be known to UAL) just given of 65K. This would account for a substantial lost of High Value customers (including 1ks), which given that United is under-performing Delta by over $2B in revenue/year (DL's out-performance vs. UAL since the 3/3/12 cut over) is what you would expect to see.