Originally Posted by
trini19
For an organization that is financially and operationally not nearly close to where it wants to be, this move (following DL I agree even though DL is in better shape) would make perfect sense businesswise IMHO.
Less folks make higher status so less perks for them such as upgrades and such. At the same time, this would only work if folks continued to fly UA. Since the other airlines FF programs are also following this same practice, it seems that UA may be thinking why would someone leave to have to another airline with the same program. Maybe that is why DL just came out with their differentiator perk of free IFE for 90+ minute flights.
I am not saying I like the move as it affects me also, but I understand UA point of view if what I stated above is how they are thinking.
Conversely, if all FFPs become more or less equal, why would someone stay with a substandard airlines? It comes down to service and value (not necessarily price) at that point.
Similarly, if I'm going to get crappy perks anywhere I go, why not just use whoever offers the best deal? If DL can get me where I want to go, with a better offering than UA, and some good, free IFE, why not choose them over UA?
This is where UA is at competitive disadvantage. DL keeps enhancing their product. US/AA appears to be enhancing some things, changing others. And if perks really don't factor in anymore, it opens more choices with VX, AS, B6 and WN. With all the cuts UA has done over the last few years, just what is their advantage anymore? An RJ infested network and the 787?
Loyalty will have gone the way of the dodo. Without loyalty, UA is going to turn into a bottom feeder airline as it'll have to rely on the Kettles since it doesn't have anything to offer a premium flyer.