Originally Posted by
GRUflyer
I see your point, but the introduction of the limitation of F and R awards would tackle mostly one issue:
(Mostly) U.S based credit card millionaires who do not spend a pence on SQ, yet redeem F and R awards, while their true Costumers are left empty-handed.
Maybe like another Poster suggested, just having all F and R waitlist will be enough for them to adjust that from now on.
But SQ does make money on those customers. They
sell those miles to the banks awarding the miles to those customers.
For banks to want to buy KF miles, there needs to be a demand for those miles by the banks' customers. That's only going to happen when there is a way to spend those miles. With SQ's penchant for YQ and blocking of premium cabins for partners, the only reason to get KF miles would be to get premium seats. Restrict that, and you remove any reason for bank customers to want KF miles, which will remove a revenue stream for SQ.
Could SQ treat their top tier FFs better? Maybe, but to be honest, they also know that the PPS group is a captive audience. You NEED to continue to fly SQ in premium cabins to maintain that status. Take your business elsewhere, & you drop back to 'mere mortal' gold. So, there is really little incentive to treat you much nicer than a KF Gold (besides making PPS more 'desirable', of course).