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Old May 30, 2017, 2:57 am
  #279  
QRC3288
 
Join Date: Nov 2007
Location: Hong Kong
Programs: CX, UA, Shangri-La, Hyatt, Starwood
Posts: 7,708
Originally Posted by Rivarix
Anyone know/have an idea why CX chose the path it did when it restructured MPC? I mean CX was talking about rewarding its most valuable customers so why didn't it go the SQ route? I'm not that familiar with SQ FFP but it seems that formally creating the equivalent of PPS on top of the old structure would've been a better way for CX to achieve its objective? Not necessarily better for the passengers but PPS measures what a passenger brings to SQ. The new MPC seems to try to measure (and reward passengers for doing) the same thing but in reality, if you really want to, you can still get to DM w/ minimal flying on CX. Harder but definitely doable. So in a sense, there's still 'leakage'. At the same time, as some folks mentioned above, the new MPC seems to have the unintended consequences of driving a few folks away from CX and yet it seems to have failed to attract new fliers to replace those folks.
Totally.

I think CX should at least do something to better differentiate GOs, and particularly DMs, from other OW partner equivalents. Otherwise, what's the point? And most DMs now are very high pct premium cabin flyers, since PEY and Y have been weeded out. But what CX failed to consider (among many others) was that Diamonds in general aren't getting a whole lot out of the membership over other OWEs. A decade of cuts (old days of guaranteed award seat out of revenue availability was the biggest, guaranteed Y discount seat probably the second best IMO, other things like J lounges access even on other metal were also nice), minimal incremental benefits over other OWEs, the inevitable "inflation" of award points and the fact that every other partner OWE program seems hungry for our business. And if you're flying only J, it's more exacerbated because the above and beyond service is less relevant as in Y.

They effectively quite significantly bumped the average revenue requirement for GO and DM, without providing much in the way of benefits. Meanwhile, OWE programs look attractive, not insignificantly because all of us DMs fly J mostly anyway so the differentiation between DM and non status or OWE feels less.
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