Originally Posted by
demkr
Yep and also, I remember going back a few years when DL did not forecast the surge in leisure demand post-Covid. That tells me they didn't forecast the surge in premium demand either but rode with it anyway. If Diamonds doubled, it's probably the rollover MQM. When you increase the spend requirements, of course people are going to buy F more. He also said he wanted to "rip off the band aid" instead of going through this year after year, meaning the requirements they announced are probably going to eventually happen whether they delay implementation of some of it or do a "softer landing" for a year.
All this airline has done, year after year, is devalue. And amazingly, it's only swelled the amount of Diamonds? How did the airlines do elite programs before spend became a requirement then?
Until people stop buying F or J, it's not going to matter whether there are less elites when the seats are already bought. That's the real reason why everything seems like it's getting worse as far as providing benefits. MQD was supposed to quell, and 10 or so years later it's only swelled.
Adding a bit more here...I really think the inability to forecast the high demand made them do the "Reclaim My Status" ( how liberal was that program in handing out Plat and Diamond? ) and the 3-year rollover MQM. They also decided to retire hordes of aircrafts during the pandemic. I think they really thought travel wasn't going to come back for a very long time.
Delta's forecasting department was totally off, as if this was a MLB team they would have been swept 4-0 in the World Series with subsequent firing of data analytics staff.
Originally Posted by
ElmhurstNick
I suspect that a number of major corporate customers may have had a bit of a snit. Especially since most of those will require spending on a corporate credit card for travel expenses.
I can see them putting in something similar to UA's 1K rule. Maybe $25k of strictly flying plus 60 segments on DL metal, or $35k between flying and 1:10 Reserve.
I highly doubt that this will occur, as Delta needs other sources of high profit margin revenue which is travel commission remuneration from hotels, car rentals and Delta Vacations. Remember that
Dwight James overseas the SkyMiles program, SkyClubs, AmEx & Lyft partnership, and Delta Vacations. Corporate travel has still not recovered from the pandemic, as Delta is going after the small business and leisure travel market. Dwight and Glen have roots from the same Delta division, revenue management.