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Tally of actual lost AC revenue due to 2011 AE program

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Tally of actual lost AC revenue due to 2011 AE program

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Old Feb 25, 2011, 5:46 pm
  #91  
 
Join Date: Jul 2005
Location: Ontario, CAN
Posts: 5,813
Originally Posted by why fly
4X yyz-HNL $680= $2720 all booked with UA.

even better 3 of the customers are elites with AC.
The OP had a great idea with this thread . . . revenue leakage due to the AE changes. The thread has been rendered completely useless with all these OT posts and "what could have been" stories.

Why fly, What does your post mean exactly? Your HNL tickets were going to be booked on AC and were not soley based on AE changes? Or, more likely, AC was 2X the cost and the schedule could not touch UA via ORD
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Old Feb 25, 2011, 6:15 pm
  #92  
 
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Originally Posted by becreative
Please start sharing these million and one scenarios that you talk about. It is very easy to vaguely keep making these claims but to have a constructive dialogue it might help if you actually start adding substance to your posts.


Actually in that case there is a real loss of revenue for AC when someone decides to fly with any other airline



I don't think anyone is claiming that we have a lot of influence over AC and its decisions. We have influence over our own travel dollars and choose to either spend less than the past or take them to other airlines. No one knows what this total loss would add up to but the posters in this thread are merely pointing out actual instances where AC has lost revenue from their decisions to either buy down or fly with other airlines. Real numbers are provided and these are the only numbers I have seen so far.
This non-status member may buy a Tango fare and then subsequently start buying Tango Plus and then Latitude and then Executive.

No one is born with status. You have to start somewhere.

Yes when someone chooses another carrier over Air Canada it is loss revenue but that has been going on before the programme changes and it will continue after. Everyday people choose to fly other carriers and everyday people choose to fly with Air Canada.

In terms of numbers, it only seems people who have switched carriers are posting the actual revenue that AC is losing from them. What we are missing are the people who continue to provide revenue to Air Canada and those who maybe increased their revenue.

As for people posting the revenue loss to AC, the people posting are saying it like AC cares. AC like any business cares about the revenue in general but in terms of specific individuals, I don't think they give a rat's behind.

Also keep in mind revenue!=profit. Perhaps Air Canada is trying to move towards a Westjet model and make everyone the same.
kevy_boy is offline  
Old Feb 26, 2011, 2:03 am
  #93  
 
Join Date: Sep 2009
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All bus. class & all booked within one week to departure ( already completed ) :

yyz-can
can-dar
dar-mle
mle-yyz

excluding the mle portion will be repeating the same itinerary 3 times this year amongst other regular long distance travel ( jnb / HK / sin / etc ) all in J.

Switched entirely to Emirates ( even though i re-qualified as SE this yr )

Last edited by Wenchy; Feb 26, 2011 at 2:47 am
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Old Feb 26, 2011, 12:48 pm
  #94  
 
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was 80k plus last year.

this year my first flight on AC this week (only direct flight)

BUT have done a couple of YYZ-YUL already and have done porter/westjet.

i would have never even thought of doing this last year, but given AC 'UNloyality' program, they have shown that they don't care for loyal customers, why should i????
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Old Feb 26, 2011, 4:06 pm
  #95  
 
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Originally Posted by kevy_boy

In terms of numbers, it only seems people who have switched carriers are posting the actual revenue that AC is losing from them. What we are missing are the people who continue to provide revenue to Air Canada and those who maybe increased their revenue.
Hello?? The thread title is about a tally of revenue lost to AC due to the AE program changes. What else should one be posting about here?

The fact of the matter is that if a person decides to spend their money on airline X instead of AC then it is a revenue loss to AC. It's a pretty simple concept really. Just because other passengers buy more flights or new passengers are acquired, it doesn't negate the fact that some revenue has been lost. I'm really not getting your point on this thread other than to stir the pot.

Start a thread on revenue gained if you want. I am sure that some people will post there.
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Old Feb 26, 2011, 4:53 pm
  #96  
 
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Originally Posted by arf04
Hello?? The thread title is about a tally of revenue lost to AC due to the AE program changes. What else should one be posting about here?

The fact of the matter is that if a person decides to spend their money on airline X instead of AC then it is a revenue loss to AC. It's a pretty simple concept really. Just because other passengers buy more flights or new passengers are acquired, it doesn't negate the fact that some revenue has been lost. I'm really not getting your point on this thread other than to stir the pot.

Start a thread on revenue gained if you want. I am sure that some people will post there.
I was only responding to someone else's comment towards me.

As you said this thread is about revenue lost to AC about the programme changes. As I and others have pointed out, most of the posts are about revenue lost due to other carriers being cheaper.

On a side note, most of my participation in this thread is due to the fascinating insight it provides into human psychology and decision making.
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Old Feb 26, 2011, 6:16 pm
  #97  
 
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Originally Posted by kevy_boy
most of the posts are about revenue lost due to other carriers being cheaper.
and, many of us who have taken some or all of our trave dollars elsewhere, have knowingly paid higher fares to AC due to their loyalty program at the time.
AC has upset some people to the point whereby they now look at, consider and even act on other options.
The reason people may have paid a lower price elsewhere, is the because AC has driven them away to look. The cheaper fares elsewhere are an unintended benefit or consequence, not the root cause.
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Old Feb 26, 2011, 6:25 pm
  #98  
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Originally Posted by CloudsBelow
The OP had a great idea with this thread . . . revenue leakage due to the AE changes. The thread has been rendered completely useless with all these OT posts and "what could have been" stories.

Why fly, What does your post mean exactly? Your HNL tickets were going to be booked on AC and were not soley based on AE changes? Or, more likely, AC was 2X the cost and the schedule could not touch UA via ORD
tough crowd..
1. I was the guy booking the trip
2. price on AC was within $50
3. 2 wanted AC and when I explained how bad AC's FFprogram was they said OK lets go UA.
4. To hurt AC the more people who can move $$ away from AC the better, perhaps AC will get the message. [i doubt it for the massive failure and lack of thought of the new FF program]

oh and next week im 90% sure 4 more tickets will be taken from AC.^
in AC 40 million tickets i don't think they will notice.. but it make me feel good so its worth it.^

Oh two tickets last week I got them to book CO to IAH rather than the AC planes but I assume AC shares the revenue so i doubt it hurt them.
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Old Feb 26, 2011, 6:43 pm
  #99  
 
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Originally Posted by why fly
tough crowd..
1. I was the guy booking the trip
2. price on AC was within $50
3. 2 wanted AC and when I explained how bad AC's FFprogram was they said OK lets go UA.
4. To hurt AC the more people who can move $$ away from AC the better, perhaps AC will get the message. [i doubt it for the massive failure and lack of thought of the new FF program]

oh and next week im 90% sure 4 more tickets will be taken from AC.^
in AC 40 million tickets i don't think they will notice.. but it make me feel good so its worth it.^

Oh two tickets last week I got them to book CO to IAH rather than the AC planes but I assume AC shares the revenue so i doubt it hurt them.
if feel sorry for those travellers, your personal beef with AC keep it personal....... no need to force people into another airline because of your battle with AC..........
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Old Feb 26, 2011, 6:44 pm
  #100  
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Originally Posted by global_happy_traveller
if feel sorry for those travellers
they will be flying in business class one way the joys of domestic free upgrades.
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Old Feb 26, 2011, 6:48 pm
  #101  
 
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Originally Posted by why fly
they will be flying in business class one way the joys of domestic free upgrades.
i hear from the UA MP threads where people get OPUPed and then downgraded?
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Old Feb 27, 2011, 2:40 am
  #102  
 
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Originally Posted by taupo
and, many of us who have taken some or all of our trave dollars elsewhere, have knowingly paid higher fares to AC due to their loyalty program at the time.
AC has upset some people to the point whereby they now look at, consider and even act on other options.
The reason people may have paid a lower price elsewhere, is the because AC has driven them away to look. The cheaper fares elsewhere are an unintended benefit or consequence, not the root cause.
It is this sort of logic that has me interested to understand further.

The biggest change between last year and this year is the number of upgrades that person will receive (some more, some less, some the same). So I understand if someone switches to a carrier that provides more upgrades (i.e. UA, AA, etc...).

However, people are posting that they are switching to carriers that provide zero upgrades (WestJet, Porter, Via Rail, etc...). If lack of upgrades was the main beef with AC, I'm not sure how these carriers will improve on the situation.

I guess, although having status on AC, I would never exclusively buy from AC. I would always price shop with different carriers so that is why I see things from a different perspective.
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Old Feb 27, 2011, 9:09 am
  #103  
 
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Originally Posted by kevy_boy
It is this sort of logic that has me interested to understand further.
.....

However, people are posting that they are switching to carriers that provide zero upgrades (WestJet, Porter, Via Rail, etc...). If lack of upgrades was the main beef with AC, I'm not sure how these carriers will improve on the situation.

I guess, although having status on AC, I would never exclusively buy from AC. I would always price shop with different carriers so that is why I see things from a different perspective.
the purpose of the AP program, when initally started was reward for loyality. if they made money on it, great. but now AC changed the game. the action itself is what most people who are upset for. what if your better half promises you one thing, then later decides that no you don't deserve it... (well maybe that story doesn't isn't 100% ;-) but you get the idea)

treat me right and i will be loyal (80K status last year and about 80% or so on AC metal). Treat me like an after thought, and i will reciprocate. And i think that is what this is all about.
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Old Feb 27, 2011, 9:17 am
  #104  
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Originally Posted by global_happy_traveller
i hear from the UA MP threads where people get OPUPed and then downgraded?
lol planes change/mechanical. however yes its a conspiracy they upgrade you and then downgrade you because they are bored and want to fight with a passenger.

I still like the policy of upgrading status passengers into those unsold business class seats rather than AC policy of holding the seats for employees.
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Old Feb 27, 2011, 9:26 am
  #105  
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Originally Posted by why fly

I still like the policy of upgrading status passengers into those unsold business class seats rather than AC policy of holding the seats for employees.
^ exactly.

On my (1 of 3) flights on AC last year YYZ-ORD, I sat just behind the curtain in the exit row (12?) next to a guy who proudly displayed his SE tags , there were about 5 seats empty up front. This poor fella was stuck in economy after flying 100,000 miles on AC.. I just cant understand that.

As for me, it looks like I am going to fly AC after all this year. Just redeemed a 60k one-way award YYZ-YVR-AKL-NAN. I guess I ll finally find out how superb and how much better this glorious AC domestic business class service really is to my unlimited UA upgrades (21/21 since being match to 1P from BMI)
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