FlyerTalk Forums

FlyerTalk Forums (https://www.flyertalk.com/forum/index.php)
-   Air Canada | Aeroplan (https://www.flyertalk.com/forum/air-canada-aeroplan-375/)
-   -   AC to allow status buy-up (https://www.flyertalk.com/forum/air-canada-aeroplan/1806725-ac-allow-status-buy-up.html)

Sean Peever Dec 4, 16 9:50 am

AC to allow status buy-up
 
So I hear AC is going to let select 25k and 35k buy up to the next status level (25k-->35k, 35k-->50k), I kind of like this idea!

http://nas.janex.com/ft/ACTrackr20.png

Adam Smith Dec 4, 16 9:54 am

How exactly is this going to work? Do they let you buy missing AQM/AQS/AQD at a certain price, such that those who were closest to qualifying for the next tier pay less or will it just be some flat fee to buy up from one to the next?

YOWgary Dec 4, 16 10:28 am

Between this, and selling eUps, I don't even know what the point is anymore.

Adam Smith Dec 4, 16 10:40 am

Selling eUps? You mean bidding on upgrades to J? Or did I miss an announcement that we can now buy eUp credits?

ffsim Dec 4, 16 10:41 am

I wonder if they're let people bid for a higher Altitude tier...

24left Dec 4, 16 10:42 am

It's MATH TIME - Guesstimate Edition

OK, so let's use a 789 as an example.
30 J

1. Can anyone guesstimate how many of those 30 are actually sold?
2. Can anyone guess how many pax are willing to bid for some J seats?
3. Can anyone guess how many will still spend for a LMU if that's even available?
4. Can anyone guess if there will be any seats left for eUpgrades, which Altitude members received for flying a certain amount of miles and/or as select privileges?
5. If the assumed objective over at AC was to reduce the numbers of SEs by eliminating those who used to fly 100K for $500, what would the objective be in providing the option for 25K and 35K to buy up to a higher Altitude level - other than giving AC another stream of ancillary revenue?
6. If so, then why not offer 50K the chance for 75K, 75K the chance for 100K and oh maybe have 150K as the new 100K?

.......

YEG_SE4Life Dec 4, 16 10:46 am


Originally Posted by 24left (Post 27564403)
6. If so, then why not offer 50K the chance for 76, 75K the chance for 100K and oh maybe have 150K as the new 100K?

.......

Would your 76 get a minor benefit above a 75K?

jaysona Dec 4, 16 10:55 am


Originally Posted by adam.smith (Post 27564258)
How exactly is this going to work? Do they let you buy missing AQM/AQS/AQD at a certain price, such that those who were closest to qualifying for the next tier pay less or will it just be some flat fee to buy up from one to the next?http://nas.janex.com/ACTrackr.png

Given how AC is flirting with the upgrade bidding - as in similar implementation to other airlines, I suspect AC will make it a fixed price to buy-up to the next tier level. I suspect the price range will be $500 - $1000 based on what I have seen others offer in the past.



Originally Posted by adam.smith (Post 27564394)
Selling eUps? You mean bidding on upgrades to J? Or did I miss an announcement that we can now buy eUp credits?

Nothing missed, I suspect he was referring to the eUp bidding.



Originally Posted by ffsim (Post 27564398)
I wonder if they're let people bid for a higher Altitude tier...

Higher than 50K? I hope not.



Originally Posted by 24left (Post 27564403)
It's MATH TIME - Guesstimate Edition

....

5. If the assumed objective over at AC was to reduce the numbers of SEs by eliminating those who used to fly 100K for $500, what would the objective be in providing the option for 25K and 35K to buy up to a higher Altitude level - other than giving AC another stream of ancillary revenue?
6. If so, then why not offer 50K the chance for 76, 75K the chance for 100K and oh maybe have 150K as the new 100K?

.......

Bell curve, get everyone in the middle where costs are stable and predictable and services can be provided by pretty much everyone. Make the added costs for providing SE privileges actually be paid for by the SE fliers I suspect.

24left Dec 4, 16 11:40 am


Originally Posted by YEG2MM (Post 27564414)
Would your 76 get a minor benefit above a 75K?

Apparently I can't proofread so early in the day. :D

MasterGeek Dec 4, 16 11:51 am

Wish they let people buy status with Aeroplan miles or eearn AQM/AQM using CC spending

24left Dec 4, 16 11:54 am


Originally Posted by MasterGeek (Post 27564644)
Wish they let people buy status with Aeroplan miles or eearn AQM/AQM using CC spending

Perfect holiday gift for those cc munchers, yes?

Adam Smith Dec 4, 16 12:18 pm


Originally Posted by jaysona (Post 27564438)
Given how AC is flirting with the upgrade bidding - as in similar implementation to other airlines, I suspect AC will make it a fixed price to buy-up to the next tier level. I suspect the price range will be $500 - $1000 based on what I have seen others offer in the past.

Doesn't make much sense to me. You'd charge the same price to buy up to E35K for the guy who flew 33K AQM as for the guy who flew 25,001 AQM?

It's possible, but AC talks about wanting to reward profitable and loyal customers, a fixed fee to buy up doesn't make nearly as much sense.

I also figure the profitability would be better on a program where you bought missing miles, or at least the fee was tailored to your AQM/AQS. If you set a fixed fee based on an average P25K buying up to E35K, let's say $1000, who's going to pay it? The 33K guy probably won't bother. The 25K guy will only bother if he knows he can extract well over $1000 of value out of it. Whereas if you make them buy missing miles, or graduate the fee (e.g. $200 for every 1K AQM you're short), you'll probably sell more and better match the costs and revenues.

SparseFlyer Dec 4, 16 12:33 pm

I agree with Adam. It doesn't seem to add up much. Especially for SE.

Like, if AC won't comp up to SE someone that has 99,000 AQM and $19,900 AQD, why sell the status for $1,000 to someone that is at 76,000 AQM and $9,100 AQD?


But, I guess it makes SOMEWHAT sense for slightly lower tiers. Especially after I looked this up.

http://imgur.com/FWBrfq0.jpeg



AC would effectively be cross selling lounge memberships and a "status tryout".

I can imagine a tango P25K that could see $1000, as a good deal since they would buy full lounge access for like $500 and more priority services and eUpgrades for another $500.

So that's $1000 in AC's pocket.

P25K gets excited, and decides to start purchasing Flex + eUps, and to try to fly a bit more flex/miles to ensure E35K (or more) the following year.


The only things I don't understand are:

1. Do you really think that a P25K will care about E35K for $1000?
2. Do you really think that a P25K will alter his/her spending to offset some of the costs?
3. Do you really think that a P25K will exert any kind of effort to retain a higher status level?


BUT, TBH, if I was E35K, and they offered me E50K for $1000... *G access and priority worldwide... $665 is the cost of the membership for lounges, so I basically pay $335 for *G priority worldwide...

Jumper Jack Dec 4, 16 12:49 pm


Originally Posted by SparseFlyer (Post 27564809)
I agree with Adam. It doesn't seem to add up much. Especially for SE.

Like, if AC won't comp up to SE someone that has 99,000 AQM and $19,900 AQD, why sell the status for $1,000 to someone that is at 76,000 AQM and $9,100 AQD?


But, I guess it makes SOMEWHAT sense for slightly lower tiers. Especially after I looked this up.

http://imgur.com/FWBrfq0.jpeg



AC would effectively be cross selling lounge memberships and a "status tryout".

I can imagine a tango P25K that could see $1000, as a good deal since they would buy full lounge access for like $500 and more priority services and eUpgrades for another $500.

So that's $1000 in AC's pocket.

P25K gets excited, and decides to start purchasing Flex + eUps, and to try to fly a bit more flex/miles to ensure E35K (or more) the following year.


The only things I don't understand are:

1. Do you really think that a P25K will care about E35K for $1000?
2. Do you really think that a P25K will alter his/her spending to offset some of the costs?
3. Do you really think that a P25K will exert any kind of effort to retain a higher status level?


BUT, TBH, if I was E35K, and they offered me E50K for $1000... *G access and priority worldwide... $665 is the cost of the membership for lounges, so I basically pay $335 for *G priority worldwide...

Y not just pay for one of those CC that give you access for lower the cost anyways...

ffsim Dec 4, 16 1:02 pm


Originally Posted by jaysona (Post 27564438)
Higher than 50K? I hope not.

I didn't have any particular tier in mind, but you raise a good point -- there's got to be a cap somewhere otherwise it would be possible to buy your way to SE.

And as sparse alludes to above, AC has to be careful with the step-up costs they choose... too cheap and it's attractive to qualify for a lower tier and buy up, too expensive and there's no incentive to change purchase habits.


All times are GMT -6. The time now is 5:14 pm.


This site is owned, operated, and maintained by MH Sub I, LLC dba Internet Brands. Copyright 2021 MH Sub I, LLC dba Internet Brands. All rights reserved. Designated trademarks are the property of their respective owners.