Is AQD requirement helping or hurting AC?
#17
Original Member
Join Date: May 1998
Location: Vancouver, Canada
Posts: 6,222
But there's a significant probability that many of those displaced FFers will be satisfied or even happy with their new arrangements and decide to stay where they are. After all, if AC starts to improve their FF program it's likely that all their competitors will as well.
I accidentally found myself in SkyTeam because I could not get an advance upgrade on a wide open J cabin on AC33, even on a >$6000 econo fare. And because I started the year in SkyTeam I found myself... directed, I suppose... on to Delta.
And once there I found that DL's program suited me perfectly. I never looked back (to AC.)
#18
Join Date: Jun 2004
Location: I'm From Here
Programs: AC*SE & MM/*Wood Gold/HHonors Diamond/Marriott Silver/AirMiles Gold
Posts: 4,567
Not perfect...but better
#19
Join Date: Jan 2016
Location: YYZ
Programs: FOTSG Tangerine Ex E35k (AC)
Posts: 5,612
I actually prefer AQD over the 50% rule
of 2015 which gave me P25 for 44k *A miles. My AQD that year? Probably at least $10k, depends on the AQD rules there as some was AC site booked non AC metal flights.
Is the AQD costing AC money? Probably yes, but maybe it's costing less than all the *G and SE or any other status options they were dealing with before. There must be a reason they moved from the old system to the 50% metal (for one year!) to AQD and it wasn't to improve the system for the paying public.
As had been commented up thread, until LF decrease and they start sending out empty seats AC doesn't care.
Related to the topic, I spend more as an elite that pre status due to wanting the miles and upgrades. Is this unique to AC? I don't know, if I was with UA I'd be able to book lowest fares and still use upgrades right? Ignoring basic economy.
of 2015 which gave me P25 for 44k *A miles. My AQD that year? Probably at least $10k, depends on the AQD rules there as some was AC site booked non AC metal flights.
Is the AQD costing AC money? Probably yes, but maybe it's costing less than all the *G and SE or any other status options they were dealing with before. There must be a reason they moved from the old system to the 50% metal (for one year!) to AQD and it wasn't to improve the system for the paying public.
As had been commented up thread, until LF decrease and they start sending out empty seats AC doesn't care.
Related to the topic, I spend more as an elite that pre status due to wanting the miles and upgrades. Is this unique to AC? I don't know, if I was with UA I'd be able to book lowest fares and still use upgrades right? Ignoring basic economy.
#20
Join Date: Mar 2017
Location: Toronto
Programs: DL Silver, AC E75K, Chatime Elite
Posts: 339
I reach up E50K, and then take additional trips on other carriers or with other alliances.
This year, I'm traveling 140K, but only 61K is going to AC. The AQD gap is too much to justify between E50K and E75K. To say nothing of E75K and SE.... I'm still spending less than $20K and flying mostly in business class.
This year, I'm traveling 140K, but only 61K is going to AC. The AQD gap is too much to justify between E50K and E75K. To say nothing of E75K and SE.... I'm still spending less than $20K and flying mostly in business class.
#21
Join Date: Jun 2011
Location: YYZ
Programs: AC SE100K MM
Posts: 588
Sat with a 50k, 75k and 100k on the last flight. Topic came up. The 100k person bumped up this year from 75k but it will not last. Some people get a job that bumps them up for months or so and then it ends.
The 75k and 50k qualified higher but could not pull off the AQD to get higher since the company paid flights are lowest fare only. I am only seeing status reduction with people I talk to and not elimination.
The 75k and 50k qualified higher but could not pull off the AQD to get higher since the company paid flights are lowest fare only. I am only seeing status reduction with people I talk to and not elimination.
#22
Suspended
Join Date: Mar 2013
Location: YVR
Programs: AC SE*2MM. SPG Plat life
Posts: 4,644
I agree. I think AC will cut FF benefits on Tango fares, matching US airlines.
#23
Original Member
Join Date: May 1998
Location: Canada
Programs: AC SE 2MM, HH Dd, SPG; IC Pl/A; AA; DL
Posts: 14,324
Well I think that from what I have seen in the cabins, they are going out with empty seats in J both on international and domestic flights. They might be close to where they want to be.
They have lost some of my business to cheap F fares on Delta, American and United but that may be offset by my willingness to pay slightly more to "guarantee" front cabin from Flex or cheap Premium Economy fares on AC flights.
If I was a youngster, I might just avoid the whole scene and go with cheapest so likely some younger people will not be flying AC as much as they would have with the benefits/ease of earning SE that were given pre-AQD (or, in my case, lavished on me in late 1990s and 2000).
At my age, I can afford the slight increase in cost and if I continue to achieve 100% upgrade rate, then I will continue to stick with AC while flying on relatively cheap fares. If that changes, then I would look at other ways of guaranteeing that I fly up front, including more trips on discounted business class on any airline that flies where I want to go.
They have lost some of my business to cheap F fares on Delta, American and United but that may be offset by my willingness to pay slightly more to "guarantee" front cabin from Flex or cheap Premium Economy fares on AC flights.
If I was a youngster, I might just avoid the whole scene and go with cheapest so likely some younger people will not be flying AC as much as they would have with the benefits/ease of earning SE that were given pre-AQD (or, in my case, lavished on me in late 1990s and 2000).
At my age, I can afford the slight increase in cost and if I continue to achieve 100% upgrade rate, then I will continue to stick with AC while flying on relatively cheap fares. If that changes, then I would look at other ways of guaranteeing that I fly up front, including more trips on discounted business class on any airline that flies where I want to go.
#24
Join Date: Feb 2005
Posts: 7,156
Well I think that from what I have seen in the cabins, they are going out with empty seats in J both on international and domestic flights. They might be close to where they want to be.
They have lost some of my business to cheap F fares on Delta, American and United but that may be offset by my willingness to pay slightly more to "guarantee" front cabin from Flex or cheap Premium Economy fares on AC flights. .......
They have lost some of my business to cheap F fares on Delta, American and United but that may be offset by my willingness to pay slightly more to "guarantee" front cabin from Flex or cheap Premium Economy fares on AC flights. .......
AC instead of dropping its fare a little closer to its American competitors, it prefers to save those J seats to its employees and SE on a Flex ticket.
*
#27
Join Date: Sep 2014
Location: sqrt(-united states of apologist)
Programs: *$ Green
Posts: 5,403
These are the fare quotes from Google Flights for YYZ-LAX in business on 08-Nov-2017 and one can easily see why AC flights are going out with empty seats in J. AC's pricing is simply not competitive. I recognize that AC is direct non-stop but it is not worth the premium. UA will give one access to UC on a transborder flight. No need for *G.
AC instead of dropping its fare a little closer to its American competitors, it prefers to save those J seats to its employees and SE on a Flex ticket.
*
AC instead of dropping its fare a little closer to its American competitors, it prefers to save those J seats to its employees and SE on a Flex ticket.
*
If I was AC, I wouldn't give 2 ..... about UAs and DLs fares.
If AC sells the cabin at 3x the price of the competition but fills only 1/3 of its seats, it's still doing just as well ad the competition.
Plus, they'll have less pax go service and pay miles to.
Matter of fact, this may even be better since it means AC can monetize the cabin just as well as its competition, AND it keeps free seats for the FF that pay premium Y fares, AND it keeps open seats for its staff on vacation.
A much better business decision than filling up with cheap bottom feeding fare searchers, and (IMHO) a better sign of dominance over the competition.
Compare that with AC's international J and PE fares on certain markets. Full cabins but sold at rock bottom prices. AC was selling cheap P fares to Japan to fill up a 20J cabin, while NH is selling 5K fares where half the plane is J seats. You think NH is worried about AC's pricing? It probably laughs at it.
#28
FlyerTalk Evangelist
Join Date: Feb 2000
Posts: 12,069
Well I think that from what I have seen in the cabins, they are going out with empty seats in J both on international and domestic flights. They might be close to where they want to be.
They have lost some of my business to cheap F fares on Delta, American and United but that may be offset by my willingness to pay slightly more to "guarantee" front cabin from Flex or cheap Premium Economy fares on AC flights.
If I was a youngster, I might just avoid the whole scene and go with cheapest so likely some younger people will not be flying AC as much as they would have with the benefits/ease of earning SE that were given pre-AQD (or, in my case, lavished on me in late 1990s and 2000).
At my age, I can afford the slight increase in cost and if I continue to achieve 100% upgrade rate, then I will continue to stick with AC while flying on relatively cheap fares. If that changes, then I would look at other ways of guaranteeing that I fly up front, including more trips on discounted business class on any airline that flies where I want to go.
They have lost some of my business to cheap F fares on Delta, American and United but that may be offset by my willingness to pay slightly more to "guarantee" front cabin from Flex or cheap Premium Economy fares on AC flights.
If I was a youngster, I might just avoid the whole scene and go with cheapest so likely some younger people will not be flying AC as much as they would have with the benefits/ease of earning SE that were given pre-AQD (or, in my case, lavished on me in late 1990s and 2000).
At my age, I can afford the slight increase in cost and if I continue to achieve 100% upgrade rate, then I will continue to stick with AC while flying on relatively cheap fares. If that changes, then I would look at other ways of guaranteeing that I fly up front, including more trips on discounted business class on any airline that flies where I want to go.
#29
Join Date: Feb 2005
Posts: 7,156
It's still what the market will hold, and AC won't change its pricing until they lose out on money.
If I was AC, I wouldn't give 2 ..... about UAs and DLs fares.
If AC sells the cabin at 3x the price of the competition but fills only 1/3 of its seats, it's still doing just as well ad the competition. .....
If I was AC, I wouldn't give 2 ..... about UAs and DLs fares.
If AC sells the cabin at 3x the price of the competition but fills only 1/3 of its seats, it's still doing just as well ad the competition. .....
#30
A FlyerTalk Posting Legend
Join Date: Sep 2012
Location: SFO
Programs: AC SE MM, BA Gold, SQ Silver, Bonvoy Tit LTG, Hyatt Glob, HH Diamond
Posts: 44,354
If they sell 1/3 of their cabin at 3x the average price of other airlines, then they can do whatever they want with the other 2/3 and still be equal or ahead.