Question: When do the 09 top program get announced??
#46


Join Date: May 1999
Location: Ottawa
Posts: 8,573
BTW, the details why you can't post are not obvious. If the details are known, why not make them available now?
While I agree with the rest of your post, those are reasons why AC should allow it, not reasons why Andrew should post.
=aw
#47
Join Date: Mar 2000
Location: YVR
Posts: 9,998
...Or they can improve on it or maintain status quo...
But I guess you're always the pessimist.
But I guess you're always the pessimist.
What makes you think this year will be any different?
And actually I'm a very optimistic person. But I'm also a realist.
#49
Join Date: Mar 2000
Location: YVR
Posts: 9,998
Yes, the reason why AY can't/won't post the details is that he cannot, either because it's AC's policy to not yet make the details publicly available and/or a that employees are not allowed to divulge that information.
The question then is why AC won't yet publish the information.
#50
Join Date: Mar 2000
Location: YVR
Posts: 9,998
I hope others don't get misled by your post that we are going to gut the program like you said above, because we don't have any plans to.
#51
Join Date: Mar 2000
Location: YVR
Posts: 9,998
#52
Join Date: Mar 2000
Location: YVR
Posts: 9,998
But if your travel is split between domestic and international, you're still limited on your domestic benefits, though you might be able to use some benefits of the alliance carrier while travelling internationally.
Even if your travel was stictly international, there are all sorts of complications and extra inconveniences. If you wanted to join UA's program, you'd most likely have to connect through the US in each direction, adding immigration fees and the usual border crossing hassles, and there are fewer departing flights to any given destination. It's also harder to earn partner miles when your home program is in another country (note the allowances AP had to make for UK members and expiriing points.)
Because of those extra impositions and limitations, for many people who want something more than and economy seat to their destination, there is no real competition.
Which I suppose is a way to say that perhaps while AC might have some competiton, Aeroplan has much, much less, and therefore can easily chop away benefits as if they had no competition.
#53
Join Date: Mar 2000
Location: YVR
Posts: 9,998
But the point is that UA is in significantly worse condition than AC is in.
But you're right, I suppose they could always go the way of AIG.
On the other hand, even if they do go "away" there is still serious competiton in the US, so it's a simple and trivial matter to simply hop on board the next FFP program. After all, if UA goes under, where will their serious FFers go? Most likely to the program that offers them the best deal to match their status. Perhaps they might even go as far as KLM did a few years ago and even match points balances.
#54
Join Date: Jan 2007
Location: YVR
Programs: AC 50K MM, HH DIA, GP DIA, SPG PLT, Delta Gold, Farimont Plat
Posts: 617
Wow, some pretty passionate views considering we're talking about a customer loyalty program to put things in perspective.
These programs cost a lot of money (though Aeroplan is the poster child for how to make revenue out of it), and you need to gauge the effectiveness in topline/bottom line lift, and or other salient metrics.
Many examples come to mind:
HMV abandoned their loyalty program years ago because they had no way of knowing if it increased traffic, conversion, basket size etc., and they didn't track information.
Some loyalty programs require you to pay to belong, one time or ongoing. The rationale is that if it's free, and you have 50 million members, 20 million of whom rarely purchase with you or may never again, that's an awful lot of overhead. If you charge people a nominal amount, and provide meaningful benefits, then you're going to get the real repeat customers.
I have been SE since the demise of CP, and I have noticed an erosion of benefits, but also positive changes, and I believe they have also adapted to market conditions.
Some changes, like personalized upgrade certifications, I view as positive. It effectively removes a secondary market that shouldn't really be there.
Some of the other changes have meant more availability for awards this year, and they did add back a lower fare class mid way through the year.
The addition of carriers to the alliance over the years has made it much easier to qualify and redeem as well.
So, instead of speculating and complaining, let's wait and see. I'm certain there will be changes, and perhaps, some of them will (or will be perceived to be) negative year over year for some/many people.
Conversely, I suspect loads will drop, especially next summer with less leisure travel and reduced business travel, and it may well be very difficult for AC to sell a lot of J seats. So, just maybe, they will make it easier, since the marginal COGS is likely minimal to bump a pax from coach to business.
AC isn't perfect, neither is any other airline or business. At the same time, your best customers generally provide a disproportionate amount of revenue, often at higher margins, so it's unlikely they will want to make radical changes.
With industry consolidation, possibly more open skies agreements, and the consideration of the entire *A, I think any changes will be gentle.
ckc
These programs cost a lot of money (though Aeroplan is the poster child for how to make revenue out of it), and you need to gauge the effectiveness in topline/bottom line lift, and or other salient metrics.
Many examples come to mind:
HMV abandoned their loyalty program years ago because they had no way of knowing if it increased traffic, conversion, basket size etc., and they didn't track information.
Some loyalty programs require you to pay to belong, one time or ongoing. The rationale is that if it's free, and you have 50 million members, 20 million of whom rarely purchase with you or may never again, that's an awful lot of overhead. If you charge people a nominal amount, and provide meaningful benefits, then you're going to get the real repeat customers.
I have been SE since the demise of CP, and I have noticed an erosion of benefits, but also positive changes, and I believe they have also adapted to market conditions.
Some changes, like personalized upgrade certifications, I view as positive. It effectively removes a secondary market that shouldn't really be there.
Some of the other changes have meant more availability for awards this year, and they did add back a lower fare class mid way through the year.
The addition of carriers to the alliance over the years has made it much easier to qualify and redeem as well.
So, instead of speculating and complaining, let's wait and see. I'm certain there will be changes, and perhaps, some of them will (or will be perceived to be) negative year over year for some/many people.
Conversely, I suspect loads will drop, especially next summer with less leisure travel and reduced business travel, and it may well be very difficult for AC to sell a lot of J seats. So, just maybe, they will make it easier, since the marginal COGS is likely minimal to bump a pax from coach to business.
AC isn't perfect, neither is any other airline or business. At the same time, your best customers generally provide a disproportionate amount of revenue, often at higher margins, so it's unlikely they will want to make radical changes.
With industry consolidation, possibly more open skies agreements, and the consideration of the entire *A, I think any changes will be gentle.
ckc
#55
Join Date: Mar 2000
Location: YVR
Posts: 9,998
Originally Posted by YOWkid
Eight months? Last time I checked the calendar, January 1 is less than two months away. But maybe I'm wrong and can't count.
Originally Posted by YOWkid
And you're asked for a co-pay.
Air Canada's equiavlent is the make you pay a higher fare up front, just for the opportunity to gamble that you'll get an upgrade, with no guarantees. In other words, with UA, if you get the upgrade you pay more than you might otherwise. With AC, you pay more than you might otherwise, then hope your upgrade comes through.
Originally Posted by YOWkid
Yeah and how many people buy J fares so they can upgrade to F? Certainly not most pax.
Regardless of how many passengers use this benefit, it's still a benefit, and probably particularly so to the most frequent flyers. Furthermore, it's not just J to F upgrades that are co-pay free, but also from some econo fares to the next class of service.
Originally Posted by YOWkid
Yeah and you don't play the UA lottery to get an upgrade on a T fare to upgrade to C? Right because UA is going to upgrade a T fare before they upgrade a B fare.
Originally Posted by YOWkid
Ok, so AC doesn't offer points upgrades. But for elites they have upgrades certs which if they did offer point upgrades, you would all be complaining that they are letting non-elites have access to seats that you believe is rightfully yours.
And I assure you I would most certainly not be complaining if AC started offering points upgrades. I'd probably be first in line to buy them.
Originally Posted by YOWkid
Go defend UA. I personally don't care because I'm not on anyone's side here. But I will suggest you go look on the UA board and see how many unhappy people there are. I haven't seen many good words (if any) about the program changes.
Even now, an AC employee seems to have implied that they already know what the program is going to be, and are yet still not announcing the details.
Why would that be?
#56
Company Representative - Air Canada




Join Date: May 1999
Location: Canada
Posts: 24,224
Air Canada's equiavlent is the make you pay a higher fare up front, just for the opportunity to gamble that you'll get an upgrade, with no guarantees. In other words, with UA, if you get the upgrade you pay more than you might otherwise. With AC, you pay more than you might otherwise, then hope your upgrade comes through.
#57




Join Date: Oct 2003
Location: YVR
Programs: WS Platinum, former AC E35K
Posts: 6,338
My prediction is that nothing big changes at all. I think threshold levels will stay the same and the packages will be about the same. It was about the same last year, except that Y/M/U fares increased on many INTL routes, although that was AC not AP.
#58
Company Representative - Air Canada




Join Date: May 1999
Location: Canada
Posts: 24,224
"Elites" (or the equivalent) also get upgrade certificates on UA.
Even now, an AC employee seems to have implied that they already know what the program is going to be, and are yet still not announcing the details.
#59
Join Date: Jan 2007
Location: YVR
Programs: AC 50K MM, HH DIA, GP DIA, SPG PLT, Delta Gold, Farimont Plat
Posts: 617
In my position at our company, I often am aware of changes to our loyalty programs, promotions and sales, and other material and immaterial changes prior to broad public knowledge.
There are some seemingly obvious reasons why employees can not and should not share information, some of which you have already stated.
There is a process for public disclosure that needs to be followed. I know at my current company and previous employer's you'd certainly be subject to disciplinary action up to and including dismissal. If you have a role at a public company with access to material information, you face possible other repurcussions as well.
It's not Andrew's role or responsibility to be PR person for AC (though he does so quite well for us on FT on an informal basis), and we need to respect that.
#60
Join Date: Mar 2000
Location: YVR
Posts: 9,998
I'm guessing that many Aeroplan members would be happy to pay extra points to eliminate fuels surcharges that often run to many hundreds of dollars.
And for many people, the extra points paid for a UA award pale in comparison to some of the absurd and usurios points charges AC makes with their Classic Plus awards.
And for many people, the extra points paid for a UA award pale in comparison to some of the absurd and usurios points charges AC makes with their Classic Plus awards.
But let me ask you, would you rather pay 467,000 points and fees of CAD $558.35 for a last minute J ticket on YVR-SYD, or 270,000 points (220,000 if booked by December 31) and fees of USD $110.30 + USD $100 for short notice ticketing - about CAD $247 all in?
I could be wrong, but I'm guessing that you'd choose the UA option, every time.


