AF/KL/DL to also introduce new fare structure for Trans-Atlantic flights
#31
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Agreed. But things like change fee, refund fee also matter.
#32
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#33
Join Date: Jul 2000
Posts: 3,746
As a Delta Silver Medallion it looks like I would be exempt from the baggage fee. However, I usually travel with carry on only. Problem is it is a North American size bag and is usually overweight. I never have a problem, but my fear is that they will enforce the carry on limits more strictly in order to maximize the checked bag revenue.
Also - the Delta Basic Economy fares do not allow any advance seat selection, even for elites. I hope KLM does not adopt this policy to harmonize similar products with Delta.
Also - the Delta Basic Economy fares do not allow any advance seat selection, even for elites. I hope KLM does not adopt this policy to harmonize similar products with Delta.
Last edited by BigFlyer; Jan 2, 2018 at 1:33 pm
#34
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#35
Join Date: May 2009
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So not allowing even elites to do seat selection on basic economy fares makes perfect sense.
#36
Join Date: Apr 2005
Programs: AF/KL FB Plat ; A3 Gold ; HH Gold ; IHG Plat Amb
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Frequent Flyer programs have this very specific aspect of driving their customers to make irrational purchase decisions (especially when someone else pays for the bill, it is a kind of corruption then). FT is full of such irrational behaviours.
#37
Join Date: May 2009
Location: AMS
Posts: 2,063
And that is the point of having elite benefits: you reward loyalty with valuable benefits that don't cost you much. If the elite member would have paid for seat selection, you loose a bit of additional revenue. If the elite member would not have paid for seat selection anyway, you don't make more money. And if the elite member is pissed off by this race to the bottom, he will go elsewhere, be less loyal and you then loose the full revenue in case of non full flights, and to get full flights, you need to lower your fares even more to make them competitive for your ex frequent fliers that won't be attracted by your general offering.
You buy the basic economy fare with the understanding that such benefits do not apply.
FT is full of such irrational behaviours.
#38
Join Date: Apr 2005
Programs: AF/KL FB Plat ; A3 Gold ; HH Gold ; IHG Plat Amb
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Since you know so well how running a business work, you should know that if price is the main differentiating factor in a competitive utilities business, then margins tend to be very low. Adding differentiation (loyalty is just an example) is precisely the main leverage to increase margins.
#39
Join Date: May 2009
Location: AMS
Posts: 2,063
Almost all of them: Lounge access is 50 USD if flying economy but if you are Gold it is for free, so de facto a 50 USD discount. Lounge access, seat assignment, checked bag, this is more and more sold separately yet frequent flyer programs include some them in their offering to convince their frequent fliers to fly them more often, to go the extra mile to fly them, or to keep flying them and not similarly priced competitors that would not give such benefits.
#40
Join Date: Dec 2014
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And that is the point of having elite benefits: you reward loyalty with valuable benefits that don't cost you much. If the elite member would have paid for seat selection, you loose a bit of additional revenue. If the elite member would not have paid for seat selection anyway, you don't make more money. And if the elite member is pissed off by this race to the bottom, he will go elsewhere, be less loyal and you then loose the full revenue in case of non full flights, and to get full flights, you need to lower your fares even more to make them competitive for your ex frequent fliers that won't be attracted by your general offering.
Frequent Flyer programs have this very specific aspect of driving their customers to make irrational purchase decisions (especially when someone else pays for the bill, it is a kind of corruption then). FT is full of such irrational behaviours.
Frequent Flyer programs have this very specific aspect of driving their customers to make irrational purchase decisions (especially when someone else pays for the bill, it is a kind of corruption then). FT is full of such irrational behaviours.
#41
Join Date: Jul 2000
Posts: 3,746
How are DL and KL going to harmonize the DL basic economy fares with the KLM light fares? Usually, the fares are the same on their TATL flights. KL Light allows Elites to select seats (and non elites to pay for an advance seat), while DL allows no advance seat selection.
Perhaps it will be metal dependent. Right now (before KL Light and DL Basic Economy), all Delta passengers can select a seat in advance for free, while non-elite KLM passengers, travelling on an identical fare, have to pay extra to select a seat. Same for UA/LH.
Perhaps it will be metal dependent. Right now (before KL Light and DL Basic Economy), all Delta passengers can select a seat in advance for free, while non-elite KLM passengers, travelling on an identical fare, have to pay extra to select a seat. Same for UA/LH.
#42
Join Date: May 2009
Location: AMS
Posts: 2,063
How are DL and KL going to harmonize the DL basic economy fares with the KLM light fares? Usually, the fares are the same on their TATL flights. KL Light allows Elites to select seats (and non elites to pay for an advance seat), while DL allows no advance seat selection.
#43
Join Date: Jul 2000
Posts: 3,746
They are international as well:
Delta expands Basic Economy across Atlantic, partners introduce similar fare product | Delta News Hub
"Delta Air Lines' Basic Economy fare is now available on more than 50 percent of Delta's flights between North America and Europe. Today's Basic Economy fare expansion to trans-Atlantic flights operating April 10, 2018, and beyond, comes as partners Air France-KLM and Alitalia each introduce a similar basic fare product across the Atlantic on the same date."
Delta expands Basic Economy across Atlantic, partners introduce similar fare product | Delta News Hub
"Delta Air Lines' Basic Economy fare is now available on more than 50 percent of Delta's flights between North America and Europe. Today's Basic Economy fare expansion to trans-Atlantic flights operating April 10, 2018, and beyond, comes as partners Air France-KLM and Alitalia each introduce a similar basic fare product across the Atlantic on the same date."
#44
Join Date: May 2009
Location: AMS
Posts: 2,063
They are international as well:
Delta expands Basic Economy across Atlantic, partners introduce similar fare product Delta News Hub
"Delta Air Lines' Basic Economy fare is now available on more than 50 percent of Delta's flights between North America and Europe. Today's Basic Economy fare expansion to trans-Atlantic flights operating April 10, 2018, and beyond, comes as partners Air France-KLM and Alitalia each introduce a similar basic fare product across the Atlantic on the same date."
Delta expands Basic Economy across Atlantic, partners introduce similar fare product Delta News Hub
"Delta Air Lines' Basic Economy fare is now available on more than 50 percent of Delta's flights between North America and Europe. Today's Basic Economy fare expansion to trans-Atlantic flights operating April 10, 2018, and beyond, comes as partners Air France-KLM and Alitalia each introduce a similar basic fare product across the Atlantic on the same date."
#45
Join Date: Jul 2000
Posts: 3,746
I'm not sure how this works out. The current practice is the Delta and KLM fares are parallel and identically priced in every respect. I believe The Delta Basic Economy fares line up with the KLM light fares in every respect except seat selection. One reason for this might be that KLM has already been charging non-elites for advance seat selection, while Delta has had free advance seat selection for everyone until Basic Economy came around - where seat selection is not available for any price.