The Death Spiral of the Centurion Card
#91
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,958
#92
Join Date: Oct 2005
Programs: DL 2MM PM;VSGld;EKGld; HilDia; HrtzPC; AvisPC; PP; AmbPlt; JumeiGld; MeliaPlt; TajPlt; ShangriDia
Posts: 953
That's impressive. I didn't know any of the free supplementary cards offered the perks. I used to have an IDC Centurion which included the extra Cent for my husband and even an extra black card for business expenses, plus a bunch of extra Platinum and Gold cards for no additional fee. However, there were no airline elite perks nor extra hotel perks at that time (this is some years ago before the IDC Cent fee increased). It did give the extra Priority Pass, which IDC Platinum still does.
I would love to keep my husband's US Cent at the previous lower fee but the only thing it really gives us is DL Platinum for both of us and we don't get enough value from that with our current travel pattern for $2500. Maybe in future we would. Otherwise, we can manage fine with the hotel and Avis status just on my account.
I would love to keep my husband's US Cent at the previous lower fee but the only thing it really gives us is DL Platinum for both of us and we don't get enough value from that with our current travel pattern for $2500. Maybe in future we would. Otherwise, we can manage fine with the hotel and Avis status just on my account.
#93
Join Date: Jun 2006
Location: YVR
Programs: Bonvoy Lifetime Plat (earned as Starwood), Canadian Amex Plat & resulting statuses, WestJet Silver
Posts: 663
Let's be honest, it seems fairly obvious to me that Amex has figured out that they can push the envelope pretty far in terms of how far they can get away with diluting Cent benefits without losing members. Some time ago, they seem to have figured out that they have most existing Cents psychologically handcuffed to the product for two reasons: 1. most won't walk away from the sunk cost of the exorbitant initiation and annual fees; and, 2. most put a high value, higher than most would likely admit, in the "wallet candy" value of Cent membership, as an earlier poster described it. Thus, they can tinker with which airline and hotel programs are included knowing that some Cents will moan a little, but the revenue will keep flowing in. It's also worth noting that not only have they diluted the value of the product by reducing some benefits and stripping away others entirely, but they also seem to have markedly increased the number of Cents in existence, which has numerous ripple effects that affect the value of the product. I think the fact that they openly discuss plans to substantially increase the number of Centurion Lounges in North America supports this theory. It's certainly a far cry from the early days of Cent when they practically still denied its existence.
#94
Join Date: May 2000
Location: Houston, TX, USA
Programs: UA 1K, AA Lifetime Platinum, DL Platinum, Honors Diamond, Bonvoy Titanium, Hertz Platinum
Posts: 7,970
#95
Join Date: Feb 2002
Location: USA
Programs: AA2, DL2, Amtrak2, US2, SPG1, MAR2
Posts: 2,550
Just talked to Centurion, there is no exception for Centurion holders:
Beginning May 1, 2014, all customers who receive complimentary Delta Sky Club access as a benefit of their eligible credit or charge card will no longer receive complimentary guest access. A $29 fee per guest will apply.
Beginning May 1, 2014, all customers who receive complimentary Delta Sky Club access as a benefit of their eligible credit or charge card will no longer receive complimentary guest access. A $29 fee per guest will apply.
#97
Join Date: Mar 2006
Location: Miami, FL, USA
Posts: 4,049
This sucks for Centurion and Platinums alike, so it won't be part of my reasons stated for downgrading in July. It may influence my Delta Platinum Medallion Choice Benefit for this year, though, which is a Centurion-specific thing. The lounge passes may be worth something now.
#98
Join Date: Jun 2013
Programs: AA EXP,LFP~3 MM; MarriottRewards, LFP; Avis 1st; Hertz Gold
Posts: 150
What is the diff between Centurion and Amex Plt? With my corp discount My Amex Plt is only $350 a year. What do you get with Centurion besides a cool name?
#99
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,958
Demand for lounge space exceeds supply at peak times. A price increase is one way to restore balance. Another way is to increase capacity, which American Express seems to be doing by building the Centurion Lounge network.
It will be interesting to see if AA and UA follow DL's lead, introduce premium priced club membership levels, and strip guest privileges from the base level. I wonder if any airline has the technology to implement variable pricing for guests? It might make sense to charge a higher guest fee at peak periods.
Frankly, I am surprised that Delta and American Express did not decide to eliminate Platinum card access to SkyClubs. This could be a point of differentiation for the SkyMiles Reserve card which competes directly with AA and UA cards.
It will be interesting to see if AA and UA follow DL's lead, introduce premium priced club membership levels, and strip guest privileges from the base level. I wonder if any airline has the technology to implement variable pricing for guests? It might make sense to charge a higher guest fee at peak periods.
Frankly, I am surprised that Delta and American Express did not decide to eliminate Platinum card access to SkyClubs. This could be a point of differentiation for the SkyMiles Reserve card which competes directly with AA and UA cards.
#101
Join Date: Jul 2010
Location: DTW
Programs: Amex Canada Centurion (and all the fixings)...and 20,000,000+ misc. points/miles to spend!
Posts: 153
What I'm starting to get pissy about is the fact that all these cuts to lounge access for plats affect Cents equally. Where the f**k is the added benefit of the cent ???? To me, if they're looking to create differentiated product offerings (just as Delta has done by introducing two tiers of Skyclub membership), one would think that plats could bring zero guests, but cents would still be allowed guests, for instance. When Amex negotiates these lounge contracts, why are we always treated on the same level as plats, despite paying thousands more?
#102
Join Date: Aug 2007
Location: NYC
Programs: Amex Centurion
Posts: 202
What I'm starting to get pissy about is the fact that all these cuts to lounge access for plats affect Cents equally. Where the f**k is the added benefit of the cent ???? To me, if they're looking to create differentiated product offerings (just as Delta has done by introducing two tiers of Skyclub membership), one would think that plats could bring zero guests, but cents would still be allowed guests, for instance. When Amex negotiates these lounge contracts, why are we always treated on the same level as plats, despite paying thousands more?
#104
Join Date: Jan 2000
Posts: 3,026
So January 1st I was actually expecting a communication from Amex about all the cool enhancements that they are offering Cent members. Silly me. Instead benefits get reduced then further reduced with todays DL (not Amex) announcement.
I'm holding our for Cent DL Plat status to be upgraded to Diamond. If this happens then that's equal to the new top tier lounge program so Cents would not loose guest privileges.
I guess I can only hope
I'm holding our for Cent DL Plat status to be upgraded to Diamond. If this happens then that's equal to the new top tier lounge program so Cents would not loose guest privileges.
I guess I can only hope
#105
Join Date: Jun 2010
Location: Minneapolis, MN
Programs: DL, AA, UA, SPG Gold, HH Gold, IHG Platinum, Marriott Silver
Posts: 471
So January 1st I was actually expecting a communication from Amex about all the cool enhancements that they are offering Cent members. Silly me. Instead benefits get reduced then further reduced with todays DL (not Amex) announcement.
I'm holding our for Cent DL Plat status to be upgraded to Diamond. If this happens then that's equal to the new top tier lounge program so Cents would not loose guest privileges.
I guess I can only hope
I'm holding our for Cent DL Plat status to be upgraded to Diamond. If this happens then that's equal to the new top tier lounge program so Cents would not loose guest privileges.
I guess I can only hope