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Class Upgrade Bidding Initiative - your feedback sought

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Class Upgrade Bidding Initiative - your feedback sought

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Old May 24, 2014, 5:47 pm
  #31  
 
Join Date: Oct 2010
Location: NZ
Programs: AA, UA, QF, TK, EY, NZ
Posts: 447
Originally Posted by jdtravels
I agree with the above. And also that this 'bidding' (and potentially getting an upgrade for a very low price) should only be open to MPC members, and probably to those of a certain tier and above only - if only to keep the MPC a somewhat attractive programme.
The way Air New Zealand does their pay for upgrade system is that they add on a bonus percentage on top of your bid for status members. This may equate to 150% on top of your bid for DM, 100% for GO, 50% for SL; so that you can 'bid' the same amount of money as a GM but you'd be placed in a better position to receive that upgrade.

Originally Posted by jawnbc
As someone who flies Air NZ frequently, their "one up" bid system is maddening: it makes it much harder for frequent flyers with status to redeem recognition upgrades. The airline is putting relatively small amounts of cash ahead of consumer loyalty--and we're voting with our feet. I'm looking seriously at shifting my business entirely towards OneWorld (I have status with Marco Polo as well).
I've never cared for Airpoints. I went with UA. The difference here is that CX doesn't have any RUs so that isn't an issue in this case.


I personally say no to this. If they were to do this, they'd have to figure out a way to balance out the benefits for the MPO members. Yes, op-ups are unpublished but I bet it's one perk people are willing to keep their status with CX for. If you take them away by offering everyone this opportunity to upgrade, you're left with the guaranteed Y seat as the only major benefit available. There are no status bonuses and redemption rates are poor.

But yes, they are a business and usually the bottom line comes before anything else.. Just please don't be like Air NZ and decide that high valued customers are worth nothing to you....
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Old May 24, 2014, 9:49 pm
  #32  
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May be worth examining Qantas' recent enhancements to points upgrades.

These are now restructured so that rather than confirming them 24 hours prior they can be actioned either at checkin, the lounge or the gate meaning that rather than upgrading for free in an oversell situation they are clearing points for unsold seats.

This keeps elite frequent flyers happy as they can nominate for upgrades with points and based on status be at the top of the queue whilst not devaluing the value of premium cabins with discounted cash payments.
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Old May 25, 2014, 4:05 am
  #33  
 
Join Date: Nov 2013
Location: UK + China (mostly in HK)
Programs: OZ Diamond+, CA Gold, SQ Silver
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If Cathay is trying to maximize its revenue, why not implement something like Aer Lingus long haul and KLM do? Allowing economy class passengers to upgrade their meals to selected meal choices or to meals from a higher class(but only from leftover)? It surely wouldn't affect the branding stuff or dilute the yields, right?
I am sure many are willing to - especially me and other ever-hungry studying aboard students - plus the food quality has been going down hills year after year .
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Old May 25, 2014, 8:21 am
  #34  
 
Join Date: Dec 2009
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In general, I think airlines don't like giving out free op-ups, so a more exclusive form of this type of system would be similar to what hotels have been doing for several years now.

If CX was to go this route, I would think they should limit it to passengers with status (Marco Polo, Asia Miles, and their OneWorld equivalents).
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Old May 25, 2014, 8:44 am
  #35  
 
Join Date: Jun 2011
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No from me.
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Old May 25, 2014, 5:04 pm
  #36  
 
Join Date: Nov 2012
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I have experienced this often in US airlines with cheap upgrades for many passengers or even free upgrades for Elite status ones. In my opinion this cheapens the overall cabin experience for people who have paid good money to sit in the front.

That's said I always enjoy good product in the front since I fly once a week basically, it would be nice to be able to sit up there every time for a very low rate. I also avoid flying up front for short flights. So I would love cheap seats, but I don't think it would work to make the experience better.

Anyways I agree with most of the people here that it should be limited to upgrades from Y to PY, and not from Y to J or J to F.

If you're going to offer this, I think it should be closer towards the day of the flight perhaps even the day before. This would allow paying customers who planned on the premium seats to able to purchase said tickets, whereas if this was offered four days in advice, it would severely affect ticket availability for those of us who only book like two-three days before the flight.

Speaking of PY, CX needs to be make it easier to book R class tickets in PY on the website because if I select PY in the booking section it only brings me W tickets which on occasion costs as much as a J (which I end up booking instead).
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Old May 25, 2014, 6:52 pm
  #37  
 
Join Date: Jun 2011
Location: LON
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Posts: 172
I am against and not interested in the proposed changes. Leave the current system.

If it is implemented, there should be more transparency around the bidding process from CX. MPO members should definitely be given priority.
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Old May 25, 2014, 7:07 pm
  #38  
 
Join Date: Feb 2010
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Posts: 363
A no from me. As a paid J DM I already feel less appreciated. It will certainly make me think more carefully about using alternatives and spreading my business.
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Old May 25, 2014, 8:52 pm
  #39  
 
Join Date: May 2009
Posts: 6,978
Originally Posted by jackrussellterrier
A no from me. As a paid J DM I already feel less appreciated. It will certainly make me think more carefully about using alternatives and spreading my business.
I'm really interested in this kinds of mentality. So you would abandon probably the best long-haul J products of CX and settle for lesser products elsewhere just because you felt CX has "cheapen" the J class that you've paid for. Based on the replies in this thread alone it seems like most everyone else has been doing something similar for a good amount of time now.

Also, why would this upset you this much that you would threaten to leave? Do you know that in any given time you fly if you do a survey of pax around you will get a range of prices paid? Do you pay full-fare J all the time? Should full-fare J payee be upset at you when they found out you've only paid discount I fare, and they felt this has "cheapen" the J class because they've paid full J and you've paid discounted I?
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Old May 25, 2014, 9:00 pm
  #40  
 
Join Date: May 2009
Posts: 6,978
Just to summarize good ideas, I now amend my proposal:

1) One class upgrade opportunity. Y only to Y+, Y+ only to J, J to F if available.

2) There should be a limit of fare purchased to be eligible to upgrade. Similar to only Y, B, H, K fare can use miles to upgrade. Maybe Y to Y+ last-minute upgrade only available to Y, B, H, K, M fares. Only W, R fares can upgrade to J. J, I fare can go after last minute upgrade to F.

3) The bidding should be based on a range of price not a fixed price. For example, 48 hours prior to flight an email sent to all Y flyers saying:"Upgrade yourself in the last minute, bid between $500 to $1000 for a chance to fly Y+!" So you have many solicitors bidding $500 to someone bidding $1000 and numbers in between, and the highest few wins.

4) Should the same amount of money be bidden, the tie-breaker is based on tier. If a DM and a SL both bid $1000, the winner goes to the DM.

5) Higher tier gets "bonus percentage" in their bid. For example a DM gets 30% boost, GO 20%, SL 10%, GR and AM none. So a DM bidding $800 the system will treat it as bidding $1040. A GO bidding $900 the system will treat it as bidding $1080
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Old May 25, 2014, 9:17 pm
  #41  
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Originally Posted by Cathay Boy
Just to summarize good ideas, I now amend my proposal:

1) One class upgrade opportunity. Y only to Y+, Y+ only to J, J to F if available.

2) There should be a limit of fare purchased to be eligible to upgrade. Similar to only Y, B, H, K fare can use miles to upgrade. Maybe Y to Y+ last-minute upgrade only available to Y, B, H, K, M fares. Only W, R fares can upgrade to J. J, I fare can go after last minute upgrade to F.

3) The bidding should be based on a range of price not a fixed price. For example, 48 hours prior to flight an email sent to all Y flyers saying:"Upgrade yourself in the last minute, bid between $500 to $1000 for a chance to fly Y+!" So you have many solicitors bidding $500 to someone bidding $1000 and numbers in between, and the highest few wins.

4) Should the same amount of money be bidden, the tie-breaker is based on tier. If a DM and a SL both bid $1000, the winner goes to the DM.

5) Higher tier gets "bonus percentage" in their bid. For example a DM gets 30% boost, GO 20%, SL 10%, GR and AM none. So a DM bidding $800 the system will treat it as bidding $1040. A GO bidding $900 the system will treat it as bidding $1080
methinks on top of this asiamiles should also be used as a token and be given a boost bonus (along with a transparent cash value).
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Old May 25, 2014, 10:48 pm
  #42  
 
Join Date: Feb 2010
Location: KMQ
Programs: JMB Diamond,NH Diamond, Marriott Lifetime Titanium Elite, IHG Royal Ambassador Spire,
Posts: 363
Originally Posted by Cathay Boy
I'm really interested in this kinds of mentality. So you would abandon probably the best long-haul J products of CX and settle for lesser products elsewhere just because you felt CX has "cheapen" the J class that you've paid for. Based on the replies in this thread alone it seems like most everyone else has been doing something similar for a good amount of time now.

Also, why would this upset you this much that you would threaten to leave? Do you know that in any given time you fly if you do a survey of pax around you will get a range of prices paid? Do you pay full-fare J all the time? Should full-fare J payee be upset at you when they found out you've only paid discount I fare, and they felt this has "cheapen" the J class because they've paid full J and you've paid discounted I?
I never said I was upset and threatened to "leave" Cathay. Just that I would consider other products like SQ, Asiana, JAL as they do fit my travel patterns to North Asia and are direct. In fact I already have started flying a few competitors this year. Agree Cathay has a great J product for long haul but regional is not miles ahead of the competition and most of my business with Cathay is regional - so no long haul product and not many op ups to First. The biggest benefit for me currently is using my miles for companion tickets which currently are easy to secure. If that changed there would be little incentive for me personally to give so much business. I'm quite happy with the Bridge lounge for example and don't need the first class lounge as I don't see much difference. I think its also about image. Many of us don't want things to go the way of Europe and North America - particularly for regional travel. I guess if I flew economy I probably would be happy with this idea..but I don't
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Old May 25, 2014, 11:41 pm
  #43  
 
Join Date: Dec 2001
Location: China
Posts: 1,553
Yes for Y to PEY. Often the PEY fares available have T&C/ flexibility I don't need, so I buy a cheap, inflexible Y fare. Would be happy to upgrade on a sector basis for cash/ miles.

PEY to J, no. It is fundamentally a different product, so I think upgrades should be based on fare difference/ miles.
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Old May 26, 2014, 1:50 am
  #44  
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or put it this way, why should BIDDING be allowed - CX should set their own prices instead.

when passengers weren't allowed to even just to pay fare difference (canx charge chargable!), why should CX now be allowed to milk every single penny under the demand curve?)
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Old May 26, 2014, 3:48 am
  #45  
 
Join Date: Apr 2001
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Posts: 3,171
as someone said earlier if bidding was needed, cx is mispricing its product in first place.
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