Pay to upgrade not allowed?
Jul 14, 2014 | 5:48 pm
#16
Join Date: Feb 2000
Location: Vancouver, British Columbia
Posts: 3,373
Waiving cancellation fees for upgrading creates an incentive for people not to pay for J-class fares at the time of booking.
Why should I pay $5,000 CAD for an I class seat to HKG when I can pay $2,000 for a Y+ seat and then pay the fare difference when I see the inventory drop to I1, or the booking deadline is approaching. That way more of the money stays in my bank account, rather than CX's. Granted, the cancellation penalties are greater than the interest costs on that money, but the cancellation penalty creates a disincentive to that kind of gaming of the system, and provides the airline with more reliable information for yield planning.
Why should I pay $5,000 CAD for an I class seat to HKG when I can pay $2,000 for a Y+ seat and then pay the fare difference when I see the inventory drop to I1, or the booking deadline is approaching. That way more of the money stays in my bank account, rather than CX's. Granted, the cancellation penalties are greater than the interest costs on that money, but the cancellation penalty creates a disincentive to that kind of gaming of the system, and provides the airline with more reliable information for yield planning.
Nov 23, 2014 | 2:56 pm
#17
Original Poster
Join Date: Nov 2012
Location: NYC
Programs: Marriot Am, MU Pt
Posts: 3,092
I don't know what's changed but last night I called them to change another flight.
Anyways I had two seats in PY and I've been eying those J seats (I fare) for a few weeks. After doing two long hauls and six short hauls in the same week I decided I really wanted better seats (plus it made someone else happier).
I called them to cancel my two PY tickets and rebook in J, but I was told that was not needed and I could just pay the difference.
I paid over the phone and a few minutes later I was issued new tickets. My PY seats are in E fare so there would have been a cancellation charge.
Anyways I had two seats in PY and I've been eying those J seats (I fare) for a few weeks. After doing two long hauls and six short hauls in the same week I decided I really wanted better seats (plus it made someone else happier).
I called them to cancel my two PY tickets and rebook in J, but I was told that was not needed and I could just pay the difference.
I paid over the phone and a few minutes later I was issued new tickets. My PY seats are in E fare so there would have been a cancellation charge.
Nov 23, 2014 | 3:50 pm
#18
Suspended
Join Date: Dec 2009
Location: SYD
Programs: QFF SG, VA SL, MR Plat, SPG Plat, HH Diamond
Posts: 445
Seems to be an odd application of the rules...I have had to cancel and rebook whole tickets ex-HKG or TW in the past when wanting to rebook in a higher class. Rather counter-intuitive really, if the inventory is there and I'm happy to pay the difference why not let me?
Nov 23, 2014 | 5:08 pm
#19
Ambassador: Japan Airlines
Join Date: Mar 2008
Location: LAX
Programs: JAL Mileage Bank, JMB Diamond, oneworld Emerald, Bonvoy Platinum
Posts: 17,152
I might be wrong but I don't think there is such a thing as an upgradeable fare. If you buy a ticket in J class, it is for J class. There is no special upgrade mechanism inherent in the ticket to allow it to be upgraded except to cancel the ticket and buy a new ticket in F class (or A class).
So an "upgrade" which is from J to F will be the cancellation and refund of your initial ticket less any cancellation fees in the fare rules, and then a repurchase of a new F ticket.
I don't think that the company can offer discretionary cancellation fees. The reason a fare will have a cancellation fee is that you have bought a discounted ticket so it's a gamble on your behalf - Yes I want the cheaper ticket, but if I don't end up travelling, I need to compensate CX with some amount. The upside to CX is that they know with more certainty that you will travel in that class. If you then decide that you don't want to travel in J class, this creates more uncertainty for CX as they have an additional J seat to sell. I know you will say that they will have benefitted because you are now buying a F seat, but this is the way revenue management works - they don't want people to game the system.
So an "upgrade" which is from J to F will be the cancellation and refund of your initial ticket less any cancellation fees in the fare rules, and then a repurchase of a new F ticket.
I don't think that the company can offer discretionary cancellation fees. The reason a fare will have a cancellation fee is that you have bought a discounted ticket so it's a gamble on your behalf - Yes I want the cheaper ticket, but if I don't end up travelling, I need to compensate CX with some amount. The upside to CX is that they know with more certainty that you will travel in that class. If you then decide that you don't want to travel in J class, this creates more uncertainty for CX as they have an additional J seat to sell. I know you will say that they will have benefitted because you are now buying a F seat, but this is the way revenue management works - they don't want people to game the system.
CHANGE CAN BE MADE TO HIGHER JAL/AA NORMAL FARES
WITHOUT CHANGE FEE OR
HIGHER JAL/AA FIRST/BUSINESS CLASS SPECIAL FARES
WITHOUT CHANGE FEE OR
HIGHER JAL/AA PREMIUM ECONOMY CLASS W- /E- TYPE
SPECIAL FARES WITHOUT CHANGE FEE OR
WITHOUT CHANGE FEE OR
HIGHER JAL/AA FIRST/BUSINESS CLASS SPECIAL FARES
WITHOUT CHANGE FEE OR
HIGHER JAL/AA PREMIUM ECONOMY CLASS W- /E- TYPE
SPECIAL FARES WITHOUT CHANGE FEE OR
Nov 23, 2014 | 5:39 pm
#20
Join Date: Nov 2006
Programs: MPC,CA,MU,AF
Posts: 8,171
I don't know what's changed but last night I called them to change another flight.
Anyways I had two seats in PY and I've been eying those J seats (I fare) for a few weeks. After doing two long hauls and six short hauls in the same week I decided I really wanted better seats (plus it made someone else happier).
I called them to cancel my two PY tickets and rebook in J, but I was told that was not needed and I could just pay the difference.
I paid over the phone and a few minutes later I was issued new tickets. My PY seats are in E fare so there would have been a cancellation charge.
Anyways I had two seats in PY and I've been eying those J seats (I fare) for a few weeks. After doing two long hauls and six short hauls in the same week I decided I really wanted better seats (plus it made someone else happier).
I called them to cancel my two PY tickets and rebook in J, but I was told that was not needed and I could just pay the difference.
I paid over the phone and a few minutes later I was issued new tickets. My PY seats are in E fare so there would have been a cancellation charge.
Nov 23, 2014 | 11:00 pm
#21
Original Poster
Join Date: Nov 2012
Location: NYC
Programs: Marriot Am, MU Pt
Posts: 3,092