CX New strategy rollout in 2017
#181
Join Date: Feb 2015
Location: CRK MNL
Programs: CX Gold
Posts: 1,288
Wow. Thank you frankguy!! You just saved me 13k HKD! I am buying a HKG-DEL roundtrip next month and was resigned to that price. I'll just call our (not often used) travel agent.
We also just spent just under 1K USD on a round-trip HKG-Tokyo fare in Y class, all booked from the website. I think it was $850-900 USD if memory serves me right. That seemed so steep that my secretary thought it was a mistake. So when I read above someone paid way less than website rate to Tokyo in J via travel agent I see a pattern here...
The website forever has been my default. I guess we need to put more business to the travel agent. Like going back in time I suppose.
We also just spent just under 1K USD on a round-trip HKG-Tokyo fare in Y class, all booked from the website. I think it was $850-900 USD if memory serves me right. That seemed so steep that my secretary thought it was a mistake. So when I read above someone paid way less than website rate to Tokyo in J via travel agent I see a pattern here...
The website forever has been my default. I guess we need to put more business to the travel agent. Like going back in time I suppose.
#182
Join Date: Jun 2016
Programs: Marriott Titanium, Hilton Diamond, Hyatt Explorist, Marco Polo Gold
Posts: 1,084
For flights to India there is some weird arrangement where CX has "outsourced" their sales to GC Nanda and this has been in place for years. It seems that the arrangement means that CX can't sell discounted fares directly. I don't know why they've done this. Maybe that agent has an agreement to buy a minimum volume or something. So for India flights you are always advised to use an agent.
#183
Join Date: Aug 2011
Posts: 904
While this isn't really a promotion, I was able to book a MNL-HKG-NRT-HKG-MNL flight for around USD 860 in J from a third-party website which is a deep, deep, deep discount from the USD 1,700 they were selling it on their website. I even called the CX hotline to double check if the ticket was valid (the agent I spoke with even got me the seat assignments I wanted).
Not sure if the agent was violating some kind of contract with CX for selling such a low fare, or CX is just giving out so many wholesale rates to third-parties just to fill premium cabins on certain routes.
Not sure if the agent was violating some kind of contract with CX for selling such a low fare, or CX is just giving out so many wholesale rates to third-parties just to fill premium cabins on certain routes.
#184
Join Date: Sep 2016
Location: MNL / SFO / NYC
Programs: IHG Spire | Marriott Plat | UA Plat | AA Plat Pro
Posts: 533
I wish CX just offered the same fare price, this was on an I fare that had the same penalties as the one on the CX website.
#185
Join Date: May 2015
Location: EGLL, OMDB, VTBS, VHHH
Posts: 18
For flights to India there is some weird arrangement where CX has "outsourced" their sales to GC Nanda and this has been in place for years. It seems that the arrangement means that CX can't sell discounted fares directly. I don't know why they've done this. Maybe that agent has an agreement to buy a minimum volume or something. So for India flights you are always advised to use an agent.
Anyone knows when will the agreement expire?
#186
FlyerTalk Evangelist
Join Date: Dec 2004
Programs: CX Green, QF Platinum, BAEC Silver, Hyatt Glob
Posts: 10,780
Analysts' grim outlook for Cathay:
Cathay Pacific may report 2016 profit slump amid sluggish fares
http://www.scmp.com/directories/arti...-ticket-prices
Cathay Pacific may report 2016 profit slump amid sluggish fares
http://www.scmp.com/directories/arti...-ticket-prices
#187
Join Date: Jul 2014
Location: SFO/HKG
Programs: ex-UA 1K, AA EXP, Hilton Diamond
Posts: 535
Analysts' grim outlook for Cathay:
Cathay Pacific may report 2016 profit slump amid sluggish fares
http://www.scmp.com/directories/arti...-ticket-prices
Cathay Pacific may report 2016 profit slump amid sluggish fares
http://www.scmp.com/directories/arti...-ticket-prices
They can legitimately gripe if they're talking about yields on connecting traffic, but yet, they want to increase capacity to further reduce yields???
Yes, the airline world has changed with the A350 and 787 which allow the long and thin routes (as well the subsidies to the mainland carriers), but instead of complaining, why don't they try to stop the knee-jerk reactions that ultimately create repeated waves of bad decisions?
#188
Join Date: Dec 2008
Location: Hong Kong
Programs: CX DM
Posts: 1,140
When I was reading through the article, I couldn't help but note the numerous pathetic excuses. For flights booked from HKG, based on what they're charging to HK customers, the passenger yields ($ per mile) are fine and dandy and they should be able to make a decent profit there.
They can legitimately gripe if they're talking about yields on connecting traffic, but yet, they want to increase capacity to further reduce yields???
Yes, the airline world has changed with the A350 and 787 which allow the long and thin routes (as well the subsidies to the mainland carriers), but instead of complaining, why don't they try to stop the knee-jerk reactions that ultimately create repeated waves of bad decisions?
They can legitimately gripe if they're talking about yields on connecting traffic, but yet, they want to increase capacity to further reduce yields???
Yes, the airline world has changed with the A350 and 787 which allow the long and thin routes (as well the subsidies to the mainland carriers), but instead of complaining, why don't they try to stop the knee-jerk reactions that ultimately create repeated waves of bad decisions?
Additionally the combination of inflated ex-HKG pricing and the new MPC status system actively encourages shopping for cheaper one stop J flights versus buying PEY and upgrading. Why pay HK$28k + 30,000 miles for a non-stop CX HKG/LHR J seat and get 110 TP's when QR costs HK$25k and gets 200 TP's?
#189
Join Date: Jul 2015
Location: SYD | HGH
Programs: CX DM, Hyatt Globalist, Hilton DM, Marriott Plat
Posts: 2,121
The issue is they have diluted profitability as the HK market for high paying passengers is saturated. After all how many more investment bankers are there in HK by now? So their capacity expansion is very much catering to transit passengers, which are inherently less profitable.
Additionally the combination of inflated ex-HKG pricing and the new MPC status system actively encourages shopping for cheaper one stop J flights versus buying PEY and upgrading. Why pay HK$28k + 30,000 miles for a non-stop CX HKG/LHR J seat and get 110 TP's when QR costs HK$25k and gets 200 TP's?
Additionally the combination of inflated ex-HKG pricing and the new MPC status system actively encourages shopping for cheaper one stop J flights versus buying PEY and upgrading. Why pay HK$28k + 30,000 miles for a non-stop CX HKG/LHR J seat and get 110 TP's when QR costs HK$25k and gets 200 TP's?
#190
Join Date: Jan 2017
Programs: BA SL, CX GR, IHG Plat Amb
Posts: 580
The issue is they have diluted profitability as the HK market for high paying passengers is saturated. After all how many more investment bankers are there in HK by now? So their capacity expansion is very much catering to transit passengers, which are inherently less profitable.
Additionally the combination of inflated ex-HKG pricing and the new MPC status system actively encourages shopping for cheaper one stop J flights versus buying PEY and upgrading. Why pay HK$28k + 30,000 miles for a non-stop CX HKG/LHR J seat and get 110 TP's when QR costs HK$25k and gets 200 TP's?
Additionally the combination of inflated ex-HKG pricing and the new MPC status system actively encourages shopping for cheaper one stop J flights versus buying PEY and upgrading. Why pay HK$28k + 30,000 miles for a non-stop CX HKG/LHR J seat and get 110 TP's when QR costs HK$25k and gets 200 TP's?
#191
Join Date: Nov 2007
Location: Hong Kong
Programs: CX, UA, Shangri-La, Hyatt, Starwood
Posts: 7,708
I might get flamed for saying this, and it is indeed selfish given my travel patterns, but I'd kill to have DM (or GO or whatnot) be "better" in relation to the basic OW partner benefits (formalize op-up priority for MPCs first, exclusive lounge for F and DMs only, etc.), which would justify DM and GO's significantly harder earn requirements vs most of their OW peers. As of now it's considerably harder to earn DM than most other OWE programs, yet there aren't a slew of tangible benefits.
I give CX credit for adding the mid-tier benefits. For someone like me they're good, because I can easily do 1,800 CP a year. But I imagine for most it's not enough. Take a Diamond who barely hits 1,200 CP. In many scenarios, it would be significantly easier for him to earn OWE via AA, BA or QF (in some cases you can earn partner OWEs in about half or less the $$ spent than on CX). This Diamond stands to receive none of the mid-tier benefits, so they are moot to him. Meanwhile, he runs the risk of not making DM because of how close his travel patterns are. This guy has a big incentive to switch over to another program. Whereas if CX actually made MPC benefits tangibly better than other partners, he might continue to accrue on MPC.
How can CX do this? Basically, they should be utilizing the assets they have - planes, lounges, HK Airport - to offer benefits above and beyond the normal OneWorld benefits, which naturally would pull people towards MPC. It would be an additional carrot you'd have to weigh in your value proposition.
I can give a personal example. I fly an excessive amount. The majority of my flights are on CX/KA, but I still probably do 40-80k+ butt in seat miles a year on other carriers (which usually translates into 75-150k "miles" after accounting for J and F bonuses wand whatnot). When I'm flying those other carriers, I wouldn't mind using the CX lounges in HKG...a nice benefit I previously had as a CX DM. But not anymore. This was definitely a "unique" aspect of MPC I'm talking about, where partners obviously don't get the benefit. CX needs to do a better job capitalizing on its assets IMO to actually make MPC stronger. Every OneWorld member out there knows you can't use OW lounges when flying on other airlines, so obviously partner travelers won't be peeved about this. It was a great way to actually enhance MPC without pi$$ing anyone off. And then...they took it away. I can't imagine it cost much, and I'm fairly certain it's not DMs on *A carriers crowding up the J lounges. CX has this data...I don't think I'm going out on a limb saying that. Most of my non-CX miles are indeed from airports not named Hong Kong. But sometimes (not often) I do.
Anyway, given CX's other problems I'm not optimistic. But the solution seems fairly obvious to me. Offer MPC benefits above and beyond those what simple partner benefits offer.
#192
#193
Join Date: Jan 2017
Programs: BA SL, CX GR, IHG Plat Amb
Posts: 580
Sometimes I feel like it's those Silver members who are the most loyal, as only they have "exclusive" benefits.
#194
Join Date: Jul 2015
Location: SYD | HGH
Programs: CX DM, Hyatt Globalist, Hilton DM, Marriott Plat
Posts: 2,121
yea. I'm not sure they understood this when rejiggering the program.
I might get flamed for saying this, and it is indeed selfish given my travel patterns, but I'd kill to have DM (or GO or whatnot) be "better" in relation to the basic OW partner benefits (formalize op-up priority for MPCs first, exclusive lounge for F and DMs only, etc.), which would justify DM and GO's significantly harder earn requirements vs most of their OW peers. As of now it's considerably harder to earn DM than most other OWE programs, yet there aren't a slew of tangible benefits.
I give CX credit for adding the mid-tier benefits. For someone like me they're good, because I can easily do 1,800 CP a year. But I imagine for most it's not enough. Take a Diamond who barely hits 1,200 CP. In many scenarios, it would be significantly easier for him to earn OWE via AA, BA or QF (in some cases you can earn partner OWEs in about half or less the $$ spent than on CX). This Diamond stands to receive none of the mid-tier benefits, so they are moot to him. Meanwhile, he runs the risk of not making DM because of how close his travel patterns are. This guy has a big incentive to switch over to another program. Whereas if CX actually made MPC benefits tangibly better than other partners, he might continue to accrue on MPC.
How can CX do this? Basically, they should be utilizing the assets they have - planes, lounges, HK Airport - to offer benefits above and beyond the normal OneWorld benefits, which naturally would pull people towards MPC. It would be an additional carrot you'd have to weigh in your value proposition.
I can give a personal example. I fly an excessive amount. The majority of my flights are on CX/KA, but I still probably do 40-80k+ butt in seat miles a year on other carriers (which usually translates into 75-150k "miles" after accounting for J and F bonuses wand whatnot). When I'm flying those other carriers, I wouldn't mind using the CX lounges in HKG...a nice benefit I previously had as a CX DM. But not anymore. This was definitely a "unique" aspect of MPC I'm talking about, where partners obviously don't get the benefit. CX needs to do a better job capitalizing on its assets IMO to actually make MPC stronger. Every OneWorld member out there knows you can't use OW lounges when flying on other airlines, so obviously partner travelers won't be peeved about this. It was a great way to actually enhance MPC without pi$$ing anyone off. And then...they took it away. I can't imagine it cost much, and I'm fairly certain it's not DMs on *A carriers crowding up the J lounges. CX has this data...I don't think I'm going out on a limb saying that. Most of my non-CX miles are indeed from airports not named Hong Kong. But sometimes (not often) I do.
Anyway, given CX's other problems I'm not optimistic. But the solution seems fairly obvious to me. Offer MPC benefits above and beyond those what simple partner benefits offer.
I might get flamed for saying this, and it is indeed selfish given my travel patterns, but I'd kill to have DM (or GO or whatnot) be "better" in relation to the basic OW partner benefits (formalize op-up priority for MPCs first, exclusive lounge for F and DMs only, etc.), which would justify DM and GO's significantly harder earn requirements vs most of their OW peers. As of now it's considerably harder to earn DM than most other OWE programs, yet there aren't a slew of tangible benefits.
I give CX credit for adding the mid-tier benefits. For someone like me they're good, because I can easily do 1,800 CP a year. But I imagine for most it's not enough. Take a Diamond who barely hits 1,200 CP. In many scenarios, it would be significantly easier for him to earn OWE via AA, BA or QF (in some cases you can earn partner OWEs in about half or less the $$ spent than on CX). This Diamond stands to receive none of the mid-tier benefits, so they are moot to him. Meanwhile, he runs the risk of not making DM because of how close his travel patterns are. This guy has a big incentive to switch over to another program. Whereas if CX actually made MPC benefits tangibly better than other partners, he might continue to accrue on MPC.
How can CX do this? Basically, they should be utilizing the assets they have - planes, lounges, HK Airport - to offer benefits above and beyond the normal OneWorld benefits, which naturally would pull people towards MPC. It would be an additional carrot you'd have to weigh in your value proposition.
I can give a personal example. I fly an excessive amount. The majority of my flights are on CX/KA, but I still probably do 40-80k+ butt in seat miles a year on other carriers (which usually translates into 75-150k "miles" after accounting for J and F bonuses wand whatnot). When I'm flying those other carriers, I wouldn't mind using the CX lounges in HKG...a nice benefit I previously had as a CX DM. But not anymore. This was definitely a "unique" aspect of MPC I'm talking about, where partners obviously don't get the benefit. CX needs to do a better job capitalizing on its assets IMO to actually make MPC stronger. Every OneWorld member out there knows you can't use OW lounges when flying on other airlines, so obviously partner travelers won't be peeved about this. It was a great way to actually enhance MPC without pi$$ing anyone off. And then...they took it away. I can't imagine it cost much, and I'm fairly certain it's not DMs on *A carriers crowding up the J lounges. CX has this data...I don't think I'm going out on a limb saying that. Most of my non-CX miles are indeed from airports not named Hong Kong. But sometimes (not often) I do.
Anyway, given CX's other problems I'm not optimistic. But the solution seems fairly obvious to me. Offer MPC benefits above and beyond those what simple partner benefits offer.
I am one of those who barely made DM, 14xx cp last year and I saved about 200 cp for this year. I never intentionally flies other OW J before but since the switch I have taken 14 J flights with QR, MH and QF, mostly long haul. Those OW J flights almost made up 600 cp.
Company only allows travel in Y or I can pay the fare difference for PEY and with the V fare benefit gone, it actually wouldn't make much difference to me if I'm with another program, as long as I'm OWE.
If I would be flying any less, I will switch 100% as GO is a lot worse than OWE even if flying CX exclusively.
#195
Join Date: Jan 2017
Programs: BA SL, CX GR, IHG Plat Amb
Posts: 580
I am one of those who barely made DM, 14xx cp last year and I saved about 200 cp for this year. I never intentionally flies other OW J before but since the switch I have taken 14 J flights with QR, MH and QF, mostly long haul. Those OW J flights almost made up 600 cp.
Company only allows travel in Y or I can pay the fare difference for PEY and with the V fare benefit gone, it actually wouldn't make much difference to me if I'm with another program, as long as I'm OWE.
If I would be flying any less, I will switch 100% as GO is a lot worse than OWE even if flying CX exclusively.
Company only allows travel in Y or I can pay the fare difference for PEY and with the V fare benefit gone, it actually wouldn't make much difference to me if I'm with another program, as long as I'm OWE.
If I would be flying any less, I will switch 100% as GO is a lot worse than OWE even if flying CX exclusively.