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-   Delta Air Lines | SkyMiles (https://www.flyertalk.com/forum/delta-air-lines-skymiles-665/)
-   -   First Class Monetization, or FCM: The Definitive Thread (https://www.flyertalk.com/forum/delta-air-lines-skymiles/1230437-first-class-monetization-fcm-definitive-thread.html)

HealthyAcademic Mar 14, 2012 5:11 pm


Originally Posted by batdude (Post 18201757)
this is one of the things about FT that really upsets me.


Not everyone here is a millionaire/lawyer/doctor.

most of us are just middle-class white/blue collar worker bees who happen to travel extensively for work.

We don't have the means/ability to "buy" first class tix for our biz travel. As a contractor to the gov, if i bought a first class ticket to support the customer, there would be HELL TO PAY. Most likely, I would be paying that difference out of pocket once the gov auditors saw the ticket.


So please, keep the "just buy a first class ticket" crap to yourself. If I had my druthers, I'd be on a chartered G5, not a busted old 757.


Now that you have kicked the hornets nest, I'll go even further.

I jump through hoops to fly delta.

Why?

Because for the most part, they have treated me right over the years.

What I'm pointing out with this post is that FCM is starting to affect high mile flyers, like myself (sorry, only on a sLUT fare..) and will make us start questioning our continued loyalty to the airline.


that's all.


doug


Exactly!

Those of you arguing profits are saying the $50 (or in some cases a loss) for the FCM > Loyal customers who won't leave you for the next cheap flight.

pbarnette Mar 14, 2012 5:11 pm


Originally Posted by batdude (Post 18201757)
this is one of the things about FT that really upsets me.


Not everyone here is a millionaire/lawyer/doctor.

most of us are just middle-class white/blue collar worker bees who happen to travel extensively for work.

We don't have the means/ability to "buy" first class tix for our biz travel. As a contractor to the gov, if i bought a first class ticket to support the customer, there would be HELL TO PAY. Most likely, I would be paying that difference out of pocket once the gov auditors saw the ticket.


So please, keep the "just buy a first class ticket" crap to yourself. If I had my druthers, I'd be on a chartered G5, not a busted old 757.


Now that you have kicked the hornets nest, I'll go even further.

I jump through hoops to fly delta.

Why?

Because for the most part, they have treated me right over the years.

What I'm pointing out with this post is that FCM is starting to affect high mile flyers, like myself (sorry, only on a sLUT fare..) and will make us start questioning our continued loyalty to the airline.


that's all.


doug

And keep the whining to yourself.

The Maserati dealership doesn't care that I can't actually pay for their product, but DL is different? Why? What benefit does DL get from you jumping through hoops to buy a ticket that they would have sold to someone else? It makes no sense.

Your complaint is that DL is selling F at a market clearing price and that this is preventing you from getting an upgrade on a coach ticket. Am I the only one that sees how absurd that is? Seriously?

BusTrav8yrs Mar 14, 2012 5:15 pm


Originally Posted by GYEWorldTraveler (Post 18201672)
So the person who pays $715 one-way doesn't deserve an F seat?

I'm guessing that you will get the UG but how do you really complain that someone paying that amount ($715ow/$1430rt) doesn't deserve an F seat over you or any other elite presumably paying far less than that? I agree holding 16 seats back is quite excessive but for a monday flight I'm sure there will be some F tickets sold close in and a number of DMs flying the route

The price quoted is round trip not each way. The words "total price" was a hint.

azeckel Mar 14, 2012 5:15 pm

+1 for the OP. I also jump through hoops to fly DL even when it's less convenient because the primary benefit of the program was the ability to sit up front *most* of the time. This week on a K fare it's looking like this DM will miss upgrades on the MSP-LAX on Monday as well as the LAX-MEM on Thursday. I should have just flown AA and gotten home an hour earlier. The view is pretty much the same from the back, status or not.

javabytes Mar 14, 2012 5:21 pm


Originally Posted by pbarnette (Post 18201799)
I don't understand why it is so hard to understand. Chasing "loyalty" in a commodity business has led to 20+ years of losses. Sounds like a losing strategy.

Correlation != causation. Sure it wasn't other things, like poor capacity and route planning and flying planes half empty? Airlines have learned to operate on a much leaner basis over the last couple of years, and the results have been good for them. As much as I hate crowded overhead bins and someone in the middle seat next to me elbowing me while I try to sleep, full planes are good for everyone. I wouldn't be so quick to attribute profitability to selling FC buy-ups for $50 a pop.

MSPDeltaDude Mar 14, 2012 5:21 pm


Originally Posted by Thomas Hudson (Post 18201739)
I don't understand why it is so hard to understand. Delta has used FC upgrades as an elite customer rentention tool. Just as they have used priority boarding and Crown accesss. Now, they have made it easy for anyone to get this access. It diminishes the value of the program. Griping is valid as Delta has changed the game.

BOOM! Dead ON!!!!!!

batdude Mar 14, 2012 5:23 pm


Originally Posted by pbarnette (Post 18201832)
And keep the whining to yourself.

The Maserati dealership doesn't care that I can't actually pay for their product, but DL is different? Why?


uh, because i don't HAVE to drive a maserati...?

I do *HAVE* to travel for my job, however. So - my reasoning here is that I pick the airline who (blah free bags blah systemwides blah upgrades blah blah)



What benefit does DL get from you jumping through hoops to buy a ticket that they would have sold to someone else? It makes no sense.

Uh, they get continued biz from me? I think the term is LOYALTY. (??) Makes sense to me (?)



Your complaint is that DL is selling F at a market clearing price and that this is preventing you from getting an upgrade on a coach ticket. Am I the only one that sees how absurd that is? Seriously?
This is not my complaint - I would never consider a domestic P ticket at over $700 "market clearing".

My complaint is that at the 5 day window, there are 16 of 16 first class seats available on a flight. Meaning, simply, that V=0 (probably until at least the 3 day or even 1/0 day windows).

SamuelS Mar 14, 2012 5:25 pm

I'm quite ok with "discounted" F being only slightly higher than the highest tier Y fares.

I'm not ok with DL selling paid upgrades for $50 at OLCI or at the gate to any Tom, Dick or Kettle whom paid $350 r/t for their flight from XXX-MCO while I sit on the upgrade list and my elite upgrade then disappears into the sunset.

Fortunately, while there are reports over at CO-UA of these OLCI upgrades being offered to non-status flyers while X number of Elites sit on the upgrade list - and X representing a greater number than the number of F seats available, DL AFAIK has not gone down this road thank goodness.

So for now, I'll be happy with my SkyPriority bennies, HOOU coupons and my relatively comfortable exit row seat... and see the F upgrade as a nice bonus.

Edit to add: Where I DO see an injustice on the upgrades is in the case TH posted recently where one is on full Y fare - and folks are able to buy into F at a lower rate than the Y ticket and as a DM he gets the shaft. That, I do think is messed up.

FlytheTail Mar 14, 2012 5:25 pm

The comparison is an M fare, which we all know is usually very expensive. In this case, I have no problem whatsoever with a small increase from M fare to P. If it was a small increase from a KLUT fare, then I'd have a problem.

OP, if you were interested in this flight, why not buy up to P? You'd not only get the confirmed FC seat, but you'd get your pick of seats.

For international flights, it's not uncommon for heavily discounted biz seats to be less than an M+ coach fare. This really isn't any different. I don't often agree with pbarnette, but I certainly do on this one.

Thomas Hudson Mar 14, 2012 5:40 pm


Originally Posted by pbarnette (Post 18201799)
I don't understand why it is so hard to understand. Chasing "loyalty" in a commodity business has led to 20+ years of losses. Sounds like a losing strategy.

I don't understand why it is so hard to understand the logic in selling products to those that, you know, pay more for that product. Does the gas station give discounts to the Hummer owner? By the "logic" of many on this board, they should.

Seriously, if DL needs validation for the strategy to ignore "loyalty", this board provides it. An endless parade of folks looking for something for nothing and objecting to any attempt to leverage any sort of premium pricing from elites. The lack of self-awareness provides entertainment value to those that understand economics, too...

Yet you do understand that Delta has a FF programme that chases loyalty. At least on the face. I think you also understand that biz travelers who fly on high fares are not a commodity. By taking away any reason to stay loyal, the airlines will turn the themselves into more of a commodity as price and schedule will be the primary factor for ex Diamonds instead of when does Delta go there? I think the fatal flaw in your logic is that all Diamonds and Plats chase the lowest fares on all airlines now. They don't.... but it may one day come to that and then it will be all about price...

The other flaw is that you assume people will fly no matter what. That is not the case.

k2 Mar 14, 2012 5:43 pm


Originally Posted by pbarnette (Post 18201799)
I don't understand why it is so hard to understand. Chasing "loyalty" in a commodity business has led to 20+ years of losses. Sounds like a losing strategy.

I don't understand why it is so hard to understand the logic in selling products to those that, you know, pay more for that product. Does the gas station give discounts to the Hummer owner? By the "logic" of many on this board, they should.

Seriously, if DL needs validation for the strategy to ignore "loyalty", this board provides it. An endless parade of folks looking for something for nothing and objecting to any attempt to leverage any sort of premium pricing from elites. The lack of self-awareness provides entertainment value to those that understand economics, too...

I think it's perfectly natural in a community like FT. I understand why DL is doing this, but to be surprised to hear complaints from a community that is interested in maximizing perks... is, well, surprising.

Anyone know if DL is also turning the screws on corporate contracts? Elite programs are basically volume-discount schemes (perks are effectively a discount), by that logic DL should also be going after its 'loyal' corporate customers.

GYEWorldTraveler Mar 14, 2012 5:46 pm


Originally Posted by BusTrav8yrs (Post 18201856)
The price quoted is round trip not each way. The words "total price" was a hint.

ummmmm....no it is one way. The "One Way Flights" in the results screen should be a a dead giveaway. But if you don't believe me go to delta.com and search for a one-way MSP-PDX on 3/19 and see what you come up with. A $715 one-way ticket price in F seems pretty high and quite a poor example of FCM. The OPs example is more of an example of how high last minute ticket prices are.

Had the OP had a $300 one-way fare and a $50 buy up to F, that would have made a much stronger case. Probably could find some of those in MSP-PHX or MSP-LAS markets. I'm just failing to understand why anybody would be upset if a $1400rt passenger is sitting up front when you pay sLUT fares $300-500rt. If someone is willing to pay triple I think they damn well deserve a better seat and first pickings at it. The days of paying Kia prices and getting a Mercedes are over. It wasn't a sustainable business model for the airlines but they had to do it to stay in business during the recession.

GYEWorldTraveler Mar 14, 2012 5:50 pm


Originally Posted by batdude (Post 18201909)

My complaint is that at the 5 day window, there are 16 of 16 first class seats available on a flight. Meaning, simply, that V=0 (probably until at least the 3 day or even 1/0 day windows).

This is the only point I can sympathize with you on. Why 6-8 seats or so can't be released for UGs at this point is interesting. But I guess DL wants the highest paying, highest status flyers in its premium seats. That means that DMs buying tickets that cost more and booking closer in now get rewarded....in the past it was a huge flaw in the UG system. DL would clear the T fare DMs and PMs 6 days in advance and then DMs and PMs buying last minute tickets would sit in Y because they had filled the cabin with UGs. Over a year ago they were too generous with UGs, now they are too tight....would be great if they could find a happy medium!

striker008 Mar 14, 2012 5:51 pm

I am glad people buy first class tickets...
 
Otherwise Delta may start looking like this...

http://www.amoderndad.com/wp-content...ines_Cabin.jpg

GYEWorldTraveler Mar 14, 2012 5:54 pm


Originally Posted by striker008 (Post 18202068)
Otherwise Delta may start looking like this...

http://www.amoderndad.com/wp-content...ines_Cabin.jpg

That is what has scared me.....much of Europe looks like that and if people don't pay for F, the US probably will look similar.


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