Skymiles Change Rumor?
#1831
FlyerTalk Evangelist
Join Date: Jun 2008
Programs: Formaldehyde Medallion DL DieMiles
Posts: 12,646
I will repeat myself. You are 100% correct BUT
There is what is legal
and what is moral
Skymiles by definition reward Frequent Fliers. Any company who treats its ""better"" customers like that in the long run (I dont know 1 year, 5 years, 10 years) will not be successful. IMHO
There is what is legal
and what is moral
Skymiles by definition reward Frequent Fliers. Any company who treats its ""better"" customers like that in the long run (I dont know 1 year, 5 years, 10 years) will not be successful. IMHO
Yes, DL management reserves the right to change SkyMiles any time they want... but, I still feel they would be placing themselves on thin ice by aggressively marketing a commodity (i.e., miles) if they have been planning to willfully devalue that commodity for a considerable period of time prior to marketing it.
My advice to anyone... buy a few miles so you can claim legitimate membership in the plaintiff class... then, bide your time.
GRALISTAIR... you make a very good and valid point. That is one good example of why, in some companies, the term "corporate ethics" has become an oxymoron.
#1832
FlyerTalk Evangelist
Join Date: Jun 2008
Programs: Formaldehyde Medallion DL DieMiles
Posts: 12,646
...
But I still suspect that Delta could face enough of a battle (read legal fees) that they would rather settle. Whether they fight a class-action or other lawsuits or settle, they incur a cost. They have to balance this with the cost of implementing changes and the resulting savings.
And somewhere in that mix, though difficult to quantify, is the potential impact on lifetime customer value and loyalty retention...
But I still suspect that Delta could face enough of a battle (read legal fees) that they would rather settle. Whether they fight a class-action or other lawsuits or settle, they incur a cost. They have to balance this with the cost of implementing changes and the resulting savings.
And somewhere in that mix, though difficult to quantify, is the potential impact on lifetime customer value and loyalty retention...
I do provide expert witness support, but always on the side of the defendant.
So, I am not a particularly litigious person.
But, this is one situation where I would be glad to deposit my $2.87 settlement check and watch a few ambitious lawyers walk away with their $10 MM in legal fees.
Airline Contracts of Carriage are, in my non-lawyer opinion, contracts of adhesion. And, it is past time for them to be invalidated.
#1833
Join Date: Aug 2011
Location: ATL
Programs: Delta GM, Marriott Platinum, Hertz 5*
Posts: 2,530
I have never sued anyone. I have been sued in my role of an elected official on a public body.
I do provide expert witness support, but always on the side of the defendant.
So, I am not a particularly litigious person.
But, this is one situation where I would be glad to deposit my $2.87 settlement check and watch a few ambitious lawyers walk away with their $10 MM in legal fees.
Airline Contracts of Carriage are, in my non-lawyer opinion, contracts of adhesion. And, it is past time for them to be invalidated.
I do provide expert witness support, but always on the side of the defendant.
So, I am not a particularly litigious person.
But, this is one situation where I would be glad to deposit my $2.87 settlement check and watch a few ambitious lawyers walk away with their $10 MM in legal fees.
Airline Contracts of Carriage are, in my non-lawyer opinion, contracts of adhesion. And, it is past time for them to be invalidated.
It does make some sense that they are so heavily favoring to the airlines. Wouldn't we risk losing service and face more fees if the airlines were forced to bear more risk? They already face sales of a perishable inventory while dealing with acts of God (weather) and a great deal of uncertainty within a highly regulated industry with fierce intra-industry competition.
Somehow I feel like any push back on the COC would result in bad things for the general public.
#1834
Join Date: Nov 2008
Location: Enn Why Cee
Programs: DL, CO, LH, BA etc...
Posts: 1,570
Last edited by goodandclassy; Apr 9, 2012 at 7:17 pm
#1835
In memoriam, FlyerTalk Evangelist
Join Date: May 2005
Location: PIT
Programs: DM life is over 2MM PM now & NW MillionAir Wyndham Rewards Plat -Hotels.com Silver -Accor Silver
Posts: 15,408
#1836
Join Date: Nov 2008
Location: Enn Why Cee
Programs: DL, CO, LH, BA etc...
Posts: 1,570
the skypoints have a better ring to them..
rewards... sounds like cash back, if you know what i mean /
rewards... sounds like cash back, if you know what i mean /
#1837
A FlyerTalk Posting Legend
Join Date: Sep 2009
Location: Minneapolis: DL DM charter 2.3MM
Programs: A3*Gold, SPG Plat, HyattDiamond, MarriottPP, LHW exAccess, ICI, Raffles Amb, NW PE MM, TWA Gold MM
Posts: 100,417
#1838
FlyerTalk Evangelist
Join Date: Apr 2009
Location: Bye Delta
Programs: AA EXP, HH Diamond, IHG Plat, Hyatt Plat, Marriott Plat, Nat'l Exec Elite, Avis Presidents Club
Posts: 16,277
#1839
Join Date: Jul 2011
Location: ATL
Programs: Delta DM, 4MM, SC, AmEx Reserve, UA Plat, SPG/Marriott Platinum, Hertz Gold
Posts: 2,383
Unfortunately, we live in a litigious society where anyone can sue anyone for anything at anytime. I'm sure some sue-happy lawyer out there would take a shot at DL over major major changes to the program, but in the end, other than some bad press, DL would prevail because of the clarity of the program rules which allow those changes at anytime and without prior notice.
#1840
Moderator: Southwest Airlines, Capital One
Join Date: Sep 1999
Location: California
Programs: WN Companion Pass, A-list preferred, Hyatt Globalist; United Club Lietime (sic) Member
Posts: 21,625
I wouldn't, because I know that customers end up paying for all costs, including litigation. Class action suits are horribly wasteful, typically benefiting lawyers much more than the ostensible plaintiffs.
#1841
Join Date: Jun 2004
Location: ATL
Programs: Delta PlM, 1M
Posts: 6,365
I will repeat myself. You are 100% correct BUT
There is what is legal
and what is moral
Skymiles by definition reward Frequent Fliers. Any company who treats its ""better"" customers like that in the long run (I dont know 1 year, 5 years, 10 years) will not be successful. IMHO
There is what is legal
and what is moral
Skymiles by definition reward Frequent Fliers. Any company who treats its ""better"" customers like that in the long run (I dont know 1 year, 5 years, 10 years) will not be successful. IMHO
It is so funny to read this thread and see everybody duck and bob on this issue.
Really, it reads like coupon clippers getting pissed off that Krogers started giving discounts only on high margin name items that people overpay for.
A "better" customer is one who brings in more margin. Anybody who thinks otherwise is living in a dream.
#1842
FlyerTalk Evangelist
Join Date: Jun 2008
Programs: Formaldehyde Medallion DL DieMiles
Posts: 12,646
Just to play devil's advocate, what would replace COCs? As heavily slanted in favor of the airlines as they are, I can only imagine that anything replacing them would be more cumbersome, more difficult to enforce, and (though perhaps more fair) still somehow slanted in favor of the airlines.
It does make some sense that they are so heavily favoring to the airlines. Wouldn't we risk losing service and face more fees if the airlines were forced to bear more risk? They already face sales of a perishable inventory while dealing with acts of God (weather) and a great deal of uncertainty within a highly regulated industry with fierce intra-industry competition.
Somehow I feel like any push back on the COC would result in bad things for the general public.
It does make some sense that they are so heavily favoring to the airlines. Wouldn't we risk losing service and face more fees if the airlines were forced to bear more risk? They already face sales of a perishable inventory while dealing with acts of God (weather) and a great deal of uncertainty within a highly regulated industry with fierce intra-industry competition.
Somehow I feel like any push back on the COC would result in bad things for the general public.
But, I do feel that there is ample opportunity to make the COCs so that they more equitably balance the interests of the passenger and the airline.
Right now the airlines, in effect, can say "Don't like our COC? Fly another airline. Of course, their COC is pretty much like ours. There is always Greyhound."
There is a palpable inequity when one side can dictate all the terms and the other side has no option but to accept them.
#1843
Join Date: Jul 2011
Location: ATL
Programs: Delta DM, 4MM, SC, AmEx Reserve, UA Plat, SPG/Marriott Platinum, Hertz Gold
Posts: 2,383
As for me, got the e-mail from UA today that my status match request has been accepted. Booking my first UA flight for next week, LAX-ORD. Time to see how green the grass is on the other side!
#1844
Join Date: Jul 2011
Location: Southern California
Programs: DL DM, EY Plat, MM Senator
Posts: 493
No question that a 'better' customer is one who brings in more margin. However, the issue is that there are a finite number of these 'better' customers and it's a relative term. In a perfect world, DL and any other airline wants the pax who pays for full Y or J every time they fly and who flies DM-level mileage. The reality, is that there are very few of those people out there (and no I can't quantitate that but I've heard it said so many times at DL investor days that I believe it). Instead, the airlines MUST target the frequent traveller who is willing to display loyalty and then make their margin off of quantity of travel. Many of those passionately arguing their cause in this thread are the DL loyal who fly tons of miles each year. In the past, at investor days, this is the customer that DL expressly stated they wanted and whom they were attempting to reach. Sure, some bring in more margin than others and by that relative terminology are 'better' customers. However, when you start messing with the lifeblood of airline loyalty, i.e. FF programs, the loyal start evaluating what other options might be viable and this then may dilute the quantity that any individual airline needs to make a good margin off that flyer. This is what we are hearing in this thread over and over again.
As for me, got the e-mail from UA today that my status match request has been accepted. Booking my first UA flight for next week, LAX-ORD. Time to see how green the grass is on the other side!
As for me, got the e-mail from UA today that my status match request has been accepted. Booking my first UA flight for next week, LAX-ORD. Time to see how green the grass is on the other side!
#1845
A FlyerTalk Posting Legend
Join Date: Sep 2009
Location: Minneapolis: DL DM charter 2.3MM
Programs: A3*Gold, SPG Plat, HyattDiamond, MarriottPP, LHW exAccess, ICI, Raffles Amb, NW PE MM, TWA Gold MM
Posts: 100,417
No question that a 'better' customer is one who brings in more margin. However, the issue is that there are a finite number of these 'better' customers and it's a relative term. In a perfect world, DL and any other airline wants the pax who pays for full Y or J every time they fly and who flies DM-level mileage. The reality, is that there are very few of those people out there (and no I can't quantitate that but I've heard it said so many times at DL investor days that I believe it). Instead, the airlines MUST target the frequent traveller who is willing to display loyalty and then make their margin off of quantity of travel. Many of those passionately arguing their cause in this thread are the DL loyal who fly tons of miles each year. In the past, at investor days, this is the customer that DL expressly stated they wanted and whom they were attempting to reach. Sure, some bring in more margin than others and by that relative terminology are 'better' customers. However, when you start messing with the lifeblood of airline loyalty, i.e. FF programs, the loyal start evaluating what other options might be viable and this then may dilute the quantity that any individual airline needs to make a good margin off that flyer. This is what we are hearing in this thread over and over again.
As for me, got the e-mail from UA today that my status match request has been accepted. Booking my first UA flight for next week, LAX-ORD. Time to see how green the grass is on the other side!
As for me, got the e-mail from UA today that my status match request has been accepted. Booking my first UA flight for next week, LAX-ORD. Time to see how green the grass is on the other side!