Skymiles Change Rumor?
Mar 25, 2012, 8:35 pm
#1126
Join Date: May 2008
Location: Up in the Air
Programs: DL MM; UA MM/1K
Posts: 613
Two more obstacles that stand in DLs was to bring in more UHVCs (assuming they create a FF tier for UHVCs):
- Over the years DL decided to eliminate almost any incentives that could entice such a customer:
- Your company pays J, we will give you the occasional upgrade to F -> Gone.
- You could use your miles to fly F when you are on vacation -> Gone.
- We have superior international product -> Almost Gone (TATL BE on 764/763T beats LH, AF and AA).
- We have a superior transcontinental product -> Never had one
- Most UHVCs care about schedule more than anything else. They tend to be much less loyal.
Mar 25, 2012, 8:36 pm
#1127
Suspended
Join Date: Aug 2008
Location: SE US
Programs: Duke of Bombay, Delta Ham Sandwich tm, Delta's Glitch
Posts: 4,201
Your premise is incorrect... I spent a bunch of money on Airplane tickets on Delta's Big Jets over 10 years ago and even though I did not fly as many miles or segments as other people, Delta recgonized I was an asset and an HVC and offered me status accordingly. The industry has changed, but they always have made an effort to reward HVCs. What may be changing is HOW they reward them...
Mar 25, 2012, 8:42 pm
#1128
Join Date: Mar 2009
Programs: Delta DM, American GLD, Marriott Gold, Hilton Gold
Posts: 177
Your premise is incorrect... I spent a bunch of money on Airplane tickets on Delta's Big Jets over 10 years ago and even though I did not fly as many miles or segments as other people, Delta recgonized I was an asset and an HVC and offered me status accordingly. The industry has changed, but they always have made an effort to reward HVCs. What may be changing is HOW they reward them...
What is changing is HOW they define them (HVC). I was pretty clear in that message. That was then, but that definition, the industry and the rewards are changing, and not just in airlines.
Mar 25, 2012, 8:48 pm
#1129
Join Date: Nov 2010
Location: BDL/HPN/JFK/FLL
Programs: DL Diamond Ham Sandwich
Posts: 1,051
So you claim to be this big business magnate. I've avoid boasting about my qualifications because I'd prefer my words to be able to speak for themselves without making sure people KWIA.
Part of that, I'll be blunt, is because I'm nobody. But I'm a nobody that at one time studied under a preeminent scholar in IO. So bad luck for you that you tried to throw economics in my face.
If you want to debate market definition, market segmentation, pricing power, cartels, cost structures, etc. as they relate to a high fixed cost, capital intensive, formerly regulated, oligarchic industry- let's do it.
But you're going to have to do a heck of a lot better than "Wrong. Go to skewl."
Part of that, I'll be blunt, is because I'm nobody. But I'm a nobody that at one time studied under a preeminent scholar in IO. So bad luck for you that you tried to throw economics in my face.
If you want to debate market definition, market segmentation, pricing power, cartels, cost structures, etc. as they relate to a high fixed cost, capital intensive, formerly regulated, oligarchic industry- let's do it.
But you're going to have to do a heck of a lot better than "Wrong. Go to skewl."
Mar 25, 2012, 8:50 pm
#1130
Join Date: May 2008
Location: Up in the Air
Programs: DL MM; UA MM/1K
Posts: 613
There will always be a market for Walmarts, a market for Nordstroms and a market for Sacks.
A Sacks customer will not start shopping at Walmart just because they start bringing premium products and raise their prices, but the original Walmart customers will move to Target.
No business wants the customers that game the system, alienating the road warriors that purchase a lot of last minute coach tickets may be worse.
Happy Travels
DLP
Mar 25, 2012, 8:51 pm
#1131
Join Date: Nov 2010
Location: BDL/HPN/JFK/FLL
Programs: DL Diamond Ham Sandwich
Posts: 1,051
Mar 25, 2012, 8:55 pm
#1132
Suspended
Join Date: Aug 2008
Location: SE US
Programs: Duke of Bombay, Delta Ham Sandwich tm, Delta's Glitch
Posts: 4,201
It's like I'm playin' cards with my sister's kids here...
Mar 25, 2012, 8:56 pm
#1133
Join Date: Mar 2011
Location: HSV
Programs: HHonors Gold, SPG Gold
Posts: 880
Mar 25, 2012, 8:56 pm
#1134
Join Date: Mar 2009
Programs: Delta DM, American GLD, Marriott Gold, Hilton Gold
Posts: 177
Mar 25, 2012, 8:58 pm
#1135
Suspended
Join Date: Aug 2008
Location: SE US
Programs: Duke of Bombay, Delta Ham Sandwich tm, Delta's Glitch
Posts: 4,201
Mar 25, 2012, 8:59 pm
#1136
Join Date: Mar 2009
Programs: Delta DM, American GLD, Marriott Gold, Hilton Gold
Posts: 177
Mar 25, 2012, 9:00 pm
#1137
Join Date: Mar 2009
Programs: Delta DM, American GLD, Marriott Gold, Hilton Gold
Posts: 177
Mar 25, 2012, 9:01 pm
#1138
FlyerTalk Evangelist
Join Date: Jan 2001
Location: NYC
Programs: AA EXP / LT PLT / 3MM, Marriott LT Gold
Posts: 35,397
You stick to Econ 101 and I'll stick to things I actually know about.
Mar 25, 2012, 9:03 pm
#1139
Join Date: Mar 2009
Programs: Delta DM, American GLD, Marriott Gold, Hilton Gold
Posts: 177
Thanks. I actually run a business that is very similar to the airline business, except that we actually make money. We sell a product for which some people pay 6 times as much as others, depending on timing, flexibility and availability. I love my so-called low-value customers, without whom I would have no business. OTOH, I could easily survive the loss of my far fewer HVCs.
You stick to Econ 101 and I'll stick to things I actually know about.
You stick to Econ 101 and I'll stick to things I actually know about.
Mar 25, 2012, 9:07 pm
#1140
Join Date: Jul 2010
Location: MKE
Programs: DL-MM-Diamond HH-Diamond
Posts: 3,218
Interesting thought:?
In most businesses your best customers pay the lowest rate, in the world of Delta they want their best customers to pay the highest rate even though it's available for sale at time of purchase.
In most businesses your best customers pay the lowest rate, in the world of Delta they want their best customers to pay the highest rate even though it's available for sale at time of purchase.