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Old Mar 25, 2012, 9:09 pm
  #1141  
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The topic if this thread is pretty important.

There's gotta be some sort of Mod here that can delete the last 30 off topic posts or so of you damn kids fighting.

I almost think this thread should be locked until some new information comes to light. Until then, it's playing ring around the rosie speculating what's going to happen. 30 pages of it.
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Old Mar 25, 2012, 9:09 pm
  #1142  
 
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Originally Posted by pitbulllover
And if you think that there are only 50 or 100 people in the DL market that are more profitable more than a few DMs, then you are just delusional.
And Econ 101 has something to do with my estimating how horrible few people are so wealthy that they nor their PAs sign them up for Skymiles, nor do they hold a Centurion card?

That was a number I pulled out of my rectal database, thinking about the numbers of people who spend as much as the top end of the Medallion ranks on Delta but wouldn't have any status at all. We have to be talking on the order of $50k+/yr, right?

If you care to give a better guesstimate have at it. I think mine is pretty reasonable.
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Old Mar 25, 2012, 9:20 pm
  #1143  
 
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Originally Posted by mother-
And Econ 101 has something to do with my estimating how horrible few people are so wealthy that they nor their PAs sign them up for Skymiles, nor do they hold a Centurion card?

That was a number I pulled out of my rectal database, thinking about the numbers of people who spend as much as the top end of the Medallion ranks on Delta but wouldn't have any status at all. We have to be talking on the order of $50k+/yr, right?

If you care to give a better guesstimate have at it. I think mine is pretty reasonable.
I've spent $16,800 on Delta year-to-date since my Jan opening statement. That could be of no direct-profit to Delta depending on the fares/markets/, etc. that I bought. Who knows? There are DMs who spend much less than that in a year. It is not about necessarily the $ spent but more about what profit an airline gets from particular tickets. Just like GS on UA - you can spend $50K in a year - but if it is not on high-profit tickets, then it does not make a difference - you will not qualify for GS. It's about what fare/how profitable you are.
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Old Mar 25, 2012, 9:24 pm
  #1144  
 
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Originally Posted by DLPhoenix
Originally Posted by vasantn
ultra-HVCs simply don't exit in large enough numbers in the US market.
Two more obstacles that stand in DLs was to bring in more UHVCs (assuming they create a FF tier for UHVCs):
  1. 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
  2. Most UHVCs care about schedule more than anything else. They tend to be much less loyal.
Touché

We have a few of their hvc on this forum too. The 6 digit spenders.

One is for and one is against. The verdict is still undecided.

Originally Posted by pitbulllover

And that is based on VOLUME not PROFIT. You get a status, but again all airlines are starting to evaluate the connection to status to profit. The Concierge Key is more moved toward as profitable customer as opposed to volume. It is NOT based on volume alone.
DL's model is profit based on volume, if not, why did they do away with first class internationally?

They also need to ensure profit by ensuring they sell enough bread and baloney. It is a package deal. I am sure they miss some hvc whom have already left.
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Old Mar 25, 2012, 9:31 pm
  #1145  
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Originally Posted by DHalltheway
Touché

We have a few of their hvc on this forum too. The 6 digit spenders.

One is for and one is against. The verdict is still undecided.



DL's model is profit based on volume, if not, why did they do away with first class internationally?

They also need to ensure profit by ensuring they sell enough bread and baloney. It is a package deal. I am sure they miss some hvc whom have already left.
Depends how DL F fared against the competition.
I don't think that it would have been able to compete with BA, CX, OZ, KE, SQ, LH, QF F class.
(I flew on a DL J ticket once ATL-LON in BE in exchange for BA J using AA miles. The other party paid BA YQ, and they said that AA J wasn't worth the YQ savings)
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Old Mar 25, 2012, 9:40 pm
  #1146  
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Originally Posted by DHalltheway
Touché

We have a few of their hvc on this forum too. The 6 digit spenders.

One is for and one is against. The verdict is still undecided.



DL's model is profit based on volume, if not, why did they do away with first class internationally?

They also need to ensure profit by ensuring they sell enough bread and baloney. It is a package deal. I am sure they miss some hvc whom have already left.
As a purely business flyer who spends north of 100K annually, Delta offers what flyers like me need most, Reliable comfortable travel from point to point, and the ability to get me where I need to be when things go sideways. Second to that is hassle free travel and customer service. Delta does both better than any other domestic airline. I can choose any airline I wish, and do keep status on UA.

I fly paid last minute business 99% international so many of the perks that are causing the handwringing in this thread are meaningless to flyers like me, which are the HVC's Delta is after and the rest of you are going to fall in line behind. If there's any truth to this thread, Delta is going after the high margin traveler and is more than happy to let the LUT fare, mileage runners,and double mqm flyers make a hard choice. The seats are going to fill with or without you. Flyers that are BIS 125k minimum flyers are going to do well under the new supposed program, and if a bunch of you leave, all the better.

There airlines are sick, and have been for years. It looks like Delta is done playing the zero sum game with the other airlines and is going a new route.
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Old Mar 25, 2012, 9:43 pm
  #1147  
 
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Originally Posted by tkey75
The topic if this thread is pretty important.

There's gotta be some sort of Mod here that can delete the last 30 off topic posts or so of you damn kids fighting.

I almost think this thread should be locked until some new information comes to light. Until then, it's playing ring around the rosie speculating what's going to happen. 30 pages of it.
I agree about the importance of this thread and that the discussion should stay on topic, but disagree that it should be locked.

I know for a fact that there is media interest in this rumor, and if so Delta may be pushed to respond in the near future. It would be nice to have a place to discuss any confirmation or repudiation that Delta provides.
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Old Mar 25, 2012, 9:58 pm
  #1148  
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Originally Posted by dcline414
I agree about the importance of this thread and that the discussion should stay on topic, but disagree that it should be locked.

I know for a fact that there is media interest in this rumor, and if so Delta may be pushed to respond in the near future. It would be nice to have a place to discuss any confirmation or repudiation that Delta provides.
When DL does say something then the thread could be unlocked.
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Old Mar 25, 2012, 10:07 pm
  #1149  
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Originally Posted by dcline414
I know for a fact that there is media interest in this rumor, and if so Delta may be pushed to respond in the near future. .
Link?
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Old Mar 25, 2012, 10:16 pm
  #1150  
 
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Originally Posted by Deadtail
Originally Posted by dcline414
I know for a fact that there is media interest in this rumor, and if so Delta may be pushed to respond in the near future. .
Link?
Multiple email correspondences with local affiliates this afternoon.

Sorry... No link until they publish the story
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Old Mar 25, 2012, 10:19 pm
  #1151  
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Originally Posted by Deadtail
If there's any truth to this thread, Delta is going after the high margin traveler and is more than happy to let the LUT fare, mileage runners,and double mqm flyers make a hard choice. The seats are going to fill with or without you.
Another example of a lack of understanding of basic economics. No, the seats are not going to fill without LUT fares, mileage runners and double MQM flyers. Were it that easy, DL would never need to offer cheap fares or promotions. But perhaps they are dumber than some of the self-identified HVC contributors to this thread.

BTW, I'll bet dollars to doughnuts that when people here brag about their 6-figure annual spends, most of them are either (1) spending OPM, (2) including what they spend for their families and employees, or (3) making stuff up.
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Old Mar 25, 2012, 10:19 pm
  #1152  
 
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Originally Posted by Deadtail
The seats are going to fill with or without you.
I largely agree with what you wrote, until we get to this line.

The thing is that the reality of the situation is exactly the opposite- the seats will fill with or without you, they will not fill without all of us. That means they will have to keep reducing gauge, frequency, and routes.

Won't that eventually force even you to seek another option?

(Not to mention the shareholders will revolt if Delta continues shrinking while other airlines are growing...)
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Old Mar 25, 2012, 10:21 pm
  #1153  
 
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FWIW - there is no news, or even rumors on the 'home front'.
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Old Mar 25, 2012, 10:23 pm
  #1154  
 
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I just got off two AF flights and my opinion is that Delta J > AF J
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Old Mar 25, 2012, 10:35 pm
  #1155  
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Originally Posted by vasantn
Another example of a lack of understanding of basic economics. No, the seats are not going to fill without LUT fares, mileage runners and double MQM flyers. Were it that easy, DL would never need to offer cheap fares or promotions. But perhaps they are dumber than some of the self-identified HVC contributors to this thread.

BTW, I'll bet dollars to doughnuts that when people here brag about their 6-figure annual spends, most of them are either (1) spending OPM, (2) including what they spend for their families and employees, or (3) making stuff up.
I think the real tragedy here is a lack of comprehending what we're reading. The seats will fill because of LUT fares. It's simply that the LUT fare buyers aren't going to be valued the same as the higher fare purchasers. Mileage runners and double MQM flyers are rounding errors in Deltas financials.

I wasn't bragging about anything. My annual spend shouldn't bring up feelings of inadequacies in anyone. I'm sorry if it upset you.

If it matters, like most people here, my tickets are for business travel and not out of my own pocket. I don't remember the last time I spent my money on a plane ticket. I don't know why that matters or how it is pertinent to the discussion.
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