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-   Delta Air Lines | SkyMiles (https://www.flyertalk.com/forum/delta-air-lines-skymiles-665/)
-   -   Skymiles rules changes for 2013 are here (at delta.com updates, details inside) (https://www.flyertalk.com/forum/delta-air-lines-skymiles/1428458-skymiles-rules-changes-2013-here-delta-com-updates-details-inside.html)

cougartoo Jan 16, 2013 12:26 pm


Originally Posted by pbarnette (Post 20059168)
Losing the 50% bonus on M stinks, but all in all not bad.

I agree. I'm not surprised to see this modification; I think Delta figured out that many business travelers were using M-class fares to accrue the 50% MQM bonus at a fare cheaper than YB. However, as a practical matter, it's become more difficult to get M-class fares. I usually travel for business and I often book just 5-7 days in advance. I used to see YBM fares offered as the only ones available, but increasingly I see HQK fares. This, coupled with the loss of the 50% bonus, will force me to change my booking/flying strategy to 2013.

shawn.

mhop1027 Jan 16, 2013 12:27 pm

Will also note:

Don't see a terrible outcry about the changes, which is kind of the opposite of what I expected to see reading through the thread. I think for business travelers, they won't notice a difference. This might put the pinch on leisure travelers who pay out of pocket for status.

Deadtail Jan 16, 2013 12:28 pm


Originally Posted by rylan (Post 20060207)
Guess I'm not seeing the part where SWUs would be more valuable. You need an M fare to use them, and now the 50% mqm bonus is gone. If they make M fares cheaper but make the SWU usable only on B+, then that only makes them even less valuable. B fares are quite a bit more than an M fare.

Unless you have access to Delta's pricing and fare strategies, you're making some bis assumptions. You're completely willing to accept that Delta is going to a full spend based program, despite zero evidence, Maybe you should accept that until you know, you don't.

ElmhurstNick Jan 16, 2013 12:29 pm

I'm not too worried about the $2500 minimum spend to retain FO, since I fly DL enough for work travel that I'll inevitably have some 30 cpm trips in there. And since I'll have $200 worth of reimbursed buy-ups to EC, it's only a $2300 hit for me.

If I was all on my own dime, however, I wouldn't be able to maintain 10 cpm unless I bought the occasional A or S fare.

MichaelKade Jan 16, 2013 12:29 pm


Originally Posted by timmy83 (Post 20059381)
Now MRs become less a part of the game, but still a piece in the puzzle. Doesn't make sense for MRs to be your main contribution to status, but can top off an account; conversely - someone able to generate $25K/year in spending on a DL Amex will be able to MR to their heart's content (if I am interpreting these rules correctly)

- Can someone clarify that the rule change regarding MQM bonuses is effective immediately, but that the minimum spend thresholds do not go into effect until 2014? The DL.dumb information is currently down.

Bingo. This is a non-issue for me with >25k in CC spending. I haven't needed the bonus MQMs based on threshhold spend so I've put this $ elsewhere... Delta has now ensured I will put this on their Amex.

DLdweeb Jan 16, 2013 12:30 pm

I wonder if change fees, SC memberships, etc will be included in total DL spend....

PNET Jan 16, 2013 12:30 pm

This is a step in the right direction but not enough - I'm all for status earned on the basis of revenue dollars and miles accrued/redeemed on the current non-revenue-linked basis. My problem is that if I buy five transcons in C for business (they average 3-3.5k each) and spend 15k but only fly 25k miles and earn 37.5k (with CoS MQM bonus) MQM, DL will still only give me silver. Meanwhile some kid or blogger with too much time on their hands will do 10 transcon MRs at $250/pop ($2.5k total) and earn Gold. Which customer is more valuable to the airline? Yet who is Gold and who is Silver? If airlines were smart, they'd change the status calculation or at least make the qualification based on miles flown OR dollars instead of AND.

Dieuwer Jan 16, 2013 12:32 pm


Originally Posted by PNET (Post 20060291)
This is a step in the right direction but not enough - I'm all for status earned on the basis of revenue dollars and miles accrued/redeemed on the current non-revenue-linked basis. My problem is that if I buy five transcons in C for business (they average 3-3.5k each) and spend 15k but only fly 25k miles and earn 37.5k (with CoS MQM bonus) MQM, DL will still only give me silver. Meanwhile some kid or blogger with too much time on their hands will do 10 transcon MRs at $250/pop ($2.5k total) and earn Gold. Which customer is more valuable to the airline? Yet who is Gold and who is Silver? If airlines were smart, they'd change the status calculation or at least make the qualification based on miles flown OR dollars instead of AND.

^

mhop1027 Jan 16, 2013 12:32 pm

Everyone should note that MR IS NOT DEAD. If you have an Amex card you can bypass the spending tiers completely. If anything, this change has increased the importance/value of having a DL Amex in hand.

DL2SXM Jan 16, 2013 12:33 pm


Originally Posted by mhop1027 (Post 20060246)
The point it to reward revenue, people who bring in money. They aren't rewarding the people who fly for 3.7 cpm anymore. So yes, logically speaking, someone who flies 135,000 miles for $7500 should trump you at $5000. They aren't saying you aren't valuable, but you aren't as "elite" as somone paying more. It's a sound business model.

So then did Delta think of what flyers like me will do who currently fly enough to earn at least 125K but who's spend threshold is low? If I know that I will only qualify for GM, or PM based on my MDS, then I will stop flying DL once I reach my MQM level and my MDS for that level and fly another airline. What inscentive do I have to stick with Delta between MDS levels if I know I will fall short of making DM?

TheMadBrewer Jan 16, 2013 12:34 pm

I notice the part on having the Amex says the MQD requirements "can" be waived. That worries me a bit.

I am curious as to how much money DL makes if I spend $25K with my DL Amex? Since they may waive the MQD it must in the neighborhood of their profit on an average $12K worth of DL tickets.

I'll also be curious to see the actual fare classes that earn the 100% MQM bonus -- if I/S (and A/P) get it or will they stay at 50% or drop to 0%

With the M fare -- with PMNW you could only do a mileage upgrade with Y or B -- not M. Though the B fares were much more reasonable then... Not saying this has anything to do with things, just pointing out history.

amolkold Jan 16, 2013 12:35 pm

I fly on my own dime and even my normal fares don't hit 10cpm. Good thing I spend or plan to spend >$25K on Amex Delta cards each year.

I got invited to a Lakers game by Delta ... not because I was Medallion, but because I spent on my Amex card. Spend is the new loyalty.

mhop1027 Jan 16, 2013 12:36 pm


Originally Posted by DL2SXM (Post 20060314)
So then did Delta think of what flyers like me will do who currently fly enough to earn at least 125K but who's spend threshold is low? If I know that I will only qualify for GM, or PM based on my MDS, then I will stop flying DL once I reach my MQM level and my MDS for that level and fly another airline. What inscentive do I have to stick with Delta between MDS levels if I know I will fall short of making DM?

Or it will provide incentive for you to get an Amex or to move spend to Amex that you normally wouldn't. Not to say that everyone will, but I think this makes sense from an Amex/DL perspective.

mhop1027 Jan 16, 2013 12:37 pm


Originally Posted by TheMadBrewer (Post 20060334)
I am curious as to how much money DL makes if I spend $25K with my DL Amex? Since they may waive the MQD it must in the neighborhood of their profit on an average $12K worth of DL tickets.

+1 That is the big question.

PNET Jan 16, 2013 12:40 pm


Originally Posted by mhop1027 (Post 20060330)
Get a DL Amex. Seriously, I think that is DL goal in this. You'd only need $10,000 more to hit any status past that which you should cover in personal expenses over the year.

That's not how I understand it. Spend does NOT waive the MQM requirement.


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