Delta’s New CEO: Giving Away Upgrades for Loyalty No Longer Makes Sense
#61
Join Date: Jan 2010
Location: Twin Cities
Programs: Delta DM MM, IHG Plat, Hilton DM, Marriott SE, Emerald EE, Oakdale Gun Club, NRA & GOA Life Member
Posts: 3,870
I see the other side of that. I normally fly in domestic F or international J. My employer pays for it or I pay for it when I fly on my own. After paying $1000s for a seat, I really hate getting a cabin where one of the upgraded elites has a severe case of DYKWIA. It doesn't happen all the time but often enough.
Where possible, I buy on airlines where the premium cabins are not usually full of upgraded folks.
Where possible, I buy on airlines where the premium cabins are not usually full of upgraded folks.
#62
Suspended
Join Date: Jul 2001
Location: Watchlisted by the prejudiced, en route to purgatory
Programs: Just Say No to Fleecing and Blacklisting
Posts: 102,095
I know. And to be honest, the thinning sort of makes sense. It seems that people still think it is 2008 when the airlines would give away the farm to get passengers. The 16 seats in F are not always going to go to Medallions.
I loved being diamond and appreciated what DL did for me. I won't put up with a crappy schedule and overpriced flights if I don't have that level of service though. I will buy an airport lounge membership and fly what ever airline I want.
There has to be a tipping point somewhere. At some point DL or the other airlines will push it to far and loyalty will no longer matter. I know for me this year was a test of that. I flew mostly freelance this year and saw my airfare spending fall in half. Half. Delta was extracting almost 100% premium from me for diamond. That is simply insane.
I loved being diamond and appreciated what DL did for me. I won't put up with a crappy schedule and overpriced flights if I don't have that level of service though. I will buy an airport lounge membership and fly what ever airline I want.
There has to be a tipping point somewhere. At some point DL or the other airlines will push it to far and loyalty will no longer matter. I know for me this year was a test of that. I flew mostly freelance this year and saw my airfare spending fall in half. Half. Delta was extracting almost 100% premium from me for diamond. That is simply insane.
DL didn't have a great program compared to the "competition" in 2007, 2008 or 2009 and the AA, UA and DL programs didn't get better in 2008 or 2009 than they were say in 1999 or 2000.
#63
Join Date: Aug 2003
Location: MSN
Programs: Delta DM, Bonvoy LT Titanium, Hertz PC
Posts: 1,987
I must not be paying attention enough because even though I fly every week, I never see this behavior nor do I ever see the young Medallion in F being questioned on how they were able to score an upgrade. Or maybe I just fly sophisticated routes...like MSP-LAS a lot. I was being sarcastic with the last comment.
#64
Join Date: Apr 2010
Location: ORD
Programs: AA, UA, GE
Posts: 5,123
I must not be paying attention enough because even though I fly every week, I never see this behavior nor do I ever see the young Medallion in F being questioned on how they were able to score an upgrade. Or maybe I just fly sophisticated routes...like MSP-LAS a lot. I was being sarcastic with the last comment.
This lady (and I use the term loosely) ran the cabin crew ragged for the entire flight (except for a 2 or 3 hour nap). Nothing was right, the champagne was wrong. There was something wrong with he IFE. She needed something done with her food. Etc, etc.
The best part was when she insisted on getting some catering at the very last minute (like 30 minutes before final approach) and then after the crew scrambled to comply, she let it sit and got off the plane without taking a bite.
I really don't care if she is a total jerk or not but most of my flight was viewing her drama. Outside of the nap, there must have been a cabin crew member if not the CSD going to her seat every 10 to 15 minutes.
#65
Join Date: Aug 2003
Location: MSN
Programs: Delta DM, Bonvoy LT Titanium, Hertz PC
Posts: 1,987
So she was amiable enough to share that she was on an UG but then was a DKYWIA who ran the crew ragged the rest of the flight? Those two elements seem incompatible.
#66
Suspended
Join Date: Nov 2010
Location: MEM
Programs: Starbucks Green Card
Posts: 5,431
The worst are those people who think they're so much better than the rabble and then spend their entire flight snooping around and eavesdropping to look for stuff to criticize other people about.
#67
Join Date: Feb 2010
Location: US-Europe
Programs: DL DM Charter/2.5MM, AA EXP, Marriott AMB, LT Titanium, HH Diamond, Avis PP, National Exec-E
Posts: 529
I have been sensing the change in attitude and service over the past year and I have assumed that it been a course change, driven from the top. I have seen a huge drop off in the GA service at RDU. Many are new and poorly trained and can't turn a plane efficiently. I have also seen a huge drop in the DM line and often get thanked for being a GM at the end of the call. Some FAs still go the extra mile and thank the loyal fliers, but am finding that going nice touch away. Many at DL just seem tired and/or uninterested. Perception is reality.
I understand the business aspect of filling F with F paying customers, but there are quite a few DL FFs that can fly the same route at a lower cost and choose to stay with DL due to status. Cutting out the few loyal FFs from an UG to sell a $40 FCM to the average Joe, isn't going to make that average Joe buy F in the future, but it will drive some FFs away from the product.
DL is quickly becoming USAir. I was once a CP (3 years in a row) and left them once they started their World Class Poor Service. Right now I sit at under 2MM and could get it by the end of the year, but haven't stepped on a DL since August. The only choices are UA and AA, at least AA still treats their EXPs well.
I understand the business aspect of filling F with F paying customers, but there are quite a few DL FFs that can fly the same route at a lower cost and choose to stay with DL due to status. Cutting out the few loyal FFs from an UG to sell a $40 FCM to the average Joe, isn't going to make that average Joe buy F in the future, but it will drive some FFs away from the product.
DL is quickly becoming USAir. I was once a CP (3 years in a row) and left them once they started their World Class Poor Service. Right now I sit at under 2MM and could get it by the end of the year, but haven't stepped on a DL since August. The only choices are UA and AA, at least AA still treats their EXPs well.
#68
Join Date: Aug 2015
Location: LAX
Programs: DL PM etc
Posts: 74
This is kind of liberating. I would already rather be airline-agnostic, and I've reached the conclusion that if I care, I'm paying for F—which I do regularly now. Making airfare purchase decisions based on an unquantifiable chance of an upgrade just seems more and more silly and like a waste of time, and I'm ready to let my DL status slip away. Cash is the ultimate status anyway.
My time is valuable and I want to get what I pay for. Guaranteed F, or Y with hopes and dreams? Seems like a better product to me.
My time is valuable and I want to get what I pay for. Guaranteed F, or Y with hopes and dreams? Seems like a better product to me.
#69
FlyerTalk Evangelist
Join Date: Nov 2009
Location: SEA (the REAL Washington); occasionally in the other Washington (DCA area)
Programs: DL PM 1.57MM; AS MVPG 100K
Posts: 21,371
#70
Join Date: Aug 2003
Location: MSN
Programs: Delta DM, Bonvoy LT Titanium, Hertz PC
Posts: 1,987
#71
Join Date: May 2006
Location: MLB
Posts: 445
This seems in line with the overall direction of SkyMiles: what are presented as "benefits" are increasingly just penalty avoidance mechanisms. If upgrades disappear, the only benefit left is priority customer service access: checkin/boarding/baggage/phone. Everything else is pretty much just fee waivers and discounts. The miles are devaluing faster than Venezuelan currency....
I will state my opinion that Ed Bastian is living off Richard Anderson's success and doesn't understand that this strategy will fall apart if/when the economy significantly dips again and he finds he has driven away his consistent, reliable customers in favor of short-term, price-sensitive ones.
I still think DL offers a better experience than the other 3 majors and I prefer it when all else is equal, but being MCO-based gives me the freedom of choice and I use it. Even as a BIS DM, only ~60% of my flying is on DL because of timing and price; if loyalty were more meaningful and miles worth something, that would be more like 90%. Ed Bastian is actively encouraging more people to be like me.
I will state my opinion that Ed Bastian is living off Richard Anderson's success and doesn't understand that this strategy will fall apart if/when the economy significantly dips again and he finds he has driven away his consistent, reliable customers in favor of short-term, price-sensitive ones.
I still think DL offers a better experience than the other 3 majors and I prefer it when all else is equal, but being MCO-based gives me the freedom of choice and I use it. Even as a BIS DM, only ~60% of my flying is on DL because of timing and price; if loyalty were more meaningful and miles worth something, that would be more like 90%. Ed Bastian is actively encouraging more people to be like me.
#72
Suspended
Join Date: Jul 2010
Location: Orlando, FL Area
Programs: Delta SkySponge ExtraAbsorbent, SPG Gold
Posts: 29,988
It was fun while it lasted. But I saw the writing on the wall a couple of years ago. I kind of agree that the person buying the ticket should be the one getting the benefits. I buy my own tickets, I don't travel on the company dime like most frequent flyers. I should be rewarded more than someone who hasn't given Delta a cent of their own money. It would make sense for Delta to change the model to giving the employer the benefits via discounts, guaranteed seats, etc. than to give free stuff to the employee who happens to be traveling. That employee ultimately has no purchasing power.
#73
Join Date: Apr 2011
Posts: 3,394
This seems in line with the overall direction of SkyMiles: what are presented as "benefits" are increasingly just penalty avoidance mechanisms. If upgrades disappear, the only benefit left is priority customer service access: checkin/boarding/baggage/phone. Everything else is pretty much just fee waivers and discounts. The miles are devaluing faster than Venezuelan currency....
I will state my opinion that Ed Bastian is living off Richard Anderson's success and doesn't understand that this strategy will fall apart if/when the economy significantly dips again and he finds he has driven away his consistent, reliable customers in favor of short-term, price-sensitive ones.
I still think DL offers a better experience than the other 3 majors and I prefer it when all else is equal, but being MCO-based gives me the freedom of choice and I use it. Even as a BIS DM, only ~60% of my flying is on DL because of timing and price; if loyalty were more meaningful and miles worth something, that would be more like 90%. Ed Bastian is actively encouraging more people to be like me.
I will state my opinion that Ed Bastian is living off Richard Anderson's success and doesn't understand that this strategy will fall apart if/when the economy significantly dips again and he finds he has driven away his consistent, reliable customers in favor of short-term, price-sensitive ones.
I still think DL offers a better experience than the other 3 majors and I prefer it when all else is equal, but being MCO-based gives me the freedom of choice and I use it. Even as a BIS DM, only ~60% of my flying is on DL because of timing and price; if loyalty were more meaningful and miles worth something, that would be more like 90%. Ed Bastian is actively encouraging more people to be like me.
When people pay more to fly DL than a comparable flight on another airline, they are doing so because they feel the extra perks they get balance out the extra cash. (perks include miles, recognition, upgrades, but also reliability)
I'm not saying it's the wrong thing to do, quite the contrary, but I don't think that loyalty is the right word.
My Dog is loyal to me, even if the neighbors could buy him a comfier bed and better treats. He's not going anywhere, that's loyalty.
Sticking with one carrier is a cost/benefit analysis. DL think the benefit's are tipped further than they'ed like. Now it's up to everyone to figure out what works best for them now. Staying with DL, moving to someone else, becoming a FA.
But once you look at it as a C/B analysis, if things get tough for DL, they just need to add back a few more benefits, and the low margin customers they're trying to reward less will be back in droves. Certainly not everyone, but they'll get some coverts to cover that.
#74
Join Date: Jun 2013
Programs: DL Plat, Hilton Diamond, Marriott Plat, IHG Plat, Hertz Prez Circle, National Exec
Posts: 1,357
It was fun while it lasted. But I saw the writing on the wall a couple of years ago. I kind of agree that the person buying the ticket should be the one getting the benefits. I buy my own tickets, I don't travel on the company dime like most frequent flyers. I should be rewarded more than someone who hasn't given Delta a cent of their own money. It would make sense for Delta to change the model to giving the employer the benefits via discounts, guaranteed seats, etc. than to give free stuff to the employee who happens to be traveling. That employee ultimately has no purchasing power.
#75
Join Date: Jun 2003
Location: Syracuse, NY
Programs: DL Diamond 1+MM / HH Lifetime Diamond
Posts: 384
I think Ed is a little delusional here by declaring the entire First Class cabin and their entire fleet that way. We know some aircraft and routes offer lackluster service in First Class. Unless they step up their game and offer real First Class service (like meals on shorter flights and such) I don't think they are going to sway most frequent travelers to pay more for these experiences.
Anyone knows that the flights and aircraft that offer "best estate on the planet" is already hard to get an upgrade on, because they don't do free upgrades to their premier products. Heavily traveled domestic routes during peak times are hard to get upgrades if you're a DM.
I like Delta, and do enjoy the upgrades when I get them. But as others have mentioned, if those go away, and if this attitude persists among upper management -- when price and schedule don't go Delta's way, which is quite often, they will get less of that business from many of us on here.