ATOBTTR

Let's look at the business perspective of supply and demand and factor in the way airline tickets work though. Someone paying $1000 for a last minute ticket is buying that option because it's what they need, with few options left. The airline doesn't need to entice them with "good seats" to get them to buy the ticket; they're offering a higher need (schedule). OTOH, when buying a ticket months in advance, there are far more options to choose from, so the availability of C+ may be enough to entice someone to book with DL over another option.

I get that it's frustrating. Not denying that. I travel a lot on government tickets and can't select C+ until the flight is ticketed, which is usually only a few days before the flight, and thus there's little to no C+ seats left, so I'm often in the main cabin unless I get upgraded to FC. But OPs argument comes down to supply and demand.

ethernal

I buy my tickets 1-2 weeks in advance - hardly a true last minute walk up - I'd consider that normal business traveler advanced purchase. If I was buying it a day before my flight, I'd expect it (same way I expect issues when I do a SDC).

And, like I said, I do have options. I will almost certainly make 1K on United with SFO trips alone this year - and that's 15-20K of higher margin revenue Delta is missing because of their seat issues. Sure, Delta has me as a captive on some routes, but not all.. and I will avoid them where I can.

Ber2dca

There's also the simple fact that from the airline's perspective it's highly preferable that people book a significant time ahead of the flight for a few reasons. One, it's much better for planning purposes; secondly, money you have now beats money you have 3 months from now. If you think about it, by giving them money months ahead of service delivery you're essentially giving the airline a loan.

ethernal

Fair enough on the planning, but even with a 10% cost of capital, I don't think 3 month ahead purchase really makes up the $700 difference by "earning" them 2% in interest... I think they'd much rather have $1200 3 months in the future than $500 now...

ATOBTTR

pvn

Well, it's always better to have more customers than fewer. Yes, delta might sell the seat anyway but on the margin they will be taking in fewer dollars if there is lower demand for the seats.

BER Flyer

Not sure what makes you think that other people not willing to pay for C+ months in advance ( can't speak for your routes, but on TATL flights many people are willing to pay extra for these better seats ). And many doing it months in advance....something the airlines love.
Also, following your logic you would giving up on first class upgrades when you book late and C+ is already full? As you don't want DL to upgrade Medallions from Y to F you would be sitting in Y- middle seats every time C+ is already full when you book close in...

HWGeeks

Sorry for buying my seats in advance in C+ or First. Didn't mean to upset you, last-minute buyers.

The Situation

Delta made the assumption that someone values C+ and F the same, whether they book the flight 3 months in advance or the day before. Evidence is that their formula is fairly consistently =coach fare+x, with x being a constant amount. My next trip, when I booked (4 weeks in advance), fare was ~$200 for Y and ~$400 for F OW. Couple days out, the last F seat is ~$750 and Y is ~$550. Someone who books a last minute ticket is going to be less price sensitive and would likely be willing to pay an extra $300 or $400 for F, especially since most are business travelers and many can book F for longer domestic flights (at least in my region). Seats shouldn't be "reserved," but the pricing should reflect demand for the seats and the amount the buyer is willing to pay, and in that way, more seats should be available for longer.

HDQDD

Hahaha.

I love threads where we bash the company for doing what it's supposed to do...i.e. selling seats. How dare they give my seat I didn't book to another pax!

FBplatinum

Did any other major airlines offer this business model (for their elite PAX) ?

What is the % of high elite PAX (Platinum or diamond) fall in this (your) categories ?

If the price difference is so "small", why you complain about have GOOD C+ seat availability for the "small" higher price you paid for your own last minutes ticket?

I have change to Medallion program for 2018, because I am not satisfy of the program I am before (I find it very "unfair" (much more unfair than your "requirement")),why you did not do the same... If NO programs answer YOUR requirement, I think you must ask yourself if your requirement have any "sense".

Advance reservation is the bread and butter of airline company. Last minutes PAX is more revenue, yes. But NOT the customers you "desire" most...
But as most business owner will do. THEY will give "extra" to their BEST bread and butter customers, and in this case it is Elite+ PAX who reserve far in advance.

Zeeb

There are some companies/industries that allow most of their travelers to book F for longer domestic flights, but I'd say that is far from "most".

Same with C+, it could cost a nickel more than C and I wouldn't be able to book it unless I'm going across an ocean.

ethernal

Not sure I agree.. I think Delta isn't exactly a fan of elites that are booking advanced, discount fares - hence the MQD requirement and the attempt to "tighten the screws" on people getting status on cheaper fares. I'm sure they would much prefer someone like me that spends $50K+ in airfare per year (more depending on situation like if I have to fly Int'l J a lot) than one that can barely scrape by 15K. And, incidentally, the people getting C+ seats are often advanced booking low fare class people. That's where I think the disconnect is.

All of this really just comes back to the more underlying root cause issue that Delta has "industry-trailing" amounts of Y+ in their planes which is making this an issue to begin with. United blows them out of the water, and AA has more on a lot of their planes.

mnredfox

DL has done a good job with FCM or C+M, I doubt they are all DM PM.

FBplatinum

If I am a "last minutes" reservation profile, I must be ready to accept the consequence of this type of reservation.
I can not ask airline company to "keep" good seat for last minutes PAX, this is a no sense.
One thing Delta can do is to tighten some access to C+, I agree on this point. But to change the access to C+ too much will make many customers to go away.

I agree with you, Delta like high spending customer (in "J"), but if you have high spending in "Y", this mean you are a last minutes PAX. If Delta have choice between both of them (High $ Y, vs advance Y), I believe they will choice the advance reservation PAX, because they give long term stability in their business model.

For services business, stability is a VERY important factor.
Even I do less revenue (and less profit). I prefer much more long term stable customers (with lower profit) than higher profit emergency customers, because they are my bread and butter.
For 2018 (2019) Delta already tighten the rules for Diamonds (have increase the Waiver to 250K), I am sure Delta have made market analysis to balance their # of Platinum and Diamond customers.

It is also a possibility to have a 5 day's rules for C+ for Platinum (I know I will not make friend with PM). Or if some seat in C+ must be block, why not take the last C+ row (or the 2 last middle row for intl flight).