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-   -   Skymiles Program Changes Coming 9/14? (https://www.flyertalk.com/forum/delta-air-lines-skymiles/2134218-skymiles-program-changes-coming-9-14-a.html)

shoodawg Sep 7, 2023 1:20 pm


Originally Posted by Duke787 (Post 35561546)
If you go back and look at their Q2 Investor Day presentation (https://s2.q4cdn.com/181345880/files...vF-6-26-23.pdf) they basically said they believe that business travel is still soft and that leisure travel is driving incredible demand and supporting the high pricing we've seen.

They also said basically they see that the DL SkyMiles members spend 5x more than non-members and they also are aiming to increase the profitability of the SkyMiles "brand" from $250M in 2023 to >3X long-term and they aim to achieve that by expanding SkyMiles as a defacto currency for travel-adjacent experiences and likely changing their earnings structure to align more closely with the AA approach to drive the DL AMEX as the primary card for folks anywhere (not just to the $25k MQD level).

If you read those tea leaves I think this basically suggests that they are trying to turn SkyMiles into the US version of Avios (which spoiler alert, AMEX is also heavily invested as the co-brand partner for BA/Avios) and make SkyMiles the reward currency you earn across all your spend and then in turn you can redeem for a number of different travel experiences (not just Delta Vacations or Delta flights). By the way this is something they've already dipped their toe in the water doing this with Starbucks and Lyft.

100%.

sxpsxpsxp Sep 7, 2023 3:49 pm

I'll say this is very interesting and I will eagerly await the details. I fly some, but not nearly enough to earn status on DL today (my current DL PM status I got as part of an AA status match when my company switched contracts), and I'm far enough from lifetime status on DL that it's not really part of the formula. I am also not one of those people who spends $250k/year on a credit card, so not getting DL status that way.

AA has probably gotten exactly what they want form me -- someone who earns them money with non-flying spending (via credit card and online shopping portal) but flies with them little. But I was able to earn EXP with AA (equivalent to DM) last year, for the first time ever. And I've already earned enough LPs on AA this year to be at least Platinum for next year, and with my current patterns I expect to get to at least Platinum Pro if not EXP again. How often have I gotten the benefits? Not that often, because I don't fly that much, but I do enjoy them when I get them. Case in point, I had to get my family out of Florida a day ahead of schedule because Hurricane Idalia was coming, and we didn't want to risk getting stuck because we had things scheduled back home. My tickets were booked with DL, but they had no flights with 4 seats available whatsoever. I was able to book 4 award tickets on AA less than 24 hours from departure at a really cheap rate. True, they were in coach, but they got me home on time. And being able to check two 70lb bags without the agent batting an eyelash or charging me extra, and being able to board early made the experience that much less stressful. After all, I think that is what all these "perks" of status are all about -- reducing or eliminating the stressful parts of the travel experience.

What travel I've done on DL this year has been enjoyable, as much as one can say that about travel. There are some things I like about DL more than about AA, and the same can be said the other way around. If I could qualify for meaningful status on DL by combining non-travel spend with limited flying, I would very seriously consider shifting my spending patterns accordingly. At the end of the day, I think that would probably be a win for DL and a win for me.

UnderEst Sep 7, 2023 4:27 pm


Originally Posted by Duke787 (Post 35561546)
If you go back and look at their Q2 Investor Day presentation (https://s2.q4cdn.com/181345880/files...vF-6-26-23.pdf) they basically said they believe that business travel is still soft and that leisure travel is driving incredible demand and supporting the high pricing we've seen.

They also said basically they see that the DL SkyMiles members spend 5x more than non-members and they also are aiming to increase the profitability of the SkyMiles "brand" from $250M in 2023 to >3X long-term and they aim to achieve that by expanding SkyMiles as a defacto currency for travel-adjacent experiences and likely changing their earnings structure to align more closely with the AA approach to drive the DL AMEX as the primary card for folks anywhere (not just to the $25k MQD level).

If you read those tea leaves I think this basically suggests that they are trying to turn SkyMiles into the US version of Avios (which spoiler alert, AMEX is also heavily invested as the co-brand partner for BA/Avios) and make SkyMiles the reward currency you earn across all your spend and then in turn you can redeem for a number of different travel experiences (not just Delta Vacations or Delta flights). By the way this is something they've already dipped their toe in the water doing this with Starbucks and Lyft.

Agree with this, whole heartedly. And at least from what I can tell, the Starbucks/Lyft partnership has been well received. I know of quite a few travelers that all but abandoned Uber for Lyft.

demkr Sep 7, 2023 5:04 pm


Originally Posted by UnderEst (Post 35562037)
Agree with this, whole heartedly. And at least from what I can tell, the Starbucks/Lyft partnership has been well received. I know of quite a few travelers that all but abandoned Uber for Lyft.

I've definitely been using Lyft more often, all for a few miles. Wow they sucked me in too lol

HDQDD Sep 7, 2023 5:14 pm


Originally Posted by UnderEst (Post 35562037)
Agree with this, whole heartedly. And at least from what I can tell, the Starbucks/Lyft partnership has been well received. I know of quite a few travelers that all but abandoned Uber for Lyft.

Well considering one only gets 1 skymile per $ spent at Lyft...I don't think that's what's moving the needle. :) I moved to Lyft because the Chase Saph Reserve gives 10x points on Lyft rides and Lyft Pink status (which I think is normally $10/mo.).

DrMilano Sep 7, 2023 5:17 pm


Originally Posted by metalblaze (Post 35560639)
Let the guessing game continue...: https://frequentmiler.com/greg-predi...ymiles-changes. I bet DL insiders who are reading this FT forum are having some fun :-)

https://cimg5.ibsrv.net/gimg/www.fly...f81cd9babb.png

I'm fine with these new MQD's levels, but how bout the AmEx MQD waiver? Increase waiver to $50K for GM and $75k for PM then. If DL followed through with this the co-branded uproar would be epic.

jamesteroh Sep 7, 2023 5:24 pm


Originally Posted by DrMilano (Post 35562111)
I'm fine with these new MQD's levels, but how bout the AmEx MQD waiver? Increase waiver to $50K for GM and $75k for PM then. If DL followed through with this the co-branded uproar would be epic.

I never understood why they didn't raise the MQD waiver for PM and GM when they did it for daimond. Even riasing it to $75K for diamond would have only been triple instead of ten fold like diamond.
They also need to eliminate the exclusion for overseas residents, at least diamond

shoodawg Sep 7, 2023 5:48 pm

One earning method almost certain to change….
 
Partner earnings will likely change very dramatically. Mark my words.

dw Sep 7, 2023 5:52 pm


Originally Posted by DrMilano (Post 35562111)
I'm fine with these new MQD's levels, but how bout the AmEx MQD waiver? Increase waiver to $50K for GM and $75k for PM then. If DL followed through with this the co-branded uproar would be epic.

Speculation is MQD will be THE way to qualify, so the waiver will no longer be applicable.

metalblaze Sep 7, 2023 5:56 pm


Originally Posted by shoodawg (Post 35562156)
Partner earnings will likely change very dramatically. Mark my words.

How do such earnings work in UA and AA....? Aren't they based on miles flown as opposed to ticket price...?

coke cans and winglets Sep 7, 2023 5:59 pm


Originally Posted by metalblaze (Post 35562171)
How do such earnings work in UA and AA....? Aren't they based on miles flown as opposed to ticket price...?

They are distance based on UA but there are earning caps and that varies if the airline you're flying is like a preferred partner or just a normal Star Alliance partner (ex LH is a preferred partner, Croatia Airlines is not). AA used to be all distance based but they are moving to revenue based on at least BA/IB flights for now, rest are still miles based I believe.

DiverDave Sep 7, 2023 6:02 pm


Originally Posted by shoodawg (Post 35562156)
Partner earnings will likely change very dramatically. Mark my words.

That's a decent guess. It's got to be more than just raising the MQD thresholds as that would not require agent training.

Probably time to rent another panel truck.


https://cimg5.ibsrv.net/gimg/www.fly...4c1d545750.jpg


David

UnderEst Sep 7, 2023 6:17 pm


Originally Posted by HDQDD (Post 35562105)
Well considering one only gets 1 skymile per $ spent at Lyft...I don't think that's what's moving the needle. :) I moved to Lyft because the Chase Saph Reserve gives 10x points on Lyft rides and Lyft Pink status (which I think is normally $10/mo.).

Just because it's only 1 mile per dollar spent, doesn't mean it's not driving more business through. Back in April, DL called it a huge partnership success, with over 2B miles distributed. I guarantee there are more people looking at it as additional potential. Don't forget it's double miles to and from the airport. ;)

metalblaze Sep 7, 2023 6:17 pm


Originally Posted by coke cans and winglets (Post 35562178)
They are distance based on UA but there are earning caps and that varies if the airline you're flying is like a preferred partner or just a normal Star Alliance partner (ex LH is a preferred partner, Croatia Airlines is not). AA used to be all distance based but they are moving to revenue based on at least BA/IB flights for now, rest are still miles based I believe.


Originally Posted by DiverDave (Post 35562183)
That's a decent guess. It's got to be more than just raising the MQD thresholds as that would not require agent training.

Probably time to rent another panel truck.


https://cimg5.ibsrv.net/gimg/www.fly...4c1d545750.jpg


David



Yeah...I suppose DL's argument will be that they have been generous compared to UA and AA for partner earnings, and they need to squeeze FFs more.

Utskicat Sep 7, 2023 6:54 pm


Originally Posted by jamesteroh (Post 35562122)
They also need to eliminate the exclusion for overseas residents, at least diamond

Why? You understand that those of us outside the US have no access to any of the MQM boosts or MQD waivers via Amex correct?


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