Delta rolling back some changes
#46




Join Date: Apr 2003
Programs: B6 Mosaic 3, Bonvoy LT Titanium (x SPG LT), UA Silver
Posts: 6,172
#47




Join Date: Mar 2016
Posts: 645
This is also emotional. You can't tell someone they are a Platiunum Medallion and then tell them, sorry, no you are not, you don't get those benefits anymore.
#48
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I posted this in the other thread, but I firmly believe that regardless of what they end up changing for the time being, have no doubt that what they announced previously is the end goal. They may just roll it out slowly over a few years.
I have to say, though, this is probably the most drama Ive seen in the travel loyalty space since the last time DL tried to pull something like this (and it got reversed) ;-)
I have to say, though, this is probably the most drama Ive seen in the travel loyalty space since the last time DL tried to pull something like this (and it got reversed) ;-)
#49


Join Date: Dec 2007
Location: Las Vegas
Programs: DL Platinum, AA Lifetime Gold, Hilton Diamond, Marriott Platinum, Radisson Premium
Posts: 6,733
100%. DL has already started what their targeted revenue is. The blowback may just delay their plans, but that's their end game. It still doesn't change the fact that I will cancel my DL Reserve. I still don't think Diamond is worth $35k either now or five years from now.
#50




Join Date: Jan 2010
Location: SEA
Programs: Delta DM, 2MM
Posts: 119
Funny how it is a self created problem...LOL. He seems to think it was "increase in demand" for their premium products. Right!
No, it was the rollover MQM's & credit card deals that added so many to the ranks - some of them who aren't even "frequent flyers."
To stop overcrowding, cut down on the credit card passes! That seems like a no brainer. But it doesn't fit their revenue model.
That in addition to a modest increase in spend limits. Maybe $25k for DM? And how about the thinning that already is happening with the 2023 increase to $20k? That has to thin the ranks in some fashion, and has not been mentioned!
But seriously, you have to look at what value a DM will get at $35k spend:
Domestic upgrades: Sure, frequency maybe will increase with fewer DMs. But that is not a huge value in my opinion. Many people that spend 35k will just buy FC. It is tough to get 35k spend without purchasing FC. Those that do are serious road warriors buying tons of economy fares - not exactly the customer Delta seems to be targeting for their DM level. The big credit card spenders are also ones that probably just buy their upgrades.
GUC's: For me, (and I would image many others) the biggest value of Choice Beni's used to be the GUC's. You could get an $800 international ticket, and use a GUC for business class UG. That was a decent savings and value. And I will tell you, sitting up front on a 12 hour flight for $800 makes you feel pretty good!
But with GUC's decreased to one class upgrades, they lose their value. Why would I spend 35k, only to have the privilege of using my GUC to purchase a Premium Select ticket at $2500. I can usually find a business class ticket on another airline for near that amount. Very little value there.
Mileage tickets: Another value blast from the past! Using your vast bank of earned miles to get free tickets. After a hard year of travel and big $ spend, I used to be able to get the whole family of 5 some tickets to Europe or Asia. Now that is virtually impossible due to availability and sky rocketing mileage costs. Pre-Covid, a bargain hunter could find a business class ticket for 80k miles sometimes. Now those same tickets are ridiculously priced at 300k miles or above. A huge devaluation.
I spend around $25k on travel annually, and could probably make the $35k level if I really tried, using a combo of methods. I own my own business, travel maybe 8-10 domestic trips (usually buying FC) each year, and 10 international. It is the international travel I am mainly concerned with - thus the importance of GUC's.
I really fail to see what value I will receive for awarding $35k to Delta that I wouldn't get if I just spent that same amount by strategically purchasing domestic FC and international J from the free market. Maybe I am just not their target customer any longer. Too bad. I did feel some loyalty after 25 years and 2.6 million miles...
No, it was the rollover MQM's & credit card deals that added so many to the ranks - some of them who aren't even "frequent flyers."
To stop overcrowding, cut down on the credit card passes! That seems like a no brainer. But it doesn't fit their revenue model.
That in addition to a modest increase in spend limits. Maybe $25k for DM? And how about the thinning that already is happening with the 2023 increase to $20k? That has to thin the ranks in some fashion, and has not been mentioned!
But seriously, you have to look at what value a DM will get at $35k spend:
Domestic upgrades: Sure, frequency maybe will increase with fewer DMs. But that is not a huge value in my opinion. Many people that spend 35k will just buy FC. It is tough to get 35k spend without purchasing FC. Those that do are serious road warriors buying tons of economy fares - not exactly the customer Delta seems to be targeting for their DM level. The big credit card spenders are also ones that probably just buy their upgrades.
GUC's: For me, (and I would image many others) the biggest value of Choice Beni's used to be the GUC's. You could get an $800 international ticket, and use a GUC for business class UG. That was a decent savings and value. And I will tell you, sitting up front on a 12 hour flight for $800 makes you feel pretty good!
But with GUC's decreased to one class upgrades, they lose their value. Why would I spend 35k, only to have the privilege of using my GUC to purchase a Premium Select ticket at $2500. I can usually find a business class ticket on another airline for near that amount. Very little value there.
Mileage tickets: Another value blast from the past! Using your vast bank of earned miles to get free tickets. After a hard year of travel and big $ spend, I used to be able to get the whole family of 5 some tickets to Europe or Asia. Now that is virtually impossible due to availability and sky rocketing mileage costs. Pre-Covid, a bargain hunter could find a business class ticket for 80k miles sometimes. Now those same tickets are ridiculously priced at 300k miles or above. A huge devaluation.
I spend around $25k on travel annually, and could probably make the $35k level if I really tried, using a combo of methods. I own my own business, travel maybe 8-10 domestic trips (usually buying FC) each year, and 10 international. It is the international travel I am mainly concerned with - thus the importance of GUC's.
I really fail to see what value I will receive for awarding $35k to Delta that I wouldn't get if I just spent that same amount by strategically purchasing domestic FC and international J from the free market. Maybe I am just not their target customer any longer. Too bad. I did feel some loyalty after 25 years and 2.6 million miles...
#51
FlyerTalk Evangelist




Join Date: Apr 2009
Location: Bye Delta
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Posts: 16,637
"No question, we probably went too far," Bastian said. "Our team wanted to kind of rip the band-aid off."
Get a new team. Is this a joke? You slapped us in the face and now you're jerking us around. Is this the "oh, we didn't mean to..." defense? Well, that's not going to fly(no pun intended).
Get a new team. Is this a joke? You slapped us in the face and now you're jerking us around. Is this the "oh, we didn't mean to..." defense? Well, that's not going to fly(no pun intended).
#52
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Join Date: Mar 2010
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Remember the David Dao incident and how the industry then bumped up the compensation and then started to change after the whole thing died down? The same thing will happen now. I think DL got too big and powerful so it can behave like this. This is why the previous mergers should never have happened. We're all paying for it due to the lack of competition.
#53




Join Date: Feb 2015
Location: ANC
Programs: DL DM
Posts: 2,720
Interesting to see what the changes will be. Wonder if Ed chose to roll some changes back rather than updating the ole resume?
Anyway, theyve destroyed a lot of loyalty over the last few weeks.
Im continuing to fly DL for now to try and reach DM as Im super close.
But for my spouse, whos PM and no chance of going higher, voted with his wallet today:
Traveling over Christmas.
Delta: $1600 in Y, $3600 in F.
AA: $800 in Y, $1800 in F.
Literally double!
He chose AA in F. Never flown AA in F and he decided to give them a chance. First purchase for him as a free agent.
Anyway, theyve destroyed a lot of loyalty over the last few weeks.
Im continuing to fly DL for now to try and reach DM as Im super close.
But for my spouse, whos PM and no chance of going higher, voted with his wallet today:
Traveling over Christmas.
Delta: $1600 in Y, $3600 in F.
AA: $800 in Y, $1800 in F.
Literally double!
He chose AA in F. Never flown AA in F and he decided to give them a chance. First purchase for him as a free agent.
#54




Join Date: Aug 2010
Location: On the run
Programs: DL 2MM/DM, Hilton LT Diamond, Hyatt Globalist, Marriot Titanium
Posts: 1,274
Yep and also, I remember going back a few years when DL did not forecast the surge in leisure demand post-Covid. That tells me they didn't forecast the surge in premium demand either but rode with it anyway. If Diamonds doubled, it's probably the rollover MQM. When you increase the spend requirements, of course people are going to buy F more. He also said he wanted to "rip off the band aid" instead of going through this year after year, meaning the requirements they announced are probably going to eventually happen whether they delay implementation of some of it or do a "softer landing" for a year.
All this airline has done, year after year, is devalue. And amazingly, it's only swelled the amount of Diamonds? How did the airlines do elite programs before spend became a requirement then?
Until people stop buying F or J, it's not going to matter whether there are less elites when the seats are already bought. That's the real reason why everything seems like it's getting worse as far as providing benefits. MQD was supposed to quell, and 10 or so years later it's only swelled.
Adding a bit more here...I really think the inability to forecast the high demand made them do the "Reclaim My Status" ( how liberal was that program in handing out Plat and Diamond? ) and the 3-year rollover MQM. They also decided to retire hordes of aircrafts during the pandemic. I think they really thought travel wasn't going to come back for a very long time.
All this airline has done, year after year, is devalue. And amazingly, it's only swelled the amount of Diamonds? How did the airlines do elite programs before spend became a requirement then?
Until people stop buying F or J, it's not going to matter whether there are less elites when the seats are already bought. That's the real reason why everything seems like it's getting worse as far as providing benefits. MQD was supposed to quell, and 10 or so years later it's only swelled.
Adding a bit more here...I really think the inability to forecast the high demand made them do the "Reclaim My Status" ( how liberal was that program in handing out Plat and Diamond? ) and the 3-year rollover MQM. They also decided to retire hordes of aircrafts during the pandemic. I think they really thought travel wasn't going to come back for a very long time.
I suspect that a number of major corporate customers may have had a bit of a snit. Especially since most of those will require spending on a corporate credit card for travel expenses.
I can see them putting in something similar to UA's 1K rule. Maybe $25k of strictly flying plus 60 segments on DL metal, or $35k between flying and 1:10 Reserve.
I can see them putting in something similar to UA's 1K rule. Maybe $25k of strictly flying plus 60 segments on DL metal, or $35k between flying and 1:10 Reserve.
#55


Join Date: Dec 2007
Location: Las Vegas
Programs: DL Platinum, AA Lifetime Gold, Hilton Diamond, Marriott Platinum, Radisson Premium
Posts: 6,733
Remember the David Dao incident and how the industry then bumped up the compensation and then started to change after the whole thing died down? The same thing will happen now. I think DL got too big and powerful so it can behave like this. This is why the previous mergers should never have happened. We're all paying for it due to the lack of competition.
When all these megamergers happened they swore up and down that prices wouldn't go up and that our experiences would only improve. And that basically went in one ear and out the other because people live in the present rather than the future.
Same way corporate controversies or even scandals now are in the 24 hr news cycle. They ride out the initial outrage by just lying low or ignoring it and eventually people forget about it and move on.
#56



Join Date: Apr 2005
Location: Flower Mound, TX
Programs: Delta Gold, United Silver, Marriott Titanium
Posts: 1,060
I cant even leave my computer for 2 hours anymore without fear of missing DL news.
#57
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Join Date: Apr 2009
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Programs: AA EXP, UA Silver, HH Diamond, IHG Plat, Hyatt Plat, Marriott Titanium, Nat'l EE, Avis PC, Hertz PC
Posts: 16,637
You want to bring an airline to its knees? Stop accumulating miles via credit card.
- Hold the cards if you want. Pay the annual fee and get free bags, get your companion cert, even put your airline spend on it. But otherwise, put it in the sock drawer.
- Most people would be objectively better off putting non-bonused spend on zero-annual-fee 2% cash back cards instead of earning 1 mile/$1. (Those of you who can continue to eke out > $0.02/mile in value from premium cabin saver awards and the like, I'm not saying stop doing what you're doing, but you're a small exception to an otherwise very broad rule.) Airlines like Delta have worked aggressively to eliminate sweet spots, and most people would come out ahead just taking the cash back and booking on any airline without restrictions.
- It's already well-established that loyalty programs are where airlines generate most of their profits these days, and that flying planes is either unprofitable or marginally profitable. Destroying their mileage sales to partners sends the loudest message you can possibly send.
#58
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Join Date: Sep 2003
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I'm pretty sure Bastion/DL recognizes the problem w/ current high-value DM customers having to compete w/ near-expiration-date DMs for the prizes. I think any revision will still try to reward current HVFs and start weaning others. They can roll back the Club visit cuts a bit and still accomplish the goal of reducing the crowds there, but I think DL will still want to have fewer upper-tier elites competing for the best benefits.
#59
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#60
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Join Date: Mar 2010
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I was just on a DL flight and it was an aircraft that didnt have the new WiFi installed - only the Wifi that allows for messaging and free web surfing if youre a T-Mobile customer (Im not). I come off a ~4 hour flight where Im in the dark and the forum has blown up again with news. 


Back on topic, this is why I switched to TMO so that I have free WiFi on my flights.




