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-   -   Star Mega Do 5 (https://www.flyertalk.com/forum/external-miles-points-resources/1464636-star-mega-do-5-a.html)

airbus320 May 23, 2013 5:11 am

Back on track.....

Is Star Mega Do fatigue a factor in the poorer registrationfor version 5 ?

Star Mega Dos :5

OWD Mega Do: 1

SkyTeam Mega Do: nil

kokonutz May 23, 2013 8:05 am

Tommy thinks the reason is the proximity of the NordicMD and SMD5 and is looking at increasing Tommy Class capacity (great minds think alike! :D)

From NYU on MP has a pretty exhaustive list of other potential reasons:


1 - Higher pricing of the Do itself, let alone the fly-ins, hotels (not yet priced), etc.;
2 - Not a great grouping of activities, to me, unless and until exactly what AC is planning is explained more fully, and is there more to SF than dinner in a hangar, which we did on SMD4 just a few months ago;
3 - It’s another Star Mega Do, as opposed to a Skyteam or 1World Do, either of which would’ve gotten a bigger response;
4 - It’s jumping the gun a bit at this point to move to more Tommy Class, imo, but I understand the financial issues;
5 - The introduction of Gold & Diamond status may’ve put some people off, even though those sold, but the impression...;
6 - It’s tough to pull out that many weekdays in the lead-up to Halloween, Thanksgiving, etc., especially shortly after a just-previous Do; and,
7 - There wasn’t the same PR build-up as there was for OWMD, especially, and even for SMD4, with gatherings in cities and audio-visual announcement parties and streaming this‘ and thats.
My guess is that it's hard to sell a 'once in a lifetime experience' to the same audience for the fifth time. And for better or for worse, the MP audience is much smaller than the FT audience (although I feel like I've done all I can to keep this thread at the top of the forum! :D :D).

What holds me back from participating is the simple value proposition. That false-start Brazil Megado charter I would have done for $5k. But putzing around North America just doesn't get my juices flowing.

Anyway, I hope the boys can market and/or reconfigure their way to a sell-out.

kokonutz May 26, 2013 1:06 pm

Some honest and frank navel-gazing on the MP thread.

I do think they are in a dilly of a pickle: they sold those platinum and gold memberships under the assumption that Megado seats would always be a prescious commodity and that having guaranteed access to them would have value.

Clearly this is not the case and the private charter approach has not even been implemented yet (under which one has to have paid $10 some months earlier just to have the opportunity to buy a seat thereby significantly limiting participation).

I would feel quite taken if I had paid $2k for a Guaranteed opportunity to buy a seat on a charter that looks like it may not sell out for another month or two.

nsx May 26, 2013 1:09 pm


Originally Posted by kokonutz (Post 20814589)
I would feel quite taken if I had paid $2k for a Guaranteed opportunity to buy a seat on a charter that looks like it may not sell out for another month or two.

Is there a Mega Do bubble and if so what will burst it?

;)

airbus320 May 26, 2013 3:03 pm

I do not know how this will end.
They are between a rock and a hard place.

SkiAdcock May 27, 2013 11:15 am


Originally Posted by airbus320 (Post 20797580)
Is Star Mega Do fatigue a factor in the poorer registrationfor version 5 ?

Could be. I went to the first 2, with the first one being magical. But even then I thought that if they continued they should be every few years, not yearly because otherwise they become a bit mundane or repetitive in certain aspects.

FWIW - if I had the funds (I don't due to bizness being down) I probably would have gone on the NORDIC Do, as I would already be in Europe for a biz trip that ends just before ND & because SAS did such a great job on SMD1.

Cheers.

kokonutz May 28, 2013 12:41 pm

From the seat map it appears not many seats sold over the past few days. :(

nsx May 28, 2013 1:16 pm


Originally Posted by kokonutz (Post 20824849)
From the seat map it appears not many seats sold over the past few days. :(

Uh oh. The organizers could be in Mega doodoo. :eek:

mrpickles May 28, 2013 6:19 pm


Originally Posted by kokonutz (Post 20814589)
Some honest and frank navel-gazing on the MP thread.

I do think they are in a dilly of a pickle: they sold those platinum and gold memberships under the assumption that Megado seats would always be a prescious commodity and that having guaranteed access to them would have value.

Clearly this is not the case and the private charter approach has not even been implemented yet (under which one has to have paid $10 some months earlier just to have the opportunity to buy a seat thereby significantly limiting participation).

I would feel quite taken if I had paid $2k for a Guaranteed opportunity to buy a seat on a charter that looks like it may not sell out for another month or two.

Cute! Can I say "I told you so" yet?

kokonutz May 28, 2013 8:30 pm


Originally Posted by mrpickles (Post 20826612)
Cute! Can I say "I told you so" yet?

But I heard they sold out of gold and diamond memberships...so that's 60,000 reasons they are smarter than you. @:-) :p

nsx May 28, 2013 10:08 pm


Originally Posted by kokonutz (Post 20827201)
But I heard they sold out of gold and diamond memberships

Maybe these will now be converted free of charge to zirconium memberships!

nsx May 29, 2013 1:50 pm


Originally Posted by mrpickles (Post 20826612)
Cute! Can I say "I told you so" yet?

IMHO the right thing to do is to extend the gold and diamond memberships an extra year, and to do the same thing next year if that one doesn't sell out fast.

gpapadop May 29, 2013 10:33 pm


Originally Posted by nsx (Post 20827631)
Maybe these will now be converted free of charge to zirconium memberships!

This had me rolling on the floor!:D:D:D

airbus320 May 30, 2013 5:27 am

Is this a schadenfreude thread ?

nsx May 30, 2013 10:52 am


Originally Posted by airbus320 (Post 20834783)
Is this a schadenfreude thread ?

Absolutely. People who wish they had the time or money to go wanting to feel better about not going. I've never gone on one, but I'm certain these events are a total blast. I have attended FTU once and I had a great time.

I applaud the organizers for taking the risk to plan and execute these events. It's a labor of love, specifically the love of creating the best party you can.

Every party planner makes mistakes now and then, but we all appreciate a great party.

kokonutz Jun 25, 2013 1:46 pm

With a quick seat count showing ~50 or so still available, it appears there will be a 're-launch' of this charter event on July 3rd!

Apparently it will include hotel details (one presumes Marriotts as the fact that all participants of the SMD5 will enjoy a year+ (through 2014) of Marriott Rewards Platinum Elite status has already been announced), miles from AC and/or UA and a substantially lower coach price to sell all those spare seats.

nsx Jun 25, 2013 1:53 pm


Originally Posted by kokonutz (Post 20987998)
With a quick seat count showing ~50 or so still available, it appears there will be a 're-launch' of this charter event on July 3rd!

Apparently it will include hotel details (one presumes Marriotts as the fact that all participants of the SMD5 will enjoy a year+ (through 2014) of Marriott Rewards Platinum Elite status has already been announced), miles from AC and/or UA and a substantially lower coach price to sell all those spare seats.

The killer app would be allowing attendees to REDEEM miles for this trip. Given how much fun these events are, I'm puzzled why the airlines have not ALREADY auctioned MegaDo tickets to their program members for miles.

Maybe, just maybe, gleff is priming the pump for exactly this option with his VFTW post today.

kokonutz Jun 25, 2013 1:56 pm


Originally Posted by nsx (Post 20988035)
The killer app would be allowing attendees to REDEEM miles for this trip. Given how much fun these events are, I'm puzzled why the airlines have not ALREADY auctioned MegaDo tickets to their program members for miles.

Maybe, just maybe, gleff is priming the pump for exactly this option with his VFTW post today.

Presumably because the venture need to at least break even if not turn a profit! @:-)

nsx Jun 25, 2013 2:04 pm


Originally Posted by kokonutz (Post 20988057)
Presumably because the venture need to at least break even if not turn a profit! @:-)

These special events auctioned for miles ALWAYS sell at what a disinterested observer would call a high price.

The airline would have to pay the organizers full fare for the winners of the auction, but I presume that a high winning auction price in miles would make that exchange profitable on the books of the airline. Am I missing something?

kokonutz Jun 25, 2013 2:39 pm


Originally Posted by nsx (Post 20988122)
These special events auctioned for miles ALWAYS sell at what a disinterested observer would call a high price.

The airline would have to pay the organizers full fare for the winners of the auction, but I presume that a high winning auction price in miles would make that exchange profitable on the books of the airline. Am I missing something?

Beats me.

But from appearances, I would guess that the MegaDo sponsors prefer the airlines to participate by showering their customers with miles and/or status thereby attracting more cash customers?

Or maybe the airlines don't see the value for their typical frequent flyer the way some of us nerds might and so dont want to pay for the seats to do the auction?

Or maybe the sponsors didn't think of that approach.

In any case, I guess we'll see what the value proposition is on July 3...or so.

dhammer53 Jun 26, 2013 8:25 pm


Originally Posted by kokonutz (Post 20988349)

In any case, I guess we'll see what the value proposition is on July 3...or so.

Value? :confused: At those prices, there is zero value. Make no mistake, I'd love to fly around the world for a few days indulging my hobby. For that kind of money, I can have a grand vacation with my wife at a 4* property in a 4* city anywhere in the world I please. I can fly4free and stay4free.

And Toronto?? :p

The cost:
Tommy Class Emergency Exit 1999 (middle seat blocked)
Tommy Class 1799 (middle seat blocked)
Coach 1199

Lots of people drinking the coolaid or smoking the ganga. http://www.youtube.com/watch?v=3GjmJHS8aYg

dh

kokonutz Jun 27, 2013 10:05 am


Originally Posted by dhammer53 (Post 20996490)
Value? :confused: At those prices, there is zero value. Make no mistake, I'd love to fly around the world for a few days indulging my hobby. For that kind of money, I can have a grand vacation with my wife at a 4* property in a 4* city anywhere in the world I please. I can fly4free and stay4free.

And Toronto?? :p

The cost:
Tommy Class Emergency Exit 1999 (middle seat blocked)
Tommy Class 1799 (middle seat blocked)
Coach 1199

Lots of people drinking the coolaid or smoking the ganga. http://www.youtube.com/watch?v=3GjmJHS8aYg

dh

Well presumably some see value in the business and Tommy Class seats as those are sold out.

And apparently they are going to lower the price of the economy seats.

And I do see value in getting a pile of airline miles and top Marriott status for 14 or so months.

The problem, imho, is that visiting a luggage factory seems like a total bore. And if I want to look at an airplane graveyard, I can do that on my own. YYZ, TUS, SFO...been there/done that. An A321 (vs. the 787 last time)...meh.

So there is not much that seems 'once in a lifetime' about this one. Maybe that's the issue?

Now, the false-starter Brazil MegaDo with a waterfall flyby...I'd have been on that sucker in a heartbeat. ^

In any case, I am very interested to see what the guys come up with on the 3rd...although I wonder if they have considered that a LOT of their potential customers will be on vacation/traveling next week...?

freeloader Jul 3, 2013 3:54 pm

So I see today that the megado prices got reduced... And they are refunding the difference for those already paid...

My question - I thought this was a nonprofit, break even event - how then is this possible??

sbm12 Jul 3, 2013 4:22 pm


Originally Posted by freeloader (Post 21036207)
My question - I thought this was a nonprofit, break even event - how then is this possible??

Well, they changed the charter plane. That likely affected the price point. Also possible that additional sponsors were brought on board.

rehoult Jul 3, 2013 7:20 pm


Originally Posted by freeloader (Post 21036207)
So I see today that the megado prices got reduced... And they are refunding the difference for those already paid...

My question - I thought this was a nonprofit, break even event - how then is this possible??


Originally Posted by sbm12 (Post 21036382)
Well, they changed the charter plane. That likely affected the price point. Also possible that additional sponsors were brought on board.

Correct. Air Canada was charging 35% more for their 321 than UA charged for their 787 last year. So changing back to a UA 737 results in a significant cost savings that is being passed on.

dhammer53 Jul 3, 2013 10:06 pm


Originally Posted by sbm12 (Post 21036382)
Well, they changed the charter plane. That likely affected the price point. Also possible that additional sponsors were brought on board.

Don't you have inside information on this? :p ;)

dh

gpapadop Jul 3, 2013 10:34 pm


Originally Posted by dhammer53 (Post 21037707)
Don't you have inside information on this? :p ;) dh

What did you think the charter flight was on, JetBlue? :D

airbus320 Jul 4, 2013 7:50 am


Originally Posted by rehoult (Post 21037135)
Correct. Air Canada was charging 35% more for their 321 than UA charged for their 787 last year. So changing back to a UA 737 results in a significant cost savings that is being passed on.

Has changing the charter from AC ------> UA, will this affect the generosity of the events organized by AC in Toronto ?

rehoult Jul 4, 2013 8:16 am


Originally Posted by airbus320 (Post 21039326)
Has changing the charter from AC ------> UA, will this affect the generosity of the events organized by AC in Toronto ?

No, not at all. AC is running their entire fleet at 100% right now and doesn't have a single aircraft to spare right now due to the 787 delays. So when the quoted the trip, it was at a price that they felt made it worth their while to juggle the schedule. They understood the price was high and they understood the impact that was having on the event. SMD5 moving just means they can put the 321 on the transcon it was scheduled for.

They are still throwing an amazing event at YYZ and a great party that night (as any SMD3 flyer can attest to).

Edit: Also, AC has confirmed that flyer that choose to post the miles to AP will get any Elite bonus they are entitle to as well.

kokonutz Jul 4, 2013 11:09 pm

Good to see the overhead reduced. And new victims, er, volunteers on board.

$999 seems like a far better price point. Still not low enough to get the likes of me on a charter and a luggage factory tour.

But a far better price point.

Good luck to the organizers and their new volunteers on the re-launched event!

kokonutz Jul 10, 2013 10:14 am

RE-relaunch today!

Coach: $999
Economy Plus: $1299
Tommy Class (middle seat blocked): $1799 (was sold out, but equipment change opens up 4 seats)
Tommy Class Emergency Exit (middle seat blocked): $1999 (was sold out, but equipment change opens two seats)
First Class: $2799 (already sold out)

$300 to go from E- to E+, eh?

I read that UNITED charges an average of around $39 per leg for E+ on domestic flights, and around $100 on international legs....

But wait! There's more! Participants get the opportunity to buy a Rimowa bag in advance of the event....although I haven't seen the price posted anywhere.

2pm EST if anyone is interested in snatching up the premium seats...

rehoult Jul 10, 2013 4:22 pm

At 16:20 MDT...

Couple TC seats left. About 20 Economy seats left. First, TC exit and E+ sold out.

Rimowa bag will sell for $500 (essentially the same price as a non-SMD branded bag), with $200 of that going to charity.

kokonutz Jul 10, 2013 5:59 pm


Originally Posted by rehoult (Post 21075283)
At 16:20 MDT...

Couple TC seats left. About 20 Economy seats left. First, TC exit and E+ sold out.

Well that's progress! ^

But I must be counting wrong, as I see 28 economy seats available. Of course, as in real life, seat maps may not reflect load! :D ;)


Rimowa bag will sell for $500 (essentially the same price as a non-SMD branded bag), with $200 of that going to charity.
Do you know if the purchaser gets the tax credit for the $200?

airbus320 Jul 10, 2013 9:23 pm


Originally Posted by kokonutz (Post 21075765)
Well that's progress! ^

But I must be counting wrong, as I see 28 economy seats available. Of course, as in real life, seat maps may not reflect load! :D ;)



Do you know if the purchaser gets the tax credit for the $200?

If transaction occurs in Canada, will USA citizens and other non Canadians get the charitable deduction?

rehoult Jul 11, 2013 12:56 am


Originally Posted by kokonutz (Post 21075765)
Well that's progress! ^

But I must be counting wrong, as I see 28 economy seats available. Of course, as in real life, seat maps may not reflect load! :D ;)

Actually, you're correct. I'd counted 22, but I was on my iPhone at the time and missed a couple rows. Opps.


Originally Posted by kokonutz (Post 21075765)
Do you know if the purchaser gets the tax credit for the $200?


Originally Posted by airbus320 (Post 21076586)
If transaction occurs in Canada, will USA citizens and other non Canadians get the charitable deduction?

The transaction will occur in the States, as the payment will be made to FTEF, who will then make a mass order with Rimowa. I'm not a US tax expert, but you would likely be eligible to claim the $200 deduction. Generally, it would be handled as a $500 donation for which $300 in goods was received.

kokonutz Jul 11, 2013 8:06 am


Originally Posted by rehoult (Post 21077155)
The transaction will occur in the States, as the payment will be made to FTEF, who will then make a mass order with Rimowa. I'm not a US tax expert, but you would likely be eligible to claim the $200 deduction. Generally, it would be handled as a $500 donation for which $300 in goods was received.

If I was going to claim that deduction I'd be sure to get a receipt from the FTEF reflecting that! @:-)^

fti Jul 14, 2013 2:56 pm


Originally Posted by kokonutz (Post 21075765)
Do you know if the purchaser gets the tax credit for the $200?

But since no one's tax rate is 100%, the tax savings is relatively small compared to the $200 deduction (not credit - there is a huge difference).

kokonutz Jul 16, 2013 9:29 am


Originally Posted by fti (Post 21095826)
But since no one's tax rate is 100%, the tax savings is relatively small compared to the $200 deduction (not credit - there is a huge difference).

Yes, it amounts to a small reduction in taxes, but a big penalty if taken and it turns out in an audit that it is not an allowed deduction. @:-)

Looks like the event is down to 24 in coach and 3 in Tommy Class.

Will they come up with a new discount?

Find an even smaller plane?

Press the PR hard?

rehoult Jul 18, 2013 3:14 pm


Originally Posted by rehoult (Post 21075283)
Rimowa bag will sell for $500 (essentially the same price as a non-SMD branded bag), with $200 of that going to charity.

Before anyone else comes out and says it, this is wrong, and I screwed it up. The price will be $595 per bag, which is identical to the MSRP. Apparently I missed the *95* part of the price during that phone call and was just informed of my mistake.

$200 of the price will go to charity and you will receive a donation receipt for it.

This was completely my error. Sorry.

fti Jul 18, 2013 7:55 pm


Originally Posted by kokonutz (Post 21106126)
Yes, it amounts to a small reduction in taxes, but a big penalty if taken and it turns out in an audit that it is not an allowed deduction.

Why would it not be an allowed deduction if someone gets a receipt confirming tax deductibility? Also, many IRS penalties can be abated, especially if it can be shown that such deductions were taken in good faith. Not all adjustments during audits incur "big penalties."


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