Post Your Questions for the LH CEO During 2013 Dialog Event

Old Nov 4, 2013, 11:35 pm
  #76  
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Originally Posted by Rambuster
In short: LH wants your cash and wants to give you less and less in return.
Good news or no news if you travel in full fare F or J but bad news for every one else not in this target group.

More enhancements will follow, especially with earnings on partner airlines (as predicted).

In summary: No money no honey!
(Perhaps LH needs to relocate their HQ to Soi Cowboy in BKK...)
I will post my perspective of the meeting later today or tomorrow, but for those can't be bothered with details or whose attention spans are limited to three sentences, Rambuster's initial summary is quite good. I would just add the there is also no new news if you travel in full fare Y. All else is subject to continuing enhancement.

It is clearer now to me what LH is, now it is just a matter of discussing the price...
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Old Nov 5, 2013, 1:06 am
  #77  
 
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Rambuster's summary hits the nail on the head.

The main statement really was, that unless you fly in F, J or Y you are not a money earning and interesting customer.

A few more notes:
- They are fully aware. that full flex C is not full flex anymore, since revenue mangement zeroes out C/D/Z 2-3 days before departure.
- Status will lose importance against the value of your current ticket.
- They assume, that business travel reached its peak, and try to attract more lesiure travel.
- Cash and Miles is planned

- Y+ will have 10% less seats compared to regular Y.

It really enjoyed the very open atmosphere of the discussion.

Last edited by peter42; Nov 5, 2013 at 1:18 am
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Old Nov 5, 2013, 1:11 am
  #78  
 
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Originally Posted by peter42
Rambuster's summary hits the nail on the head.

The main statement really was, that unless you fly in F, J or Y you are not a money earning and interesting customer.

A few more notes:
- They are fully aware. that full flex C is not full flex anymore, since revenue mangement zeroes out C/D/Z 2-3 days before departure.
- Status will lose importance against the value of your current ticket.
- They assume, that business travel reached its peak, and try to attract more lesiure travel.

- Y+ will have 10% less seats compared to regular
What a crapy business model, however, this is how is LH business style nowadays.
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Old Nov 5, 2013, 1:39 am
  #79  
 
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Originally Posted by NA-Flyer
What a crapy business model, however, this is how is LH business style nowadays.
+1
These may have some effect very short term. In the long run the consumers will learn to treat LH in the same transactional behavior.
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Old Nov 5, 2013, 1:43 am
  #80  
 
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Originally Posted by GBM.flights
+1
These may have some effect very short term. In the long run the consumers will learn to treat LH in the same transactional behavior.

Thing is, they know that.

To ad lib, "if you are going to be a best buyer, don't be surprised if we are a best seller"
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Old Nov 5, 2013, 1:50 am
  #81  
 
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Originally Posted by Wickersley
Thing is, they know that.

To ad lib, "if you are going to be a best buyer, don't be surprised if we are a best seller"
I can only confirm what everybody else has said. It was very interesting and a very open and honest dialogue. The problem with what Wickersley describes is that someone has to make the first step (move first). I think the attitude that was communicated yesterday is short sighted, because you as a supplier should tKe the first step (my personal opinion). If I don't feel valued then it is a tough decision on my side whether I am willing to spend the extra money "just because" if (quote) you're a best buyer, then I act as a best seller. Period. (End quote).

However, I do really appreciate the open communication during yesterday's event.
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Old Nov 5, 2013, 1:52 am
  #82  
 
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plus some minor pieces of information, e.g.:
- the plan is to have 70% of the l/h fleet with F
- introduction of the new C seat means 12% less C capacity when compared to SlipperySlope (TM)
- the importance of being able to book an exit row in advance appeared to be a surprise for them
- there is about 180k SENs out of the ~20m members overall
- allegedly their models (based on travelling patterns data they have access to) forecast that the upcoming changes in Y earning will impact the requalification of ~5k SENs

Last edited by whiskey_sk; Nov 5, 2013 at 2:03 am Reason: wrong info fixed
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Old Nov 5, 2013, 1:59 am
  #83  
 
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Originally Posted by whiskey_sk
plus some minor pieces of information, e.g.:
- the plan is to have 70% of the l/h fleet without F
The way I heard it was the other way round. 70% with F.
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Old Nov 5, 2013, 2:02 am
  #84  
 
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Originally Posted by cas_de
The way I heard it was the other way round. 70% with F.
of course, you're right, need to fix that. Went to sleep at 2am and had to get up at 5:30am to catch a flight, mea culpa... :ashamed:
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Old Nov 5, 2013, 2:06 am
  #85  
 
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Originally Posted by whiskey_sk
- the importance of being able to book an exit row in advance appeared to be a surprise for them
now we know the next enhancement

Originally Posted by whiskey_sk
- allegedly their models (based on travelling patterns data they have access to) forecast that the upcoming changes in Y earning will impact the requalification of ~5k SENs
they should be more worried about those SENs who choose not to requalify because of all the enhancements, my guess is that's way more then ~5k
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Old Nov 5, 2013, 2:07 am
  #86  
 
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Originally Posted by Wickersley
To ad lib, "if you are going to be a best buyer, don't be surprised if we are a best seller"
The fact is - LH is not necessarily a "best seller"!

I was just reviewing some trip reports on board QR and EK recently on You Tube - it puts the current LH hard and soft product to shame.

Originally Posted by whiskey_sk
allegedly their models (based on travelling patterns data they have access to) forecast that the upcoming changes in Y earning will impact the requalification of ~5k SENs
I bet it will be more!
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Old Nov 5, 2013, 2:09 am
  #87  
 
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Originally Posted by cas_de
The way I heard it was the other way round. 70% with F.
Agreed ^
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Old Nov 5, 2013, 2:14 am
  #88  
 
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Originally Posted by mapu
now we know the next enhancement
This was one area where I felt that took on board the comments from the group

Current policy is that anyone can book the exit row at booking - paying the 60 fee

It was recommended that Sen's are allowed to pay for the exit row at check in

Yes, we really did offer to PAY for the benefit, as the current system does not work - ie someone else buys the seat...
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Old Nov 5, 2013, 2:16 am
  #89  
 
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Originally Posted by Wickersley
Yes, we really did offer to PAY for the benefit, as the current system does not work - ie someone else buys the seat...
Pardon me?? Did I read this correctly??

What is actually happening with bookings at present??

(Not flying LH recently...)
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Old Nov 5, 2013, 2:51 am
  #90  
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There was one comment that they "still" credit 300% in F.
I read the "still" as "soon to be discontinued". Perhaps I'm just paranoid...
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