1/2/09 NW E-mail: Transfer Miles NW<->DL, New Award Fees, Sat Night Stay Elim, Etc
#151
FlyerTalk Evangelist
Join Date: Jul 1999
Location: ORD/MDW
Programs: BA/AA/AS/B6/WN/ UA/HH/MR and more like 'em but most felicitously & importantly MUCCI
Posts: 19,719
Same here. Current balance: 299. I burned almost everything this fall on 2009 family travel and just spent the last few thousand on custom luggage tags. I'm out. End of an era. With this fee structure and scant availiability, there's virtually no point in redeeming miles at all. So the inevitable crash is here: the currency has become worthless.
#152
FlyerTalk Evangelist
Join Date: Sep 2002
Location: IND
Programs: DL PM & 2MM™, Lifetime HHonors Diamond
Posts: 20,889
If WN flew from CVG and if Wn flew to Asia and Europe, I would defect, too.
But they don't. And until they start flying the routes you suggest and the routes I suggest, it is purely hypothetical.
WN is using guerilla tactics quite successfully in the current market conditions. But there are limitations to this type of business model. That doesn't mean they won't continue to be successful, but there are boundries they won't be able to breach unless they change their model. And frankly, why fix something that isn't broke ? Although their stock is also trading near their 52 week low.
But they don't. And until they start flying the routes you suggest and the routes I suggest, it is purely hypothetical.
WN is using guerilla tactics quite successfully in the current market conditions. But there are limitations to this type of business model. That doesn't mean they won't continue to be successful, but there are boundries they won't be able to breach unless they change their model. And frankly, why fix something that isn't broke ? Although their stock is also trading near their 52 week low.
#153
Join Date: Jan 2006
Location: CONUS
Posts: 947
Wrong on Frontier
Frontier removed a lot of their fees the other week when they rolled out their Air Fairs...you should go check out their letter where they apologize for having to put fees on awards in the first place but basically the company's future was on the line.
#154
Join Date: Dec 2002
Location: PDX
Programs: AS MVP, HH Diamond
Posts: 2,561
I am definitely NOT an airline apologist. I am as upset with the changes that DL has made as anyone posting here.
BUT....
Who is the real customer? The shareholders ! Unless they are happy, the management is on the hot seat. How do you make stock holders happy? You make a profit, something that most legacy airlines have not been successful in doing since 9/11.
BUT....
Who is the real customer? The shareholders ! Unless they are happy, the management is on the hot seat. How do you make stock holders happy? You make a profit, something that most legacy airlines have not been successful in doing since 9/11.
The only airline which has been consistently profitable over time is WN. They are quite a different animal in many respects, and an apples to apples comparison is not possible; but at least ONE of the things they do differently right now is not nickel-and-dime their customers. For me, in 2009, given what DL/NW is doing, that is enough.
#155
Join Date: Jan 2008
Location: Brooklyn, NY
Programs: Delta Skymiles (Silver), PriorityClub (Platinum), BA, AA, CO, Hilton Honor, SPG
Posts: 344
DL/NW is really making all the loyal customers disappointed this time. I, personally, wouldn't want to fly NW/DL anymore. I usually do mileage runs once a month. But I dont' see the point anymore sad. but it's reality..
#156
Join Date: Dec 2002
Location: Twin Cities, Minnesota, USA
Programs: Delta DM / 1M, IHG Plat, HH Gold, Marriott Titanium, Hertz PC, Emerald Club Exec
Posts: 500
you give them too much credit. The fact is, airlines have en masse lost money since the industry began more than 100 years ago. 9/11 is just the most recent loss stimulus, but airline management has traditionally been inept. Given that reality, I could argue that everything the airlines think they know about running a business, keeping their customers AND shareholders happy, and turning a profit, is frankly wrong and they should all be taken out back to the woodshed. They have proven their incompetence by running literally dozens of airlines into BK and oblivion; they don't deserve any more leniency, consideration, or benefit of the doubt.
The only airline which has been consistently profitable over time is WN. They are quite a different animal in many respects, and an apples to apples comparison is not possible; but at least ONE of the things they do differently right now is not nickel-and-dime their customers. For me, in 2009, given what DL/NW is doing, that is enough.
The only airline which has been consistently profitable over time is WN. They are quite a different animal in many respects, and an apples to apples comparison is not possible; but at least ONE of the things they do differently right now is not nickel-and-dime their customers. For me, in 2009, given what DL/NW is doing, that is enough.
I haven't been NW Platinum in years now. I'm currently a lowly silver. I'm the customer who still has a fair amount of banked miles because I save them for emergencies. Being in MSP with elderly parents who live elsewhere, a last minute ticket that doesn't cost a fortune has been nearly impossible to find. Even with the new charges, it would still be less than I would spend otherwise.
My saving grace? Now that WN is coming to town I have options! I'll be exploring them in 2009. I'm pretty sure I would fly enough to hit gold in 2009. But, I will be splitting those miles between NW and WN now.
#157
Join Date: Jun 2005
Location: AUS
Programs: AA Exec Platinum/MM, DL Gold/MM, Hilton Diamond, Accor Platinum, Hertz Presidents Circle
Posts: 6,976
To put this in perspective, see what DL/NW's competitors charge to redeem awards:
CO - $75 if within 21 days. Even platinums pay a (reduced) fee within 14 days. $150 for changes and redeposits. Platinums exempt.
AA - $50 if 20 - 7 days before departure, $100 if 6 days or less. $20 call center fee. EXPs exempted. $150 for changes and redeposits. No elite exemptions.
UA - $75 if 20 - 7 days before departure, $100 if 6 days or less. $25 call center fee. $150 for most changes and redeposits. 1K's exempt from all fees.
AS - No award booking fees. $75-100 change and redeposit fee. MVP Golds exempt.
US - $25-50 fee to redeem any award ("award processing fee"). No exemptions. $50-75 "quick ticketing" fee if within 14 days. $30 call center fee. $150-250 change and redeposit fee. CP's exempt from quick ticketing, call center and change fees.
BA - No award booking fees for US-based customers. $20 call center fee. $70 for changes and redeposits. Not sure about elite exemptions.
WN - No fees.
Obviously NW/DL's new fee structure is similar to other major US-based carriers' although they have leaped "ahead" of most of the competition in the dollar amounts. Be thankful we're not US. Why they even maintain a loyalty program is beyond me.
And be thankful if you're a NW plat. We still have a pretty good deal.
CO - $75 if within 21 days. Even platinums pay a (reduced) fee within 14 days. $150 for changes and redeposits. Platinums exempt.
AA - $50 if 20 - 7 days before departure, $100 if 6 days or less. $20 call center fee. EXPs exempted. $150 for changes and redeposits. No elite exemptions.
UA - $75 if 20 - 7 days before departure, $100 if 6 days or less. $25 call center fee. $150 for most changes and redeposits. 1K's exempt from all fees.
AS - No award booking fees. $75-100 change and redeposit fee. MVP Golds exempt.
US - $25-50 fee to redeem any award ("award processing fee"). No exemptions. $50-75 "quick ticketing" fee if within 14 days. $30 call center fee. $150-250 change and redeposit fee. CP's exempt from quick ticketing, call center and change fees.
BA - No award booking fees for US-based customers. $20 call center fee. $70 for changes and redeposits. Not sure about elite exemptions.
WN - No fees.
Obviously NW/DL's new fee structure is similar to other major US-based carriers' although they have leaped "ahead" of most of the competition in the dollar amounts. Be thankful we're not US. Why they even maintain a loyalty program is beyond me.
And be thankful if you're a NW plat. We still have a pretty good deal.
#158
Join Date: Oct 2004
Location: Anywhere but home
Programs: UA 1K/MM, DL GM/MM, HH Dia, PC Plat, MR Gold, ALL Sil,
Posts: 4,552
to DL. Sinking to yet another low. It really hurts to see NW being led by such idiots in the loyalty program department.
OT, but:
Who is the real customer? The shareholders ! Unless they are happy, the management is on the hot seat. How do you make stock holders happy? You make a profit, something that most legacy airlines have not been successful in doing since 9/11. As was pointed out by another poster, DL is probably on a very short leash, in terms of showing a profit.
Hmmm, if this was the case, then why did NW and DL (and of course other airlines) file for bankruptcy earlier this decade, while sitting on billions in cash? They royally screwed the shareholders (including myself), rendering their stock worth pennies. Certainly this was not done for the shareholders, so why would they start now? Many airline corporates haven't given a rat's ... for shareholders for years now.
OT, but:
Who is the real customer? The shareholders ! Unless they are happy, the management is on the hot seat. How do you make stock holders happy? You make a profit, something that most legacy airlines have not been successful in doing since 9/11. As was pointed out by another poster, DL is probably on a very short leash, in terms of showing a profit.
#159
Join Date: Dec 2007
Location: DSM
Programs: UA Platinum, Hilton Diamond, Hertz Pres. Circle
Posts: 235
#160
Join Date: Mar 2007
Location: US
Programs: DL GE
Posts: 1,654
Obviously NW/DL's new fee structure is similar to other major US-based carriers' although they have leaped "ahead" of most of the competition in the dollar amounts. Be thankful we're not US. Why they even maintain a loyalty program is beyond me.
And be thankful if you're a NW plat. We still have a pretty good deal.
And be thankful if you're a NW plat. We still have a pretty good deal.
Regardless of who does it, NWA didn't a month ago and whether they would had or not without the merger, I guess no one can say for sure.
It is just coincidental that A) we knew the merger would suck and B) it is the suck.
#161
Company Representative - Northwest Airlines
Join Date: Apr 2007
Location: MSP
Programs: NW WorldPerks
Posts: 377
Note from Bob Soukup
Hello FlyerTalkers,
It is times like this when I appreciate the FlyerTalk forum the most. While we get feedback from our Reservations offices, it is never as detailed as what I get from the FlyerTalkers. Please be assured that we are reading every post.
A couple of notes about the changes made to synchronize with SkyMiles are below. My comments are not made to convince you to like all items, but hopefully they will at least give you some insight into the reason behind their implementation.
Rapid Redemption Fees: As many of you have guessed, the purpose of these fees is not really to generate revenue, but to avoid last minute business travel dilution/displacement (from award travel). The fees are 100% avoidable, provided that you buy your tickets in advance.
Change/redeposit Fees: The purpose of this fee is to keep people from wasting scarce seats. Booking multiple versions of the same trip and canceling back (often cancelling after the flights have departed) wastes tens of thousands of seats per year. In an era when seats are scarce and valuable, this takes an award seat away from someone else in the program. Note that our fees are still lower than many of the competitors.
3-tier award structure. I know this has been a controversial item, however, to be clear: We are NOT changing the amount of PerkSaver access. The 3-tier award structure gives customers an incentive to move from the most peak flights when using PerkPass. Our test of the program and DL's actual use show award travel increases, average miles used per award ticket declines, and people tend to not take the last seat on peak flights (more revenue for the airline). I understand your skepticism, but it really is a win-win, especially for domestic award travel.
Lastly, I'll note that there is lots of good news out there too. We kept our segment qualification, we're implementing comp international upgrades in the elite kits, we've kept the 500 mile minimum, and there is more good news on the way. For example, look for WorldPerks to move to a much more generous (DL-like) million mile program.
We'll work to keep you informed, and keep watching your posts for feedback. Thanks to all of you. Best regards.
Bob Soukup
Managing Director -- WorldPerks
It is times like this when I appreciate the FlyerTalk forum the most. While we get feedback from our Reservations offices, it is never as detailed as what I get from the FlyerTalkers. Please be assured that we are reading every post.
A couple of notes about the changes made to synchronize with SkyMiles are below. My comments are not made to convince you to like all items, but hopefully they will at least give you some insight into the reason behind their implementation.
Rapid Redemption Fees: As many of you have guessed, the purpose of these fees is not really to generate revenue, but to avoid last minute business travel dilution/displacement (from award travel). The fees are 100% avoidable, provided that you buy your tickets in advance.
Change/redeposit Fees: The purpose of this fee is to keep people from wasting scarce seats. Booking multiple versions of the same trip and canceling back (often cancelling after the flights have departed) wastes tens of thousands of seats per year. In an era when seats are scarce and valuable, this takes an award seat away from someone else in the program. Note that our fees are still lower than many of the competitors.
3-tier award structure. I know this has been a controversial item, however, to be clear: We are NOT changing the amount of PerkSaver access. The 3-tier award structure gives customers an incentive to move from the most peak flights when using PerkPass. Our test of the program and DL's actual use show award travel increases, average miles used per award ticket declines, and people tend to not take the last seat on peak flights (more revenue for the airline). I understand your skepticism, but it really is a win-win, especially for domestic award travel.
Lastly, I'll note that there is lots of good news out there too. We kept our segment qualification, we're implementing comp international upgrades in the elite kits, we've kept the 500 mile minimum, and there is more good news on the way. For example, look for WorldPerks to move to a much more generous (DL-like) million mile program.
We'll work to keep you informed, and keep watching your posts for feedback. Thanks to all of you. Best regards.
Bob Soukup
Managing Director -- WorldPerks
#163
Suspended
Join Date: Nov 2003
Location: Tucson, AZ, USA. UA 1K, reluctant but * best in class * DL FO/MM. Former BA jumpseat rider and scourge of Dilbertian management and apologists. As LX might - and do - say: "....an experienced frequent flyer of international airlines"
Posts: 3,386
Bob, Scoopy, thanks for the update.
Please see my Open Letter to R.A and E.B. on the DL board for more of my comments:
http://www.flyertalk.com/forum/delta...nwa-elite.html
About those using awards to substitute for high-rev business travel, I wonder if there is no other method of defending this revenue other than the bad DL idea of stepped fees? Often, we redtail riders change our award itins for vac because seats open up within these windows. If the fee structure is too onerous and it effectively kills award vac travel, you'll find it will also kill membership incentive and render the FFP useless.
Please see my Open Letter to R.A and E.B. on the DL board for more of my comments:
http://www.flyertalk.com/forum/delta...nwa-elite.html
About those using awards to substitute for high-rev business travel, I wonder if there is no other method of defending this revenue other than the bad DL idea of stepped fees? Often, we redtail riders change our award itins for vac because seats open up within these windows. If the fee structure is too onerous and it effectively kills award vac travel, you'll find it will also kill membership incentive and render the FFP useless.
#164
Join Date: Oct 2002
Location: DFW
Programs: OWE AA EXP;*A TK Gold; Marriott LTT; Hyatt Globalist; IHG Plat; National VIP
Posts: 3,097
#165
Join Date: Jun 2005
Location: AUS
Programs: AA Exec Platinum/MM, DL Gold/MM, Hilton Diamond, Accor Platinum, Hertz Presidents Circle
Posts: 6,976