How to attract premium travelers back to UA.
Apr 27, 2014, 11:20 pm
#76
Used to be MJ-bos
Join Date: Jun 2002
Location: San Diego, California USA
Programs: AA ExecPlat, COdbaUA 1P & 2MM, HH Diamond, Marriott Gold, SPG Gold, IHG Gold, Avis 1st
Posts: 228
It's painfully simple - imho...
1. Fix the under-performing areas to be as good or better than your peers (UA club, IT infrastructure, food/beverage offerings, etc)
2. Make it easy and friendly to do business with (trust, operations performing as promised, people are friendly (really friendly, not an ad tagline)
3. Be price competitive
4. Reach out to "lost" customers... and AFTER #1-3 are fixed, ask them to come back and try the NEW UA.
I'm still flabbergasted that after almost 20 years - 2M miles - 8 years as a 1K - when I suddenly stopped flying them ... I haven't heard a peep from UA. Not a letter, email, TXT, or phone call. I have gotten 3 calls in 18 months from AA asking me "how are we doing, what can we do better".
Then again, I haven't seen or heard of much changing for the better since I left, so it would be pointless to jump to #4 right now.
I heard a senior exec. in the MP program speak in 2013 and got the impression that the culture was "we will be a better airline with better planes, better hubs, people will come back to us for that"
Guess people aren't buying what they are trying to sell?
1. Fix the under-performing areas to be as good or better than your peers (UA club, IT infrastructure, food/beverage offerings, etc)
2. Make it easy and friendly to do business with (trust, operations performing as promised, people are friendly (really friendly, not an ad tagline)
3. Be price competitive
4. Reach out to "lost" customers... and AFTER #1-3 are fixed, ask them to come back and try the NEW UA.
I'm still flabbergasted that after almost 20 years - 2M miles - 8 years as a 1K - when I suddenly stopped flying them ... I haven't heard a peep from UA. Not a letter, email, TXT, or phone call. I have gotten 3 calls in 18 months from AA asking me "how are we doing, what can we do better".
Then again, I haven't seen or heard of much changing for the better since I left, so it would be pointless to jump to #4 right now.
I heard a senior exec. in the MP program speak in 2013 and got the impression that the culture was "we will be a better airline with better planes, better hubs, people will come back to us for that"
Guess people aren't buying what they are trying to sell?
Apr 28, 2014, 12:00 am
#77
Join Date: Mar 2014
Location: SFO
Programs: UA GS / MM
Posts: 208
Even if they had the billions to spare on such an enterprise, it would be an entirely vain effort. How would they compete? Fire the legions of grannies? Shake off the unions? Pay negative taxes at their fortress hub. Expelle the TSA and raid the airports to be able to install decent lounges?
The problems to compete with a CX or an SQ on that field are insurmountable.
The problems to compete with a CX or an SQ on that field are insurmountable.
Apr 28, 2014, 12:08 am
#78
A FlyerTalk Posting Legend
Join Date: Apr 2013
Location: PHX
Programs: AS 75K; UA 1MM; Hyatt Globalist; Marriott LTP; Hilton Diamond (Aspire)
Posts: 56,461
Different topic, I was kinda shocked this evening to see the pre-flight promotional video trumping MP as a UA strength . . . "best award availability," etc.
Apr 28, 2014, 5:30 am
#81
Join Date: Aug 2004
Location: OSL/IAH/ZRH (time, not preference)
Programs: UA1K, LH GM, AA EXP->GM
Posts: 38,265
The US carriers were lone stars when it comes to FFPs. Why they had to abandon that fortress is still somewhat beyond me. I had no qualms flying UA over SQ every single time because of the bribes I did receive. Now with worthless miles, I do consider 6 slings on a SIN-NRT over one diet coke plus a handful of bonus miles.
Apr 29, 2014, 6:21 am
#82
Join Date: Oct 2009
Location: Austin, TX
Programs: AA LT Plat, UA 1k/1mm+, National EE, IC Plat, Bonvoy Gold
Posts: 2,605
The US carriers were lone stars when it comes to FFPs. Why they had to abandon that fortress is still somewhat beyond me. I had no qualms flying UA over SQ every single time because of the bribes I did receive. Now with worthless miles, I do consider 6 slings on a SIN-NRT over one diet coke plus a handful of bonus miles.
Apr 29, 2014, 6:51 am
#83
Join Date: May 2001
Location: Since the BoSox and ChiSox won it, now it is the Cubs turn to take the Series. Go Cubs Go!
Posts: 3,685
I sent this to customer care this afternoon. Please feel free to discuss/debate, but keep it professional (as always)!
_____________________________
In view of the company's continuing deteriorating financial performance, I would like to make four specific suggestions for attracting premium travelers back to United (those who give you the highest yield):
1. The premium cabin product is lacking. Food quality was good under Continental, it is now dismal. Premium cabin passengers should board ahead of Group 1.
2. Pricing for premium cabins should be consistent and predictable. Please have affordable, advance-booking P fares and please release upgrade and award saver inventory far out so that people can plan their trips accordingly. People don't like upgrade lottery. I usually fly premium cabins and am willing to pay extra for it but I want it confirmed at the time of ticketing. Twice this year I took my business to DL and AA. In the first instance, they were able to confirm an upgrade seat on a flight to Europe. UA does not release upgrade inventory early. In the second instance, P fare in first on AA was about 40% lower than on UA.
3. Change MP so that miles are earned in relation to dollars spent, not in relation to miles traveled.
4. Please upgrade the United Clubs. Maybe follow Qantas example on their domestic network within Australia and have a separate class of business lounges for passengers travelling in premium cabins domestically.
If you can attract premium travelers back to UA, everyone else will benefit from it. Profits will go up and with it employee morale will go up. This will eventually convert in higher passenger satisfaction even in the economy cabins.
You should also consider this: you need to empower your employees at the local level to make decisions/exceptions to rules when such exceptions make good business sense to take care of passengers. I had a bad experience recently at the EWR UC with a conference room reservation and nobody could resolve the matter for me. Too many decisions now are made by the computer, and your agents are nothing than a human equivalent of the IT interface.
Please empower your people and you will be surprised to see how far they can take you.
_____________________________
In view of the company's continuing deteriorating financial performance, I would like to make four specific suggestions for attracting premium travelers back to United (those who give you the highest yield):
1. The premium cabin product is lacking. Food quality was good under Continental, it is now dismal. Premium cabin passengers should board ahead of Group 1.
2. Pricing for premium cabins should be consistent and predictable. Please have affordable, advance-booking P fares and please release upgrade and award saver inventory far out so that people can plan their trips accordingly. People don't like upgrade lottery. I usually fly premium cabins and am willing to pay extra for it but I want it confirmed at the time of ticketing. Twice this year I took my business to DL and AA. In the first instance, they were able to confirm an upgrade seat on a flight to Europe. UA does not release upgrade inventory early. In the second instance, P fare in first on AA was about 40% lower than on UA.
3. Change MP so that miles are earned in relation to dollars spent, not in relation to miles traveled.
4. Please upgrade the United Clubs. Maybe follow Qantas example on their domestic network within Australia and have a separate class of business lounges for passengers travelling in premium cabins domestically.
If you can attract premium travelers back to UA, everyone else will benefit from it. Profits will go up and with it employee morale will go up. This will eventually convert in higher passenger satisfaction even in the economy cabins.
You should also consider this: you need to empower your employees at the local level to make decisions/exceptions to rules when such exceptions make good business sense to take care of passengers. I had a bad experience recently at the EWR UC with a conference room reservation and nobody could resolve the matter for me. Too many decisions now are made by the computer, and your agents are nothing than a human equivalent of the IT interface.
Please empower your people and you will be surprised to see how far they can take you.
The best method to award those whom spend more is to increase their mileage earnings in a manner in which LH awards miles for high class fares like A & F which earn up to 300 percent mileage for flights. United does this to some already, but they could increase it. Compare the Lh & UA mileage earning charts.
http://www.miles-and-more.com/online...d=2507840&l=en
http://www.united.com/CMS/en-US/Mark...es/united.aspx
UA would be wise to still keep the elite bonus RDMs as well provide a strong incentive for loyalty. At the same time, awarding 1 mile for every mile flown keeps the current system in place and would not make elites and general members change their loyalty. Otherwise, forget loyalty & frequent flyer miles, and just buy the best value product for the price on any number of carriers.
Apr 29, 2014, 11:01 am
#84
Join Date: Sep 2013
Programs: AA Exec Plat, UA 1K, SPG Plat, Marriott Gold, Hyatt Plat
Posts: 201
No, just realistic. US legacies cannot compete with CX or SQ on a quality of product basis. The asian carriers (particularly these two, with their single financial center hubs) have intrinsic economic, structural, and cultural advantages. DL can come closest, since it's not burdened with union FAs, but it still can't get past the other factors.
Different topic, I was kinda shocked this evening to see the pre-flight promotional video trumping MP as a UA strength . . . "best award availability," etc.
Different topic, I was kinda shocked this evening to see the pre-flight promotional video trumping MP as a UA strength . . . "best award availability," etc.
1. Seats - regardless of the comfort, 8-across business with little privacy and possibly "eye contact" with another passenger for 8 hours in unacceptable. Even just putting the PMCO seats in a 2-2-2 configuration would help a lot.
2. Food - the worst food ever. I just flew JFK-LAX in the PS service, and the food was awful. I've had better food on long-haul (non PS) AA flights than what UA served. The Jeffwich turkey sausage for breakfast is indescribably inedible.
3. Service - This is where UA (and AA and DL) can't really do much. Senior citizen flight attendants for some reason get these flights due to their seniority. Logically who should give better service on a 15-hour flight, a 30 year old FA or one who's 75? I'm sorry, but these old grannies sometimes just don't have the stamina to keep going for the required time. Unfortunately the unions and union rules make service/staff improvements nearly impossible.
U.S. airlines need to get #1 and #2 right. They then need to price their premium cabins lower than EK, SQ, or CX to reflect the fact that they know they can't compete on #3.
Apr 29, 2014, 11:07 am
#85
Join Date: May 2005
Programs: Million Miler, 1K - Basically spend a lot of time on planes
Posts: 2,202
3. Service - This is where UA (and AA and DL) can't really do much. Senior citizen flight attendants for some reason get these flights due to their seniority. Logically who should give better service on a 15-hour flight, a 30 year old FA or one who's 75? I'm sorry, but these old grannies sometimes just don't have the stamina to keep going for the required time. Unfortunately the unions and union rules make service/staff improvements nearly impossible.
U.S. airlines need to get #1 and #2 right. They then need to price their premium cabins lower than EK, SQ, or CX to reflect the fact that they know they can't compete on #3.
U.S. airlines need to get #1 and #2 right. They then need to price their premium cabins lower than EK, SQ, or CX to reflect the fact that they know they can't compete on #3.
Apr 29, 2014, 11:24 am
#86
Join Date: Dec 2009
Location: Los Angeles& Telluride
Programs: UA1K, 1MM,AA Exec. Platinum, Global Entry, Nexus
Posts: 731
A few thoughts
In my opinion this thread is all about international travel.
Anything domestic is a joke and should be. You don't need a lie flat on a transcon or under 4 hour flight.
On the international spectrum, its been said here before, UA was the first in the game on lie flats. That said, these decisions were made years ago and products were not as well designed or developed as todays current ones are. See AA, they are very late to the game, yet because they are, they are mimicking other models out there and creating a much nicer hard product. It will probably be years before UA takes the next leap and improve their hard product. Sadly, as the 787's come online UA is F-ing up their hard product. That said, if you don't have a reason to fly them (mine is I"m 188,000 miles away from 2MM BIS) then you are better off with international carriers thru the star alliance.
Sad, because I remember how good it used to be to have 1K status with UA.
I wonder if UA insider ever reads these and tries to advocate for passengers. What a frustrating job that must be if he really cares about passenger experiences.
Anything domestic is a joke and should be. You don't need a lie flat on a transcon or under 4 hour flight.
On the international spectrum, its been said here before, UA was the first in the game on lie flats. That said, these decisions were made years ago and products were not as well designed or developed as todays current ones are. See AA, they are very late to the game, yet because they are, they are mimicking other models out there and creating a much nicer hard product. It will probably be years before UA takes the next leap and improve their hard product. Sadly, as the 787's come online UA is F-ing up their hard product. That said, if you don't have a reason to fly them (mine is I"m 188,000 miles away from 2MM BIS) then you are better off with international carriers thru the star alliance.
Sad, because I remember how good it used to be to have 1K status with UA.
I wonder if UA insider ever reads these and tries to advocate for passengers. What a frustrating job that must be if he really cares about passenger experiences.
Apr 29, 2014, 11:27 am
#87
Join Date: Sep 2013
Programs: AA Exec Plat, UA 1K, SPG Plat, Marriott Gold, Hyatt Plat
Posts: 201
I think it's unfair to lump DL/AA in with United. It used to be the gulf was between the US Carriers and the SQ etc, but truthfully AA/DL have now pulled themselves way ahead of UA also. This isn't to say that they don't get the odd dragon flight attendant like UA, but they don't get it with anything like the regularity that UA does now.
My point was that UA often charges similar prices in Business to other carriers, like ANA or SQ yet has no hope of delivering on the same SERVICE.
Apr 29, 2014, 12:10 pm
#88
Join Date: Sep 2009
Programs: UA GS>1K>Nothing; DL DM 2MM; AS 75K>Nothing>MVP
Posts: 9,341
The sad thing is that UA could very easily make substantial improvements to their international GF product at very little cost.
1. Real curtains at the front and back of the cabin.
2. Slight modification to the aisle sides of the seat to put in very simple privacy screens.
3. Require their employees to act in a professional and friendly manner.
4. Upgrade good customers into GF instead of filling it with non-revs.
5. Better food and drink.
6. Pre-board GF along with GS.
1. Real curtains at the front and back of the cabin.
2. Slight modification to the aisle sides of the seat to put in very simple privacy screens.
3. Require their employees to act in a professional and friendly manner.
4. Upgrade good customers into GF instead of filling it with non-revs.
5. Better food and drink.
6. Pre-board GF along with GS.
Apr 29, 2014, 12:22 pm
#89
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Join Date: Apr 2013
Location: PHX
Programs: AS 75K; UA 1MM; Hyatt Globalist; Marriott LTP; Hilton Diamond (Aspire)
Posts: 56,461
Apr 29, 2014, 12:30 pm
#90
Join Date: Mar 2012
Location: PBI / FLL / YUL
Programs: UA 1K, Delta Plat, AA Plat, Marriott Titanium, Hilton Diamond, Hyatt Courtesy Card
Posts: 1,983
This is really one of the "commandments" of running any customer facing business. They should be able to get that right.