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PN9 & R0: UA opening upgrades only to Global Services, message to other elites?

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PN9 & R0: UA opening upgrades only to Global Services, message to other elites?

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Old Aug 28, 2015, 1:58 am
  #121  
 
Join Date: May 2006
Location: MYF/CMA/SAN/YYZ/YKF
Programs: COdbaUA 1K MM, AA EXP, Bonbon Gold, GHA Titanium, Hertz PC, NEXUS and GE
Posts: 5,839
Originally Posted by mduell
$12k in deep discount fares isn't doing UA any big favors.

The differentiation point is when you're hitting ~$40k full fare.
The incremental revenue and loyalty bonus that directs other purchases of the $12k in discount fares (which, btw, would result in probably 150k EQMs or more) is very valuable. One of the unfortunate things about the management team at United Continental is that they come from an airline that didn't understand what it was like to have a large stockpile of cash and the value that cash flow gives an airline. That is why AA had such a relatively easy time in Chapter 11.

Originally Posted by Beerman92
Not following the logic here. PN availability is a frequently used benefit for GS. The notion that GS is a group of customers who only buy front cabin fares is pretty far from reality.
Exactly. There are plenty of GS who contribute much, much less revenue to United than 1Ks. Indeed, ones who don't even meet the 1K thresholds.
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Old Aug 28, 2015, 5:45 am
  #122  
 
Join Date: Oct 2003
Location: DCA
Programs: UA LT 1K, AA EXP, Bonvoy LT Titan, Avis PC, Hilton Gold
Posts: 9,658
From what I read here, it sounds like GS is not really revenue based, but based on tickets coded as purchased via corporate contracts. I guess UA figures that you aren't buying the ticket, so your fare is whatever it turns out to be. Most big corporations require coach travel at the absolute cheapest fare and they are willing to pay change fees. So seems like GS is for corporate purchases and a few very wealthy people who buy many premium tickets.

If you are not traveling on a corporate contract, likely not good to fly UA. Seems like the elite program is GS and then others - others with status getting preboard, E+, etc, and some extra miles.
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Old Aug 28, 2015, 6:33 am
  #123  
A FlyerTalk Posting Legend
 
Join Date: Jun 2005
Posts: 57,613
I have no problem with how UA decides to award GS to a given customer, and that they prioritize GS above other customers. It's their business, and they get to decide when and how to apportion the benefits they bestow.

My problem is that status under MP has become an unpredictable and illusory shell game. Add that to UA's sub-par operations and inconsistent soft product, I've significantly reduced my frequency of flying on UA, and have shifted that business elsewhere, where I'm treated better. For example, I was just upgraded on my Monday AM AA flight - 72 hours before departure, and I'm just a Plat there.

The only thing I feel bad for are the dedicated front line employees I've met over the years who have to labor under a management team that isn't the least bit concerned about anything other than their own personal financial status. Got to keep those stock options flowing, after all.
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Old Aug 28, 2015, 6:58 am
  #124  
 
Join Date: Mar 2011
Location: Colorado
Programs: Lifetime UA 1K, Lifetime Hilton Diamond, Lifetime Marriott Bonvoy Titanium
Posts: 1,261
Originally Posted by FlyWorld
Exactly. No rational decision maker would choose to spend >$50k/yr on Jeff's pathetic airline. These days, GS is comped to corporations in exchange for volume commitments but those corporations force lowest fare travel so Jeff is stupidly giving away GS as a perk to secure a bucket of low-margin revenue. Even when these corporate flyers are in J, it's a discounted J.
This could be but of the 30-40 GS fliers I know, none of them got it through their corporation.
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