American's June 6th Program Details Spell Another Round of Cuts for MP?
#16
Join Date: Jan 2008
Location: EAU
Programs: UA 1K, CO Plat, NW Plat, Marriott Premiere Plat, SPG Plat, Priority Gold, Hilton Gold
Posts: 4,712
Short answer to the subject: No, and may even lead to UA improvements.
PQD exemption for people outside the US affects a very small number of travelers. I doubt UA would adopt this unless they thought this would really drive more ticket sales on UA, and I don't see them reaching that conclusion.
Credit Card Waiver for Elite Status: UA pretty much canned this already. You can't get it on any card currently offered, leaving it only for existing Pres Plus card holders, and even they can't use it to get to 1K. Getting rid of the waiver would basically be the same as getting rid of the Pres Plus card, as once it went, your CC PQD basically become worthless and you'd be dumb to not switch to the Club card.
Upgrade Priority based on 12-month PQD: I could see United adopting this, but it isn't a devaluation of the program - some people will move up and some will move down in priority, but the same number of seats will be available to flyers at each frequent flyer level.
Comp Upgrades only for higher level elites: Doesn't sound like you understand how upgrades at American work.
American has comp upgrades for all elites. What they don't have is UNLIMITED comp upgrades for anyone other than their 1K level (2018, also their 75k level). Everyone below that has to use instruments.
Still not really a downgrade from UA as it, again, mostly just changes the priority order without changing the number of seats.
American DOES allow more PQD accrual on alliance flights than UA does, so maybe UA will step up to match.
PQD exemption for people outside the US affects a very small number of travelers. I doubt UA would adopt this unless they thought this would really drive more ticket sales on UA, and I don't see them reaching that conclusion.
Credit Card Waiver for Elite Status: UA pretty much canned this already. You can't get it on any card currently offered, leaving it only for existing Pres Plus card holders, and even they can't use it to get to 1K. Getting rid of the waiver would basically be the same as getting rid of the Pres Plus card, as once it went, your CC PQD basically become worthless and you'd be dumb to not switch to the Club card.
Upgrade Priority based on 12-month PQD: I could see United adopting this, but it isn't a devaluation of the program - some people will move up and some will move down in priority, but the same number of seats will be available to flyers at each frequent flyer level.
Comp Upgrades only for higher level elites: Doesn't sound like you understand how upgrades at American work.
American has comp upgrades for all elites. What they don't have is UNLIMITED comp upgrades for anyone other than their 1K level (2018, also their 75k level). Everyone below that has to use instruments.
Still not really a downgrade from UA as it, again, mostly just changes the priority order without changing the number of seats.
American DOES allow more PQD accrual on alliance flights than UA does, so maybe UA will step up to match.
#17
FlyerTalk Evangelist
Join Date: Oct 2001
Location: Austin, TX
Posts: 21,419
Credit Card Waiver for Elite Status: UA pretty much canned this already. You can't get it on any card currently offered, leaving it only for existing Pres Plus card holders, and even they can't use it to get to 1K. Getting rid of the waiver would basically be the same as getting rid of the Pres Plus card, as once it went, your CC PQD basically become worthless and you'd be dumb to not switch to the Club card.
#18
Join Date: Apr 2007
Location: USA
Programs: 1K 1MM; Bonvoy Ambassador; Nat'l EE; Hertz PC; Hyatt Globalist
Posts: 2,465
I really don't see any big changes in MP for 2 reasons.
1. UA operationally, they're in a much better place than AA/US. Their OTP is good and rising, their crews are happy, planes are clean and soft product are good and getting better.
2. MP is in a better state than SM or AAdvantage (with the upcoming changes, though one could argue it's better at this point). Redemptions, while higher than 3 years ago, still aren't bad, especially on UA metal.
In reality, UA is in a unique position. They've started to claw back customers trust, have a new mission, CEO, and Polaris could end up being very important in 2017. They have just a few merger issues to resolve (and those are really high priorities for Oscar). Once those are done and workforces are fully integrated I think we'll see even better efficiency and operational effectiveness.
It's been proven (just in Oscar's short term) that a change in the guard can produce great results, and I think those things will continue to increase. The short-sightedness of other Airlines as it relates to loyalty programs may not come into play with UA. They have to differentiate themselves, and I think that's a way.
1. UA operationally, they're in a much better place than AA/US. Their OTP is good and rising, their crews are happy, planes are clean and soft product are good and getting better.
2. MP is in a better state than SM or AAdvantage (with the upcoming changes, though one could argue it's better at this point). Redemptions, while higher than 3 years ago, still aren't bad, especially on UA metal.
In reality, UA is in a unique position. They've started to claw back customers trust, have a new mission, CEO, and Polaris could end up being very important in 2017. They have just a few merger issues to resolve (and those are really high priorities for Oscar). Once those are done and workforces are fully integrated I think we'll see even better efficiency and operational effectiveness.
It's been proven (just in Oscar's short term) that a change in the guard can produce great results, and I think those things will continue to increase. The short-sightedness of other Airlines as it relates to loyalty programs may not come into play with UA. They have to differentiate themselves, and I think that's a way.
#19
Join Date: Sep 2013
Location: IAH
Programs: Marriott Plat, Hyatt Globalist, DL Plat, UA Silver
Posts: 4,043
I feel Oscar is going to announce last, follow whatever they need to follow but will end up ahead of AA and DL to "look like" UA is the most loyal to it's elites.
#20
Join Date: Mar 2003
Location: Los Angeles, CA
Programs: UA 1K 1MMer & LT UC (when flying UA); Hyatt Credit Cardist; HHonors Diamond; Marriott Gold via UA 1K
Posts: 6,956
I agree - if they adopt anything, it will be this (rolling 12 mth thingy).
It's cruel but I can't help laughing at the outcry over there since we all went through it 3 years ago. Plenty of posts about how weekly biz trips will now earn 60% less miles, with other posts saying "now my Omaha flights make a ton of miles!" etc. And for those that switched, how long did they really think it would take for this to be announced? They did well to last this far, IMO.
It's cruel but I can't help laughing at the outcry over there since we all went through it 3 years ago. Plenty of posts about how weekly biz trips will now earn 60% less miles, with other posts saying "now my Omaha flights make a ton of miles!" etc. And for those that switched, how long did they really think it would take for this to be announced? They did well to last this far, IMO.
I then turned the conversation in a more productive direction, and suggested that they do an audit on their 2016 spend. They buy quite a bit of discounted domestic F, and some international J. The vast majority of my travel is personal, so I can make whatever purchasing decisions I wish. I told them that when I switched to buying discounted premium fares on UA, I ended up exceeding the magic number without any additional effort.
They were still pouting when we hung up, and shocked that I could be so "callous" about their feelings.
#21
Join Date: Jan 2008
Location: EAU
Programs: UA 1K, CO Plat, NW Plat, Marriott Premiere Plat, SPG Plat, Priority Gold, Hilton Gold
Posts: 4,712
The Presidential Plus card waives the PQD requirement as long as you're paying the annual fee.
#22
Join Date: May 2011
Posts: 5,814
It is definitely a devaluation for MM (assuming those MMers aren't flying much anymore).
#23
Moderator: United Airlines
Join Date: Jun 2007
Location: SFO
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#24
FlyerTalk Evangelist
Join Date: Sep 2003
Location: Honolulu Harbor
Programs: UA 1K
Posts: 15,029
Yeah - If UA copied AA prioritization based on past $ spent, someone on an award ticket (and presumably a Chase card holder) could be at top of waitlist heap w/i status group if she/he had highest PQD total in last 12 months.
#25
Join Date: May 2011
Posts: 5,814
#26
FlyerTalk Evangelist
Join Date: Jul 2003
Posts: 23,070
Delta will be using the $25K DL AMEX spend for MQD waiver as a factor in upgrades (but not MQD spend itself) --
http://pointsmilesandmartinis.boardi...or-medallions/
This has long been the case at AA (Gold's and Plat's have to use 500 mile upgrades on flights over 500 miles). And yet DL and UA have never bothered to copy it.
http://pointsmilesandmartinis.boardi...or-medallions/
This has long been the case at AA (Gold's and Plat's have to use 500 mile upgrades on flights over 500 miles). And yet DL and UA have never bothered to copy it.
#27
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Join Date: Oct 2006
Location: SFO/SJC
Programs: UA Silver, Marriott Gold, Hilton Gold
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Credit Card Waiver for Elite Status: UA pretty much canned this already. You can't get it on any card currently offered, leaving it only for existing Pres Plus card holders, and even they can't use it to get to 1K. Getting rid of the waiver would basically be the same as getting rid of the Pres Plus card, as once it went, your CC PQD basically become worthless and you'd be dumb to not switch to the Club card.
Presidential Plus cardholders do get some unique perks within the UA CC family - perhaps you are thinking about the PP-only waiver of needing 4 segments on UA/UAX metla during the year to earn status, or perhaps you are thinking of the unique to PP flex miles program?
#28
Join Date: Apr 2000
Location: san antonio, texas
Programs: 3.2MM AA, 1.4MM UA,StwdLftPlt
Posts: 1,586
My take is with this announcement, the Big 3 have reached a devalued equilibrium and whatever further steps any take will be modest. Further, I sense (without any real evidence other than changes in tone) that Mr Munoz has questioned the lockstep mimicry of Delta program changes that characterized Mr Smisek's reign, so the era of Delta announcing a devaluation of their program followed within 30 days by a virtually identical announcement from UA has ended.
#29
Join Date: Apr 2009
Location: Melbourne, Australia
Programs: United 1MM
Posts: 318
The PDQ requirement on non-US-based elites will definitely lose AA some flyers. The "equilibrium" theory is a good one, and maybe UA/DL will follow suit on this.
I was thinking of going AA after I reached 1MM status next year, even if they had a program like UA's. I just thought it would be good to have my RDMs more balanced between two programs. The new announcement means I won't be flying that new SYD-LAX route on AA metal.
For years, I'd tell my colleagues and friends here in Australia that Qantas' FF program was pathetic compared to AA and UA, and it truly was. Now, if you're buying cheaper tickets, I think QF might actually be better.
I was thinking of going AA after I reached 1MM status next year, even if they had a program like UA's. I just thought it would be good to have my RDMs more balanced between two programs. The new announcement means I won't be flying that new SYD-LAX route on AA metal.
For years, I'd tell my colleagues and friends here in Australia that Qantas' FF program was pathetic compared to AA and UA, and it truly was. Now, if you're buying cheaper tickets, I think QF might actually be better.
#30
Join Date: Mar 2005
Programs: fwp blood diamond, dykwia uranium
Posts: 7,252
I think the most interesting change at AA is prioritizing upgrades within elite levels, beginning later next year, on dollars spent in last 12 months. If implemented at UA, it would put MMers resting on their laurels at the bottom of the CPU list w/i their status group. Also tosses fare basis out the window as discriminator (If I understand AA's changes correctly).
Haven't decided if that's a good thing or not in my case if UA implements the same. I'd have to give more thought to it.
Haven't decided if that's a good thing or not in my case if UA implements the same. I'd have to give more thought to it.