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Wow - selling the upgrades at the gate so explicitly.

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Wow - selling the upgrades at the gate so explicitly.

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Old Mar 20, 2017, 11:07 am
  #166  
 
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Originally Posted by cerealmarketer

Also recall DL was willing to run losses (and may well still be not much more than breakeven) in NYC, while for UA and AA it was a profit center.
Delta used the opportunity presented by Jeff's management team's driving away valuable traffic, by expanding at three key airports in a major way - JFK, LAX, SEA. JFK is now profitable, LAX is profitable, and SEA is profitable (certain people on this board claim, w/o providing evidence it is not, Delta says it is, and I assume they are not lying on conference calls) Delta also expanded its service ex-BOS and added more capacity into SFO and the west coast in general. Delta is now trying to raise its prices - which they can do having gobbled up more of the high value traffic.

But it also comes back to why could Delta do this? Well they realized that high value customers and repeat business wanted a higher quality service, and they invested to provide it. The contrast with United's approach of looking at costs and figuring anything they cut in costs would not cost them business, it would instead go to the bottom line.
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Old Mar 20, 2017, 11:24 am
  #167  
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Originally Posted by cerealmarketer
...

Time and again in the airline industry, outsized margins don't last.
Which is why the industry, as a whole in the long term, is a zero-sum game.
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Old Mar 20, 2017, 12:07 pm
  #168  
 
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Originally Posted by halls120
That addresses CPU availability. What about instruments? Isn't this new "we're going to aggressively sell first class up until boarding" inconsistent with the upgrade windows featured on the mileage plus website?
While posted on another thread (GPU/RPU are worthless) I believe this experience has some usefulness here.

Looking to book a red eye flight SFO-CLE at the end of May I figure no problem I will finally use one of my RPU's. Of course on checking the flight I see P0,R0,F9. I call 1K desk she tells me yes I will be wait listed. Well, as I am flying with my wife on this trip I don't want to take the redeye in E+. So I go to price F on line and low and behold I see I can instantly upgrade with miles. I call 1K desk again and am told they don't see it but it must be some kind of "internet only offer" as mile upgrade also clear into R space as well and they are still seeing R0. Well needless to say I dumped the miles to lock in the upgrade. I now wonder if UA is now not only pushing TOD upgrades, "gate agent" sales of upgrades, and now even mileage upgrades over instruments and of obviously CPU's.
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Old Mar 20, 2017, 12:15 pm
  #169  
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Originally Posted by nomad420
Well needless to say I dumped the miles to lock in the upgrade.
What class did the upgrade book into? Screen shot please.
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Old Mar 20, 2017, 1:40 pm
  #170  
 
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Originally Posted by Kacee
What class did the upgrade book into? Screen shot please.
Mystery solved, went to seat assignment and low and behold get message that "one or more of your segments is not available for upgrade" even though it was a one way nonstop flight and that I was indeed wait listed!! Called 1K desk and cancelled the purchase (was just within 24 hrs). Was told that less than half first cabin sold but since the flight was still "far off" they are not opening R space at this time.
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Old Mar 20, 2017, 4:06 pm
  #171  
 
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Originally Posted by SF1K
What has been your comparison on GPU to miles and copay? Have you analyzed some costs as well? That's the only thing that possibly has me striving for 1K - then again I haven't used a GPU on an international trip for myself in several years.
For international, I find the dollar cost of regular discounted economy plus the copay to be about the same as purchasing Y,B,M and using a GPU. So to me, a GPU is essentially equal to the miles component of an upgrade. And I have tons of miles, with more on credit card, so that would not be a problem even if I was only Star Gold.

And when there is no R (or O for AF, or upgrade from premium economy on BA), I'm looking for the cheapest business class for cash.
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Old Mar 20, 2017, 4:14 pm
  #172  
 
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So, a datapoint for y'all:
I have less domestic upgrades as a 1K as when I was gold.
As gold I would prowl for buyups etc before check in and after using the app.
As 1K I feel I should have a chance at CPU. But, if I don't clear before check in I do not clear.. I will be first on UG list with a nice buffer of FC seats remaining.. I get the $90 offer for buy up and reject it when I may have been tempted in the past.. Between T-24 and T-12 we quickly go to zero FC available..

Now, United gotta make $$ I get it.. But it would be nice if 1K was worth something in the domestic upgrade arena. Perhaps a discount on those TODs.. Perhaps if all RPUs are cleared before TODs.
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Old Mar 20, 2017, 4:22 pm
  #173  
 
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Originally Posted by cyclogenesis
Perhaps a discount on those TODs.. Perhaps if all RPUs are cleared before TODs.
I would settle for the TOD offers just to be equal for Elites vs non-members. I'm tired of seeing $279+ while my coworker general members get $79-$99

Clearing all RPUs at T-24 would just be grand.
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Old Mar 20, 2017, 4:34 pm
  #174  
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Originally Posted by Artpen100
For international, I find the dollar cost of regular discounted economy plus the copay to be about the same as purchasing Y,B,M and using a GPU.
You know you can apply a GPU down to a W fare, right?

Originally Posted by nomad420
Was told that less than half first cabin sold but since the flight was still "far off" they are not opening R space at this time.
Thanks for clarifying.

The agent's comment about not opening R because it's "far off" was nonsense. Phone agents don't know anything about when (or if) R will open.
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Old Mar 20, 2017, 6:11 pm
  #175  
 
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[QUOTE=Artpen100;28062880]For international, I find the dollar cost of regular discounted economy plus the copay to be about the same as purchasing Y,B,M and using a GPU. So to me, a GPU is essentially equal to the miles component of an upgrade. ]

Purchasing a Y,B, and M and applying a GPU is still no guarantee. I have recently learned this the hard way. In some ways I am now seeing that applying the miles and copay may be better. At least if no R space opens up you get the miles & cash back. But if the GPU doesn't get taken UA isn't refunding cash back to a lower class level.
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Old Mar 20, 2017, 8:11 pm
  #176  
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Originally Posted by halls120
That addresses CPU availability. What about instruments? Isn't this new "we're going to aggressively sell first class up until boarding" inconsistent with the upgrade windows featured on the mileage plus website?
Well UA was doing this over 10 years ago (and earlier) - http://www.flyertalk.com/forum/unite...olci-gate.html.
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Old Mar 20, 2017, 8:55 pm
  #177  
 
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Originally Posted by spin88
Delta used the opportunity presented by Jeff's management team's driving away valuable traffic, by expanding at three key airports in a major way - JFK, LAX, SEA. JFK is now profitable, LAX is profitable, and SEA is profitable (certain people on this board claim, w/o providing evidence it is not, Delta says it is, and I assume they are not lying on conference calls) Delta also expanded its service ex-BOS and added more capacity into SFO and the west coast in general. Delta is now trying to raise its prices - which they can do having gobbled up more of the high value traffic.

But it also comes back to why could Delta do this? Well they realized that high value customers and repeat business wanted a higher quality service, and they invested to provide it. The contrast with United's approach of looking at costs and figuring anything they cut in costs would not cost them business, it would instead go to the bottom line.
Delta had big JFK, LAX, SEA plans before UA integrated. The UA reliability problems were gravy.

Why could they do it?

You pointed it out above.

Very high margin fortress hubs ATL, MSP, DTW, SLC that let them reinvest and take losses as they picked off pockets of margin from AA, UA, and AS.

Witness AA / Parker struggling to make a case for his yield matching DL's going forward. There's something more structural that happened than just UA tripping up, and part of it was DL's ability to come into non-fortress markets with essentially no premium traffic and pick it off with lower, reasonable premium prices vs offering a binary full fare / upgrade model.

The upside is DL having a harder time growing yields than it used to now that the low hanging fruit are picked.

Last edited by cerealmarketer; Mar 20, 2017 at 9:02 pm
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Old Mar 20, 2017, 8:59 pm
  #178  
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Originally Posted by halls120
That addresses CPU availability. What about instruments?
Regional Premier Upgrades are subject to capacity controls, which may limit the number of seats available for upgrade.
https://www.united.com/web/en-US/con...gupgrades.aspx

And the same language for GPUs.

Originally Posted by halls120
Isn't this new "we're going to aggressively sell first class up until boarding" inconsistent with the upgrade windows featured on the mileage plus website?
No; the upgrade windows are the earliest a CPU can happen, with no guarantees or promises made.

I agree it's a change from past behavior, but it is in no way contrary to UA's published claims about CPU/instruments.

Originally Posted by cerealmarketer
The old UA and AA models were ripe for disruption and not sustainable.
Sure, but those practices also lasted for more than a decade with superior (in UA's case leading for many years) PRASM.

Originally Posted by spin88
Delta ... as of 2011-12 started more TCON routes where fares are higher
Source?

Originally Posted by Wooglin
I would settle for the TOD offers just to be equal for Elites vs non-members. I'm tired of seeing $279+ while my coworker general members get $79-$99
I recognize UA's right/ability/wisdom to do this, but I hate it too. What's next, higher coach fares for elites vs the open market?

Last edited by mduell; Mar 20, 2017 at 9:08 pm
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Old Mar 20, 2017, 9:20 pm
  #179  
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Originally Posted by mduell
Regional Premier Upgrades are subject to capacity controls, which may limit the number of seats available for upgrade.
Buried deep in the fine print, nowhere near as prominent as the "your upgrade window is xx hours."

What UA is doing is legal, but it's sleazy.
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Old Mar 20, 2017, 9:27 pm
  #180  
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Originally Posted by halls120
Buried deep in the fine print, nowhere near as prominent as the "your upgrade window is xx hours."
There's no upgrade window for RPUs (or you could say it begins at booking).

Originally Posted by halls120
What UA is doing is legal, but it's sleazy.
I'm pretty happy with discount F fares priced right around what the product is worth over discount Y.
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