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Value of 1K when GPUs don't clear despite 20+ open seats?

Value of 1K when GPUs don't clear despite 20+ open seats?

Old Mar 8, 2019, 3:12 pm
  #106  
 
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Originally Posted by Kacee
This is unfortunately the norm these days. I suspect UA's rationale is they don't want business travelers redeeming for saver awards at the last minute - they want to force the purchase of a full fare ticket.

I also agree it seriously devalues the MP program.
My interpretation is that it isn't malicious (as someone is claiming), but rather United has decided the morale boost of NRSA in premium cabins is more valuable than the GPU or saver miles. They are allowed to look after their employees, afterall.
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Old Mar 8, 2019, 4:14 pm
  #107  
 
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Originally Posted by kb1992
I was merely suspicious.

I mean, how do you explain 16 J seats are open when the flight is about to close the door but there is no saver award?

Meanwhile, 16 UA employees are on standby, nobody else is even on upgrade list. Yet PN=PZ=IN=I=0.

The only way to ensure these UA employees to ride in business class for free, is to block these spaces by IM.

Nobody can redeem miles for the saver award, and nobody buying tickets 24 hours before departure can upgrade because you can't even request waitlisted if PZ=0.

Yes United is a private company, but this kind of behavior (if true) hurts the bottom line of United.
​​​​​​simple. It’s called yield management. Allocation of all forecasted unsold seats at discount (saver) prices cheapens the value for sales (should I buy or should I burn standard miles.). There is a reason standard is called standard, not premium, as it is designed to be the standard.
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Old Mar 8, 2019, 8:30 pm
  #108  
 
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Originally Posted by fumje
But how do you value what you paid for the miles?
If you paid $1000 for the miles you deduct $1000.
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Old Mar 8, 2019, 8:51 pm
  #109  
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Originally Posted by TomA
If you paid $1000 for the miles you deduct $1000.
So to confirm, I think you're saying you only redeem miles that you bought expressly for the tax-deductible travel.
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Old Mar 9, 2019, 12:18 pm
  #110  
 
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Revenue Management holding FC seats so non rev friends can get them. Shocked I am, just shocked to see that conspiracy thrown out on FT.
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Old Mar 12, 2019, 1:29 pm
  #111  
 
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Originally Posted by cesco.g
IME, it can clear without PZ1(+) ever showing up.
Good luck, SkiPremier!
Originally Posted by Kacee
That should clear.
Thanks to you both, woke up to an email this morning showing it cleared - 10 days out.
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Old Mar 13, 2019, 12:08 am
  #112  
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Originally Posted by mobarak
My son did get upgraded just now, so my immediate problem has been solved. But the broader quesion remains as to how United trades off "the value of loyalty" against "additional revenue" it can generate with the last-minute offers. It's of course perfectly reasonable for United to prioritize that additional revenue over whatever future revenues they would get from my loyalty, but then it becomes reasonable for frequent flyers to investigate other airlines where that loyalty may be rewarded with better perks (such as upgrades that are more likely to clear).
So basically, you saved $8k over buying a ticket similar to your own? I would call that good value.

Originally Posted by narvik
Yes, I'm in the same boat.
The savings from the GPUs I use is quite staggering, despite the added "W" min fare increase. Luckily I can always use all of them, 10+ GPU/year works out to substantial savings.
Great deal! For me GPUs have very little value, because I simply won't risk flying TATL or TPAC in E+ Maybe this works for students/retirees who have more flexibility to change plans and keep rolling the dice (SDC?) until they get a flight that works, but most of us working stiffs have to plan ahead for vacations. So I can't just cancel last minute and take the trip a week later (not to mention substantial change fees with no guarantee of GPU clearance). I end up using them like RPUs on flights where I will tolerate E+ i.e. transcons, Mexico, Hawaii, etc. That has some value >$0 but not tremendous.

Originally Posted by mobarak
Lots of interesting points and counter points here. Thank you for engaging. All major airlines have GPU (or equivalent) policies for a reason: those loyal flyers account for a large share of the airlines' business. So the key question is whether not letting GPUs clear within T-24 even when 20+ seats are open is a profit-maximizing strategy for united.

Let's think about the extremes just to make this point clearly:

At one extreme, selling all open Polaris seats to the highest bidders until the last minute, before allowing any GPUs to be redeemed, is not optimal because then GPUs become virtually worthless, and the loyalty unravels.

At the other extreme, I admit that clearing GPUs when there are only, say, 3 open seats is not optimal for united because they'd like to wait and see if someone buys a ticket last minute.

So the optimal strategy is somewhere in between these extremes. I'm only arguing that choosing to not allow GPU redemption when there are 20+open seats and trying to sell them, is not optimal strategy because it does not engender loyalty. It sounds like others feel differently
Agreed - and highlights a pet peeve for many of us. But that's different than saying 1K has no value because GPUs don't clear. I am personally frustrated when I apply a GPU months in advance of a transcon - F seat map is wide open - and still mostly open even after GS window passes - and yet I end up down the waitlist back in economy. To me that defeats the purpose of the RPU/GPU which is to reward the customer by allowing him to pick a special trip where he can "guarantee" an upgrade. As top elites can do with Hyatt and Marriott suites.

But on the flip side I have made >24 hour changes on numerous TATL and TPAC flights in paid C. I appreciate that UA keeps some seat open for paid business travelers rather than forcing us to downgrade or wait for another flight (which wouldn't be smart business sense).

I agree that United seems to err on the side of being way too conservative in clearing GPUs when inventory is wide open, but in the end it doesn't really matter to me if it is 2 hours, 2 days or 2 months. If PZ=0 at time of booking, I won't count at all on clearing the GPU.

Last edited by Boraxo; Mar 13, 2019 at 10:13 am
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Old Mar 13, 2019, 6:52 am
  #113  
 
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If R=0 at time of booking, I won't count at all on clearing the GPU.
Change your post to: "If PZ=0 at time of booking, I......" You now have to look at PZ and don't want to confuse some FTers or lurkers that are not aware of the change.
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Old Mar 13, 2019, 10:14 am
  #114  
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Originally Posted by StuckinITH
Change your post to: "If PZ=0 at time of booking, I......" You now have to look at PZ and don't want to confuse some FTers or lurkers that are not aware of the change.
Thanks and done. Fare codes are not my strong suit
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