Should I buy a PE fare before April 1?
#1
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Should I buy a PE fare before April 1?
I am looking to fly from SFO - NRT in September. My ultimate goal is ofcourse using my GPU, as a 1K to upgrade myself and my wife but don't want to gamble and end up in economy plus for such a long flight. I see Premium Economy (PE) seats priced $500 above R/T above regular economy right now.
My concern is that once Premium Economy goes mainstream (i.e. soft product launch) in March/April, these prices will skyrocket.
1) Is this a legitimate concern?
2) Does PE (R fare) get that much more of a priority in a Polaris upgrade over an economy (V fare)?
3) I am quite sure the answer is no here, but there is no access to the Polaris lounge with PE, correct?
Thanks!
My concern is that once Premium Economy goes mainstream (i.e. soft product launch) in March/April, these prices will skyrocket.
1) Is this a legitimate concern?
2) Does PE (R fare) get that much more of a priority in a Polaris upgrade over an economy (V fare)?
3) I am quite sure the answer is no here, but there is no access to the Polaris lounge with PE, correct?
Thanks!
#2
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Personally, I would. I think the price rise is a legitimate concern as PE is priced far, far below both cost and the TTM market price. Fares will probably stay low longer than I expect, but it is a real risk.
A PE fare has priority over all Economy fares (any status except GS) when it comes to upgrades. However, the biggest reason in my mind to buy the R fare is that if you don't succeed at the GPU, you at least travel in a reasonable class of service. If the upgrade seems a sure thing, then don't pay extra. PE does not include lounge access of any kind (though of course your *G does).
A PE fare has priority over all Economy fares (any status except GS) when it comes to upgrades. However, the biggest reason in my mind to buy the R fare is that if you don't succeed at the GPU, you at least travel in a reasonable class of service. If the upgrade seems a sure thing, then don't pay extra. PE does not include lounge access of any kind (though of course your *G does).
#3
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The way I look at it is to consider the difference between the W fare and the R fare. That's the cost of your insurance policy, should the GPU not clear. It's the same calculation (with different inputs) when you buy a W fare over the cheapest, simply to get the hope of your GPU clearing.
Yes you do get priority for clearance but not much - you still need PZ space.
And, no, you can't use the Polaris lounge if in PE but, assuming you are *G, you can use the *G lounge.
Yes you do get priority for clearance but not much - you still need PZ space.
And, no, you can't use the Polaris lounge if in PE but, assuming you are *G, you can use the *G lounge.
#4
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Personally, I would. I think the price rise is a legitimate concern as PE is priced far, far below both cost and the TTM market price. Fares will probably stay low longer than I expect, but it is a real risk.
A PE fare has priority over all Economy fares (any status except GS) when it comes to upgrades. However, the biggest reason in my mind to buy the R fare is that if you don't succeed at the GPU, you at least travel in a reasonable class of service. If the upgrade seems a sure thing, then don't pay extra. PE does not include lounge access of any kind (though of course your *G does).
A PE fare has priority over all Economy fares (any status except GS) when it comes to upgrades. However, the biggest reason in my mind to buy the R fare is that if you don't succeed at the GPU, you at least travel in a reasonable class of service. If the upgrade seems a sure thing, then don't pay extra. PE does not include lounge access of any kind (though of course your *G does).
As to the price rise, it was notable that, when BA introduced PE to the routes I'm interested in, the premium was quite low but then rose as the product became successful. They then increased the quantity of PE seats which caused the price to slip back, even though the product was arguably improved.
#6
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The way I look at it is to consider the difference between the W fare and the R fare. That's the cost of your insurance policy, should the GPU not clear. It's the same calculation (with different inputs) when you buy a W fare over the cheapest, simply to get the hope of your GPU clearing.
It's a pretty substantial advantage - you'll be ahead of all 1Ks on any economy fare, including a Y or B.
Last edited by Kacee; Mar 8, 2019 at 2:16 pm
#8
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What routes have been priced far, far below cost/market? Every PE price I have seen has been significantly more than BA or AA. Ive seen many that are more than business on other carriers. Anecdotal of course.
#9
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#10
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I have, SFO-HKG for instance, UA price at $1200, exactly the same as CX, and $1200 price had been steady normal with CX PEY
Last edited by WineCountryUA; Mar 8, 2019 at 7:23 pm Reason: merging consecutive posts by same member
#11
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#12
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Many TPAC markets at or below $1,200 r/t (SFO-SIN for example) and some TATL markets at a similar price point (SFO-CDG). That's barely 11 cents of RSM to Europe, which is questionably profitable in Economy. Asia is even worse. My comparisons to market are to the prices offered by NH on SFO-NRT or LH on SFO-FRA prior to the UA rollout. Obviously everyone is matching each other, at least in rough terms, today.
#13
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That's dirt cheap for PE. I regularly price W fares on the SFO routes, and SFO-HKG and SFO-TPE are typically $1000-1300 for the W, while SFO-NRT is almost always $1500 or more (with cheapest available fare typically a Q or H). I recently purchased a combined P/R fare to NRT for around $2500, which I felt was a very good deal compared to the $1700+ UA wanted for an H (cheapest available economy).
#15
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One TATL Route I was looking at had $611 as the round trip K fare; $874 as the round trip V fare (no W for whatever reason) and $954 as the round trip R fare (with a domestic connection pushing into B).
A $340 Premium for R over K and a $100 Premium for R over W seems reasonable. R also gets 1.5 times PQMs.
A $340 Premium for R over K and a $100 Premium for R over W seems reasonable. R also gets 1.5 times PQMs.