A BusinessWeek article caught my eye this morning as the topic was about Delta’s “Bare-Bones” E Fares. There has been quite a bit of chatter about E-Fares across the internet over the last few weeks as Delta is removing the ability for elite Medallion members to upgrade if they are traveling on one of these fares on February 1, 2015. According to the article,
“After a hiatus of several months, Delta is resurrecting its lowest economy class ticket as it seeks to keep bargain carrier Spirit Airlines Inc. from luring away leisure travelers. The bare-bones “e-class” ticket will not allow passengers to get seat upgrades or make same-day flight changes and they will board last.”
I had missed the fact that E fares had disappeared for a period of time….probably because I don’t routinely travel in markets where Delta offers them. While I suppose one could see the removal of upgrade availability as a real benefit reduction, I have to wonder how many Medallion flyers were actually buying E fares. I haven’t….and now I know I won’t be.
I don’t want to discuss Delta’s pricing habits, but the marketing aspects of this are interesting to me. With Spirit, I can (at least) buy up to a Big Front Seat™. I suppose Delta could argue that if a Medallion wants an upgrade, they can buy any other fare other than E class and rock on. They’d be correct. I’ll wait and see, but I’m betting the dollar-difference in fares between E fares and others isn’t nearly enough to justify losing just about every Medallion benefit there is for that specific flight. The market for most E fare sales is likely to be a passenger who could care less about Medallion benefits or miles in general. E fares and the changes in Medallion benefits for those who buy them aren’t going to cause this Medallion to think twice. What about you?
-MJ, October 20, 2014
[…] “Basic Economy” E fare. If you’re a Medallion flier that matters because you will essentially lose your biggest Medallion benefits if you buy it for this trip. No sweat as I would gladly pay an […]
[…] Basic Economy offers Main Cabin service with fewer flexibility options available in select markets […]
Agree that most medallions wont choose E fares. What DL needs to be wary of in their new direction is what @Matt is saying. I can only book lowest airfare through my company’s portal. I can probably play with the time windows to exclude spirit flights, but I cant chose a fare class within a flight.
Worse, the negotiated rates mean it is harder to reach the MQD threshold. They can’t change my habits as I have little choice in the matter. Fortunately, E fares likely wont be on many routes and probably have limited inventory.
Good points, Noah.
The issue that I see with the E-fares is corporate travelers whose policy requires them to choose the lowest fare for the given flight. While there are certainly valid business reasons to book away from Spirit on a given route (for example, operational performance) those don’t apply to what fare class you purchase on Delta.
Marshall, Great to see you again and appreciate your efforts on behalf of frequent travelers everywhere for your presentation and time presenting this weekend in Chicago on Cruising.
Thanks so much for sharing your time and talent
Rick I
Rick,
An honor and a privilege. See you soon, and thanks for all you and the folks behind the Seminars do!