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  • Analysis: United Continental not keeping up with peers [View news story]
    Continental doing business as United has inflated the ranks of elites to preserve its Platinum level (clearly should have been eliminated), insulted million mile fliers by stripping promised benefits, reduced upgrade opportunities to high value fliers, charging higher fares for the "chance" of an upgrade, and finally, for 2015.... Requiring spend levels for each elite qualification level without clarifying what counts towards the spend level and what is excluded. This stuff does NOT encourage interest in flying UACO.

    Meanwhile, AA continues to offer tempting status matches to UA high value fliers, picking them off one at a time, in droves.
    Oct 25 09:45 AM | Likes Like |Link to Comment
  • Analysis: United Continental not keeping up with peers [View news story]
    Clearly, leadership is lacking on several fronts, but if you take the insults to top tier fliers, the extreme excess of elites created by keeping benefits from CO's Platinum level (which should clearly have been eliminated), insults to "Lifetime Benefits" stripped away from 1 Million Mile Flyers, the results become easier to understand.

    The future does not bode well either now for customer service levels and on-time percentages with the capacity cuts. Delays are much longer today with the elimination in slack resulting from capacity cuts, particularly in smaller, regional-jet served locations.

    AA, with or without a merger is treating its high value flyers better, and will take more top elites from United with every single program downgrade aimed at improving margins.
    Oct 25 09:09 AM | 1 Like Like |Link to Comment
  • United Signs On As Exclusive Airline Partner of 2014 Gay Games [View article]
    Glad to know UAL is catering to people of all sexual orientations. I only wish they would take care of their core business customer and focus on customer satisfaction. Little things like upgrades to people who fly more than 100,000 miles per year ought to be considered first before sponsoring an event like this at whatever cost. It no longer means very much to UAL to keep their loyal customers happy-- it is easier and perhaps cheaper to attract new business without having to provide anything beyond a seat, baggage fees, and unfriendly service.
    Oct 4 08:53 AM | Likes Like |Link to Comment
  • United Continental (UAL) says revenue passenger miles and capacity both fell in March compared to a year ago but it was able to lift its consolidated passenger revenue per available seat mile (PRASM) by an estimated 6.5% to 7.5% during the month. [View news story]
    Cutting capacity to obtain higher PRASM while airline traffic is growing is akin to giving up market share to others to improve profitability. This works for niche carriers, but not for the "largest airline with the largest network". It's an admission of guilt that things are not going well. It's a lot like laying off most of your workforce to improve the bottom line....great short-term, not so good longer-term.

    UA has reduced benefits to high revenue fliers, and AA has captured them through status matches. If AA can sustain these switchers, UA will have permanently lost these folks.
    Apr 9 11:24 AM | Likes Like |Link to Comment
  • Airline stocks (FAA) take a turn lower after Delta Air Lines (DAL -6.7%) issues a disappointing report on March traffic. The carrier blamed the sequester and some temporary tech issues for a loss in late bookings, but investors don't seem to buying the excuses. As the first carrier to report March numbers, what Delta says carries some weight. Decliners: LCC -5.3%, ALK -4.6%, UAL -4.4%, LUV -3.7%, JBLU -3.2%, ALGT -1.7%[View news story]
    Delta was so high priced in January, our business owner told everyone to fly other airlines. He's a Diamond Medallion lifer on Delta. United is starting to recover but still trying to win back huge numbers of top elites who left last year to poaching by an aggressive AA and a status match program that seemed to have worked well for them.
    Apr 2 01:50 PM | Likes Like |Link to Comment
  • CIT Group says it has heard from a number of commercial airline companies seeking an alternative to the Boeing 787 with a quick fix for the troubled jet looking unlikely. Norwegian Air Shuttle and United Continental (UAL -0.4%) are two Boeing customers that are known to be adjusting their fleets, but other unnamed carriers also appear to be scrambling. It's a problem for the sector (FAA) with alternatives to the 787 providing less seats and higher fuel costs in general. [View news story]
    There is a bigger problem at UAL relative to the smaller airline taking over the bigger one as CO did with UAL. Loyal UAL elites have been taking hits to UAL's generous frequent flier program that has caused an exodus of elites leaving for AA. The US AA merger is signaling it won't make the same mistake, which could continue to erode the high revenue flier base at UACO.
    Mar 12 11:14 AM | Likes Like |Link to Comment
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