United has started selling basic domestic first class fares that are non-refundable, charge $199 for changes, skip free seat selection, and earn no redeemable miles. Here's what changed.
Unrelated to UA, but I just noticed (maybe i'm just late to noticing) that AC now has basic business class fares too (can't even choose a seat anymore).
It seems that most domestic first class now are upsells from coach. Will the upsells be considered basic business? If so, and there's less earning potential there's less incentive to buy and just take the chance for a complimentary upgrade if eligible.
From my experience most domestic first class doesn't get bought out right. It's either upsells or complimentary upgrades. I know when I book first outright the cabin is usually wide open. I'll buy if the fare is decent, otherwise, I wait until I get an upsell offer.
I can understand basic economy fares, as some people just want the cheapest seat possible. But Premium Customers? This makes no sense to me. I am not paying a premium price for just the seat. I want the flexibility, I want to pick my seat, I want the lounge access etc. Ofcourse their buy up rate is high. Premium customers want a Premium experience.
"The buy up rates are incredibly high. Consumers know what they are buying, and we disclose it very carefully."
Well this is a lie. You get marketed the basic price every step of the way until you click through and get told you need to pay more for things you got a week ago at that price
Frustrating on so many levels. I could (maybe) understand reduced mileage and changes for a fee, but eliminating both is ridiculous.
Also, am I the only one laughing at their "Extra-spacious seat" description? On their A321neo, there isn't enough space for a regular-sized backpack under an FC seat. "Extra-spacious," my butt.
Seems like a much bigger risk of both discouraging people to participate in loyalty program and potentially cannibalizing seat from higher fare business seat. If I want a fare that earns miles and an extra leg room seat, I'm not far off from just buying the first class seat here. Still get a free bag and boarding group 1 so not much value in the credit card for the average traveler. Biggest loss from normal economy in this scenario is having to pay $199 to get an ecredit if you want to change flight.
I feel like with these fare, that they are looking for the LCC crowd. Anyone who cares about status were never going to buy these anyways, so I think it's a little short sided to cheer that people were "buying up". To me, there is never a choice to buy basic.
They can charge "the same" fares as always and then charge higher for all of the usual perks that used to be inclused. Simple as that. Terrible for the consumer.
*boo hiss*
I just don't care. Sure, I want to spend less. But, after years of flying on the cheap, I've saved enough to fly F/J every time for the rest of my life (I only fly for pleasure, now). I know that the F/J I've had before will still be in my price range, particularly with the newer premium heavy aircrafts. And, I can't really be upset, since the big 3 currently don't make a profit from airfares. The charities in my will will just get less.