What Disappoints Me About The “Reinvented” Flying Blue Program

Yesterday we learned the details of the “reinvented” Flying Blue program, which will kick in as of April 1, 2018. To summarize the major changes:

  • Flying Blue will go revenue based, and members will earn 4-8x redeemable miles per EUR spent
  • Qualification for Flying Blue status will be based on a new “points” system rather than miles
  • Flying Blue is changing how mileage redemptions work, with the cost of a redemption being more closely correlated to the cost of a ticket

The more I think about the program, the more disappointed I become. I’m disappointed by the way that these changes were communicated, I’m disappointed by the actual changes, and most of all, I don’t get how the changes make sense from Flying Blue’s perspective.

In no particular order, here’s what disappoints and confuses me about the new Flying Blue program:

Flying Blue isn’t disclosing new redemption rates

Flying Blue is claiming that they’re “reinventing” their loyalty program. Maybe it’s just me, but when I think of an announcement about a reinvention, I expect at least a general summary of what’s changing, with some examples.

When it comes to frequent flyer programs, the two major aspects are earning and redeeming miles. Flying Blue has revealed how mileage earning will change, but they haven’t provided concrete examples of how mileage redemptions will change.

They’ve explained that they’ll introduce dynamic award pricing starting next June, though they haven’t even given an example of what kind of pricing we should expect.

If they want members to evaluate the program and decide on whether or not the program is more or less generous, this is a vital element. To me the lack of transparency and details is very poor form.

Does Flying Blue’s new program make sense from their perspective?

Airlines are increasingly using their loyalty programs to segment their customer base. They’re not trying to reward loyal flyers anymore, but rather are trying to reward “profitable” customers. I put “profitable” in quotes because I’m not sure loyalty programs are effectively incentivizing profitable behavior. Loyalty programs should be looking at ways that they can generate incremental business, rather than just rewarding those who are big spenders, who are more likely to choose airlines based on schedules or routes rather than the loyalty program as such.

While I often don’t like the direction airline loyalty programs are headed, I at least see where they’re coming from. With Flying Blue’s new system, you earn status based on the number of XPs (Experience Points) you earn, as follows:

As you can see, the number of XPs you earn is based on the distance flown and the class of service you’re traveling in.

What I can’t wrap my head around is that they’re not segmenting their customers based on what fare class they’re booking. In other words, someone booking the deepest discount economy fare earns just as many XPs as someone booking a full fare economy ticket, even though it might be 10x as expensive.

The new program isn’t easier or more transparent

The Flying Dutchboy notes that the director of Flying Blue claims that the reinvented Flying Blue program is both easier and more transparent. He suggests that the old program wasn’t transparent or clear, and that the difference between award miles and elite qualifying miles caused confusion among members. “When buying a ticket it was not obvious how many miles you would earn.”

Claiming that the new program is easier or more transparent is pure hogwash.

Let’s start with the claim that the program is easier, which I strongly disagree with. You earn status based on arbitrary XPs that 99% of members won’t know by heart. There will be a discrepancy in the earning of redeemable miles based on whether you’re traveling on an Air France or KLM ticket, or on a ticket issued by a partner airline. Redeemable miles will be awarded based on spend, which isn’t terribly straightforward, since the airfare paid often doesn’t reflect how much spend qualifies due to the high taxes & fees on many tickets in Europe.

Now let’s talk about the claim that the program is more transparent. There’s nothing transparent about going to a revenue based redemption program, where the number of miles required will vary based on the cost of a ticket. It’s one thing if each mile is worth “X” cents towards the cost of a ticket, but I doubt that will be the case. Instead there will likely be some correlation, but it won’t be direct. It’s much more transparent to have a chart than to just tell members that “the price is the price.”

Similarly, there’s nothing transparent about how revenue airfare works, and now awards will adopt a similar model.

Will Flying Blue members be at a disadvantage for awards?

While Flying Blue hasn’t yet published the new award redemption rates, this does raise an interesting question. Apparently Flying Blue is ditching traditional award charts, and there will be dynamic pricing.

However, presumably this pricing model will only apply when booking through Flying Blue. They’ll continue to have award fare classes that partner frequent flyer programs can access, since there’s no way that partner programs could adopt the technology so quickly to also introduce revenue based award pricing on Air France and KLM.

This potentially creates a huge disadvantage for Flying Blue members, since presumably redemption rates will often be much better for members of partner programs, especially when redeeming in premium cabins. So will the new program encourage people to choose other programs over Flying Blue?

I wish I could provide a more thorough analysis here, but with Flying Blue’s lack of transparency in publishing their new award pricing, there’s not much I can say.

Bottom line

I just don’t get what a lot of airline executives are thinking nowadays. In the same way that Air France’s new millennial airline, JOON, doesn’t make sense to me, neither does this program.

The Flying Blue program is becoming less transparent and more complicated, they’re not even sharing the full details of the changes, and there are parts to the changes that are downright puzzling.

We’ll have to wait a while to see just how bad these changes are, since the new redemption rates are only being introduced as of next June. Hopefully they give us a preview of what those changes will look like before then.

Where do you stand on the changes being made to the Flying Blue program?

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JR Mendels Guest

It’s 2018, and Flying Blue has worsened: The Flying Blue loyalty program is utterly unwilling to live up to its promises, which its customer service makes clear. The actions of the program and Delta that I relate below are a bright yellow warning light about their service–a serious one because it shows an unwillingness to honor their compensation program even when they’ve stated it outright. How? Flying Blue has created a systemic problem that delays response to customers, defeats consumer efforts to claim their privileges, and provides no one to call them to accountability. Here's why I state as much (and I apologize for the length of this): I’m an elite Flying Blue member who has experienced what I believe is a systemic problem at Flying Blue. 1) I’m a US resident and citizen but a silver level Flying Blue after only 9 months of membership, a full-on dedication to flying them and their partner Delta. I’m nearly silver status this year after 8 months only. 2) In January I booked a premium economy cross-continental flight on Delta for late March, from JFK to SFO, but I was denied complimentary upgrade in spite of it being a stated Flying Blue privilege to be honored within 24 hours of the flight; in spite of my having that confirmed in writing–an email from an FB/Air France rep at Delta months in advance (Because their website didn’t indicate I had the privilege, so I wrote them); and confirmed by phone within 24 hours of the flight. The denial came at the gate and at the service desk of Delta, the latter telling me I’d have to take this up with Flying Blue but it wasn’t going to happen for this flight. 3) What followed was nearly 5 months of repeated emails and phone calls after refusal to address the issue, done in a way that suggests the systemic problem I suggested above. 4) I contacted Flying Blue immediately onboard the outgoing flight in the hopes the issue would be addressed in time for my return flight in 8 days. I did so using the Flying Blue chat element of its website onboard. The chat person directed me to email and then to follow up with a phone call when I made it to San Francisco. This was to send me down the rabbit hole, as I discovered in the ensuring months. 5) In SF, the Flying Blue phone person I contacted on the day I arrived said they do not have access to the emails until their email people respond (I now know from a phone service person that the phone and email folks are in the same office, visible in the room but forbidden to contact each other. Yikes.) 6) Eight days later, I’d heard nothing. I called, was told that the only thing they could do is have their phone supervisor look into it. The supervisor would not get onto the phone but confirmed they had my email. I was denied the privilege on the return flight. 7) After weeks back in New York, I called again and was told I would have to wait on the email personnel, but I should resubmit the email. I did (with all documentation and the history of what had transpired so far. 8) Weeks later, now in May, I received a cryptic email reply stating that my complaint would be forwarded to Air France. Huh? This was about Flying Blue. 9) Nothing happened for weeks more, in spite of my calling repeatedly and the phone people throwing up their hands because, they said, they could do nothing. Only the email people could respond–the very people they sent me to. Their supervisors would not get on the phone; and when one supervisor said he could do nothing without evidence–relayed that response–I offered it but he refused to give out an email for him.. By then I’d spent hours of my time. I began to reconsider my loyalty to Flying Blue. 10) On July 12, nearly 4 months since my flights in late March, I received an email from Flying Blue, stating that they were sorry for the lack of service and the long delay in responding; they would forward the matter to “the relevant” authorities. 11) I responded that this is really beyond the pale. This was their responsibility. They’d instituted a system of phone service and email service that defeated customers from contacting them continuously and from anyone taking full responsibility. I was considering spending out my Flying Blue miles and dedicating myself to flights other than Air France, KLM, and Delta. I asked for compensation for my time–a fair amount given the amount of time and the breach in trust and denial of stated privilege (along the way, I had some who denied this was ever a privilege. It was and is: it was listed on the FB website until it was scrubbed for their April 1 change in the program. It was confirmed with me last week in writing from a Delta person.) I gave FB until the end of the month, August 1, to make good, at which point I’d email you folks and others, hoping you’d take this matter up on your websites, Facebook, twitter, and instagram postings–about the service, not about my case. 12) When August 1 rolled around, nothing happened save one thing: on about August 2, someone from Delta called and then emailed me. The email confirmed this was my privilege and I was denied it. The agent, Samantha Clark, and I spoke last week: She’d been given, it turns out, partial information by Flying Blue, told only that on one flight I was denied a privilege, not two; and told nothing of what had transpired. She added FB miles to my account, said that if she were me, she “would have been livid.” She said the more serious need for redress and compensation was not something Delta could handle. That was on Flying Blue. (I think this is likely not as black and white as she states, that Delta’s involvement with Flying Blue in the US is greater than this, but frankly I do not know.) 12) In sum, this is a systemic problem that delays response, defeats consumer efforts to claim their privileges, and has no one to call them to accountability.

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Klots Guest

Just a cost saving exercise communicate by an expensive campaign . I fly regular KLM long distance (12 times a year) and reached platinum with these flights. Now I require 25 flights to reach platinum and will not even make gold anymore with my flights.

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Alex Timmer Guest

Love flying on KLM within Europe, service is excellent even in Economy. Also bought a couple of online upgrades to Business Class and must say it is very enjoyable. But their FB program was already to cry about and with everything now becoming revenue based it has gotten to an almost useless point. For those like me who buy the cheap Economy return fares within Europe I might as well cancel my account. Virtually no chance at getting any upgrade either through miles or through elite status. Family relative of mine is CEO and travels a lot for work, we converted 100% of his AMEX points (this is before we knew anything about FF programs) to FB currency and after 2 years of high spending FB was able to get exactly 1 Business class return ticket on AMS-SIN on the old 772. I checked once for myself, 12 hour workday and I thought that my 10.000 miles might get me an upgrade on a 90 minute flight and get a good nap for once, but no chance at that because it started at 30.000 miles!!! I am very loyal to KLM (apart from being my national airline, I love how the crew still has enthusiasm for their job), spend extra money to fly with them and do so 10X a year on BCN-AMS return and STILL don't qualify for anything extra. No I don't expect to become a gold member with that, but maybe some reduction in bag fees, free seat selection or priority boarding would be much appreciated. I fly about 6X a year return with Vueling/Iberia on short routes within Spain and was able to snag at least a yearly Economy award to Scandinavia with that. I could also upgrade to Iberia Business on a shorter flight, but with a vastly inferior product don't feel it's worth it. VERY dissatisfied with this latest change and feel like KLM just doesn't care unless I buy J class every time, especially angry with how they promote this as a good thing!

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Ionut Mircea Guest

The “reinvented” Flying Blue just brought a loss for gold members. Now, a gold member does not have anymore an extra luggage as before “reinvention”

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Erin Guest

flying blue was a bad joke. Let's all leave it. It was awful!!!

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