We don't get a stream of random customers walking through our doors because we are not a store front agency. Yes it is more profitable to look after the clients I already have. 80% of your business comes from 20% of your customers. Very few of my clients travel on unrestricted tickets. With the business climate the way it is, they are planning in advance or using back to back tickets. Many of them are top tier frequent flyers and are often upgrading from the 14 day advance purchase fare. Nick Laflamme wrote: > At 07:37 PM 5/3/2002 -0700, Mark Greenwood wrote: > >How would doing away with FC adversely affect yield? Right now you have > >someone who has paid the lowest fare possible occupying a high yield seat. > > You're kidding, right? They people who fly the most often fly on > unrestricted tickets or on very short notice. They may have a 5% corporate > discount worked out by their employer (I did when I was with Nortel), but > that's 5% off a very high fare, not 5% off what the cheapest fare on the > plane is! > > United got my business last year on four IAD-MSP round trips (through ORD, > no less!) instead of NW because they treat me well, because I did lots of > Star Alliance miles in 2000. (UA and LH were by far the easiest way to > Hamburg when I was doing lots of IAD/HAM trips.) When I say "treat me > well," I mean extra leg room in Economy Plus and a less busy check-in > counter at most UA airports. If United decides the only perk I get for my > consistent patronage of them is the occasional free flights, I'll spend > down my current Mileage Plus balance on free tickets and then go back to > choosing between Midwest Express (I miss Legend Airlines!) and Southwest > depending on when I'm in economy mode or more-room-please mode. And instead > of counting on my patronage to fill seats on twenty or fifty flights a > year, UA will have to win over someone else to be their customer. > > Was I part of a niche worth being catered to when I worked for Nortel and > travelled a lot as a consultant? United thought so. That's the whole basis > of the FF programs: it's easier to retain (and milk) an established FF than > it is to compete for other airlines' frequent fliers. > > Tell me, Mark (and you other travel agents), is it more profitable to take > care of your established customers or to try to make a profit on a stream > of random customers walking through your doors? > > Sigh, > Nick