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LAXintl
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Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 3:47 pm

Countering the recent trend by airlines mileage programs to favor customers that spend more on their flights, Spirit Airlines instead seeks to reward those clients that snag the lowest possible fares.

As part of the Free Spirit program customers will earn up to 1,000 bonus miles the lower the one-way flight price they book.

Company says it will counter growth of "elitist frequent flier reward system" that favors customers who have deepest wallets.
Instead the company says the best loyalty reward is helping customers save money and earn rewards even easier.


Story:
Spirit Loyalty-Program Promo Awards More Miles the Less You Spend
http://www.airlinesanddestinations.c...rds-more-miles-the-less-you-spend/

Press release with bonus miles chart
Spirit Is Pleased to Offer a Bonus Program the 99% Can Enjoy - Rewarding Customers for Spending Less
http://ir.spirit.com/releasedetail.cfm?ReleaseID=831622

=


As usual Spirit does a good of poking fun at others.   
From the desert to the sea, to all of Southern California
 
airmailer
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 4:47 pm

Quoting LAXintl (Thread starter):
Company says it will counter growth of "elitist frequent flier reward system" that favors customers who have deepest wallets.

Excellent promotion by Spirit!

DL 's 2015 changes to how SkyMiles are earned will make my business significantly easier for other airlines to earn if they have a more competitive rewards offering. Granted, my annual spend on airfares is only a little above the $10,000 mark (and increasing every year) but I'm sure I'm not the only one in this spending segment who is keeping their eyes open for more rewarding opportunities.

Best of luck to all the airlines that are working to capitalize on this opportunity!   
 
AWACSooner
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 5:13 pm

As much as I rag on them for their carry-on fees and other ancillaries, their advertising and FF schemes fly in the face of normalcy, and that is a good thing. It should get them tons of free press in the wake of Delta's continual devaluing of the SkyPeso for us non-elites.
 
jetblueguy22
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 6:26 pm

I wish I could say I am surprised. But Spirit has a funny way of making things work. As funny as I think this is, it would also irk me if I was a FF of theirs. If I am spending $300 on a ticket I would hope I could earn more miles than the guy next to me who got an $88 special. If it was based on miles flown I really wouldn't have a problem. But if you are basing it on the fare I would want what I paid for. Sure it may be a little high brow, but I want to get what I paid for.

Quoting AWACSooner (Reply 2):
It should get them tons of free press in the wake of Delta's continual devaluing of the SkyPeso for us non-elites.

The new skymiles program is weird. For me it will actually net me on average more miles than before. But yet for someone like my stepfather who travels overseas a lot in Y, it will net him less miles. Go figure.
Pat
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Osubuckeyes
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 7:23 pm

Interesting move by Spirit seems like they are gunning for the flyers that DL just dumped with their new program. I could see this working out for them since they already drive huge amounts of revenue from their fees anyway so giving away miles tickets do not cost as much for them relative to everyone else.
 
Prost
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 7:33 pm

Do the majority casual travellers base their purchases of tickets on anything other than price and schedule?
 
FlyASAGuy2005
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 10:27 pm

Quoting Prost (Reply 5):

Do the majority casual travellers base their purchases of tickets on anything other than price and schedule?

It's blown up on this site for obvious reasons. We're enthusiasts and "know everything". We (and people like us) are a very small portion of the pie.
What gets measured gets done.
 
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mercure1
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 10:46 pm

Clever marketing.

Spirit like Ryanair has said it seeks continue pushing down their ticket pricing, so this gives consumers a nice little encouragement to seek out that $9 fare, and also earn a few extra miles at it. I think Spirit is absolutely right, the best loyalty is through ones pocket book.

Also kinda impressive they are handing out up to 1000 miles, as it only takes 2500 miles to earn an off peak ticket up to 1249 miles.

Great publicity.
mercure f-wtcc
 
BD338
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 10:59 pm

Quoting osubuckeyes (Reply 4):
Interesting move by Spirit seems like they are gunning for the flyers that DL just dumped with their new program

which probably tells an awful lot about those passengers and why DL is likely not bothered by Spirit picking up those folks. DL doesn't make money off the folks likely to want to fly NK.

Quoting Prost (Reply 5):
Do the majority casual travellers base their purchases of tickets on anything other than price and schedule?

Nope....and in many cases schedule doesn't even matter!
 
EricR
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Tue Mar 11, 2014 11:00 pm

Pure marketing ploy by Spirit. They know their customers specifically search for the lowest fares. Therefore, this promo has nothing to do with awarding the most miles to the lowest fare, but rather awarding the most miles to the people that book the earliest (and hence grab the lowest priced available ticket).
 
FlyASAGuy2005
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Wed Mar 12, 2014 12:49 am

Quoting BD338 (Reply 8):
which probably tells an awful lot about those passengers and why DL is likely not bothered by Spirit picking up those folks. DL doesn't make money off the folks likely to want to fly NK.

Not entirely true and I think that's were people get confused and base some thoughts on urban legends. Airlines like Delta most certainly do need casual and non-loyal customers. Everyone isn't a part of the SkyMiles program and furthermore only a very small % of DL's total passengers are Diamonds, Platinums, and Golds although they do recognize that these people make up a huge portion of their revenue. On the other end of the spectrum, non-loyal travels and bargain shoppers pay the bills too. They also make up a considerable portion. Here's the thing. Available seats within the US is finite and Delta knows this. Spirit is a very small airline. They can only "absorb" so many pax or "deflectors" from DL. Over this past weekend, DL's LF was 90% across the mainline fleet! This is an insane number.

What Delta (in my opinion) is doing is turning everything within the business into a for-profit revenue generating business unit. I can't prove it and my comments do not represent Delta Air Lines but I can only assume some time back, SEs said to other VPs, "look, we've moved the needle to 85% now we need to get to 90%. Do what you have to to make that happen." Hence the changes to Delta's Loyalty program. But all isn't always bad. Look at the amount of upgrades we's seen in in-flight soft product over the past 2 years. All that stuff costs money but how else do you expect to increase the cost of a ticket up front. It's all tied together. Overall, FC seats systemwide is up because of the addition to the large RJs and more mainline a/c but in general, upgrade opportunities is getting tougher (new 757 config, etc). The more paid F sales DL gets, the more you will see put into the soft product it's that simple.
What gets measured gets done.
 
OB1504
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Wed Mar 12, 2014 4:37 am

I just bought a $13 FLL-MCO one-way on Friday and am now wishing I had waited a few more days so I could've gotten the 1,000 bonus miles!
 
smittyone
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Wed Mar 12, 2014 12:42 pm

Quoting jetblueguy22 (Reply 3):
As funny as I think this is, it would also irk me if I was a FF of theirs. If I am spending $300 on a ticket I would hope I could earn more miles than the guy next to me who got an $88 special. If it was based on miles flown I really wouldn't have a problem. But if you are basing it on the fare I would want what I paid for. Sure it may be a little high brow, but I want to get what I paid for.

I think you are looking at it the wrong way. The point is not to reward people who spend more money...the point is to drive the consumer behavior that they want. By doing this, Spirit is providing even more incentive (in addition to the lower fare) for people to book early and fill airplanes.

And giving them kind of an odd counterpoint to other airlines' programs.

The idea behind both being that it will boost thier bottom line even farther.

Quoting BD338 (Reply 8):
which probably tells an awful lot about those passengers and why DL is likely not bothered by Spirit picking up those folks. DL doesn't make money off the folks likely to want to fly NK.

? Can't tell if serious. Unless Delta is routinely selling economy seats at a loss, this statement makes no sense. Plenty of decent people have relatively humble requirements for air travel both in terms of quantity and quality. Yeah it would be great to carry around only the Super Terrific Platinum Elite Diamond Geode Extra Plus Frequent Fliers who are so awesome that they don't even need to use toilet paper but that does not reflect the market.
 
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par13del
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RE: Spirit; Lower The Fare = Higher The Miles Earned

Wed Mar 12, 2014 1:15 pm

Quoting jetblueguy22 (Reply 3):
As funny as I think this is, it would also irk me if I was a FF of theirs. If I am spending $300 on a ticket I would hope I could earn more miles than the guy next to me who got an $88 special.

One would think that such pax would never be Spirit customers in the first place, that describes legacy behaviour, Spirit mantra has been anything but..................
 
OAKflyer
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Joined: Fri Mar 06, 2009 3:23 am

RE: Spirit; Lower The Fare = Higher The Miles Earned

Fri Mar 14, 2014 9:08 pm

Hi all,

amazingly at all Spirit has such bad service, but at OAK Spirit is going to add it's third city Chicago-O'hare starting May 1. 1 daily departure.

http://m.bizjournals.com/chicago/new...hicagos-ohare.html?page=all&r=full

Oakflyer
 
Flytravel
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Joined: Tue Dec 22, 2009 4:37 pm

RE: Spirit; Lower The Fare = Higher The Miles Earned

Fri Mar 14, 2014 9:25 pm

Quoting jetblueguy22 (Reply 3):
As funny as I think this is, it would also irk me if I was a FF of theirs. If I am spending $300 on a ticket I would hope I could earn more miles than the guy next to me who got an $88 special.

I think it's partially because the legacys/WN are price matching NK on the low fares for advance purchase tickets in certain markets.

On Wed. April 9, US has 8:35pm PHL-DFW flight that US is pricing at $106 one-way. Note: all other nonstop flights the same day are $221. It's no coincidence that NK's one daily flight on the route is an evening flight as well. US is actually two bucks cheaper than NK on April 9, which is far enough out in advance.

So, pax otherwise would book on US when the fare is low.

As the date approaches nearer however, US lowest fare rises much faster than NK's.

Quoting smittyone (Reply 12):
By doing this, Spirit is providing even more incentive (in addition to the lower fare) for people to book early and fill airplanes.

  

It basically is rewarding the pax that helps fill the plane earlier over the pax that is only flying NK out of desperation to fly from city A to city B because the ticket was booked at the last minute and NK's flight is a great bargain over the walk-up fares of the legacy carrier or WN.

[Edited 2014-03-14 14:41:03]

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