Expansion of Tango booking classes

Discussion in 'Air Canada | Aeroplan' started by tcook052, Sep 24, 2013.  |  Print Topic

  1. tcook052
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    tcook052 Silver Member

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    http://www.aircanada.com/en/news/130924.html

    Effective September 24, 2013, Air Canada will be expanding its Tango product to include more booking classes system-wide.
    This is what the changes will look like:
    [​IMG]

    In summary:
    • Booking classes S and W will now be sold under the Tango fare option for all international travel, including Sun destinations.
    • Booking Class K will now be sold under the Tango fare option for travel within Canada, for travel between Canada and the United States, and between Canada and Sun destinations.
    • Booking classes T and L will now be sold under the Tango fare option for travel to Sun destinations.
    Impact on eUpgrade eligibility
    If you’re an Air Canada Altitude member and you or your eUpgrade Nominee(s) have made a booking before September 24, 2013 in a booking class that is moving from Flex to Tango, your reservation will automatically be rebooked into a Flex booking class and will remain eligible for eUpgrades.

    Learn more about Air Canada eUpgrades.
    Impact on mileage accumulation
    If you’re an Aeroplan member (including Air Canada Altitude members) and you made a booking before September 24, 2013 in a booking class that is moving from Flex to Tango, you’ll automatically continue to earn 100% Altitude Qualifying Miles for your flight.
     
  2. slalom

    slalom Silver Member

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    ....so does this mean that mileage accumulation is 50% for any of the flights that move to tango?
     
  3. The Lev
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    The Lev Silver Member

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    Yes - unless flight was purchased before September 24. Also no e-upgrade unless purchased before that date.
     
  4. The Lev
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    The Lev Silver Member

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    Impact is that Europe now look a whole lot more like Asia - instead of Flex being slightly more expensive than Tango it is now more like $450 more each way.

    For non-SE's looking to upgrade to Europe, it now costs you $450 each way to be at the table to play Aerolotto and starting March 1 almost $1,000 each way if you "win". You can buy discounted J for less than that at certain times of the year.
     
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  5. Stephan

    Stephan Silver Member

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    Gotta love this program...it just keep getting better and better! Flex fares just jumped several hundred dollars more to European destinations since the weekend, nevermind the co-pay for a chance at aerolotto! Nice! Someone please explain again why anyone - other than perhaps an SE - would credit to this program anymore? In general, AC seems to only want to appeal to the once a year holiday flyer now.
     
    Last edited: Oct 4, 2013
  6. slalom

    slalom Silver Member

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    ....but still subject to 500 Q mile minimum for short haul, isn't it?
     
  7. It sure looks to me like they have set them selves up to be ahead of WJA's LLC and, at the same time are moving to solidify their top Business customers.

    Selling lots of Tango seats makes sense IMHO because they are driving their costs down and have more seats to sell so volume becomes an even bigger challenger.
     
  8. milchap
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    milchap Gold Member

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    Nice avatar....wrong team :p
     
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  9. milestoburn
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    milestoburn Gold Member

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    just when i thought AC could not enhance the program anymore, bamn, take that loyal suckers....

    i am so glad i ditched this program and now only collect the miles with free sign ups to convert over to my RBC card to park in AA or BA.
     
  10. they won't miss you because you are obviously not willing to pay the fares that make the airline profitable. it's all about profits.
     
  11. I guess you can go via ORD and fly UA. AC has a somewhat higher cost structure because they are Canadian and we get to pay those usurious airport fees plus expensive fuel with excise taxes added to it and then we pay the next level of HST at retail
     
  12. The Lev
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    The Lev Silver Member

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    No HST on flights beyond US and Canada.
     
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  13. The Lev
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    The Lev Silver Member

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    Not sure exactly what you mean, but on a Tango flight under 500 miles you earn 125 Q miles not 500 (25% of 500).
     
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  14. True but I have NA passes as well and they get HST added.
     
  15. YULtide

    YULtide Gold Member

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    My daughter paid QST on an excess baggage fee on a YEG-YYZ flight once. :confused:
     
  16. Wandering Aramean
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    Wandering Aramean Gold Member

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    While the airlines are certainly trying to make some profits, the insinuation that the fare classes affected here are not profitable is an interesting one. These aren't the bottom of the barrel fares which are being devauled; these are mid-level economy fares which generally are in the ballpark of the average CASM. This is a hit against the mid-level customers, not just the low-end ones. That's a special sort of move with lots of potential for troubles.
     
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  17. YEGman

    YEGman Silver Member

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    Wait until your clients start cracking down and not paying anything but Tango. You'll be singing a different tune - as will the Central Canadian carrier.
     
  18. canucklehead
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    canucklehead Gold Member

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    You assume that AC will continue to have high load factors (and not drive away customers with their recent changes), but it goes without saying until they hit 100% load factor, every additional revenue passenger they get on a plane is revenue and profit beyond their break-even point. To suggest that someone who does not pay the higher fare is not contributing to AC's bottom line is incorrect.
     
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  19. Wandering Aramean
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    Wandering Aramean Gold Member

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    So is suggesting that they should be rewarded the same within the loyalty/ff program. And so is suggesting that airlines should want 100% LFs for peak profit potential. Neither is actually true.
     
  20. Like what? AC has upcoming competition from WJA who have a pretty poor FF program and they are consolidating their fare classes with most of the other *A carriers, possibly other than the US ones. Devalue is the word to use if one is speaking about the unprofitable benefits given to lower fare FF'ers.
    If one looks around at a few examples I am familiar with AMEX for one charges more for their Platinum rewards card and then discounts certain things where they make wholesale deals that benefit their card holders, like Free valet service at YYZ and a 15% discount on top of that. That alone and the single booking I made through their travel site has paid for my card membership. ICHG only gives RA status to those who frequent the IC hotels and then thye give some benefits that are worth the time of day.
    It seems the travel industry is going to generally move in that direction as they are in a sellers market these days
     
  21. If the lower fare pax only flies 50K a year and puts 100K on his Aeroplan card from other purchases who is making money on the reward flights he books every year or so.
     
  22. tomh009
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    tomh009 Gold Member

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    They are devaluing fare classes ... but in practice, for most pax that would have flown in those fare classes, they wouldn't know how to spell "fare class", this is just an increase in the gap between Tango and Flex prices.

    My assumption is that based on their experience on the Asia routes, they have decided that the reduction of the number of pax choosing Flex will be less than the increase in revenue from those who do stay with Flex.
     
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  23. YULtide

    YULtide Gold Member

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    Presumably they will also sell some more expensive Tango fares as well.
     
  24. tomh009
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    tomh009 Gold Member

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    Not until the cheaper ones are sold out. And once the cheap Tango fares are gone, the Tango-Flex gap actually gets smaller, something that's not so frequent on the Asia fares at least.
     
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  25. YULtide

    YULtide Gold Member

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    True enough.
     

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