Delta Air Lines, the airline that should not be trusted under any circumstances when it comes to the redemption side of its loyalty program, has done it again. I held off a few days writing about this to ensure it would stick…and of course it has.
The carrier took away “close-in processing fees” in 2010, a bogus ancillary fee that American and United Airlines tack on to an award if you book 21 days prior to travel or less. Currently, both airlines charge $75 per ticket for those without status who book within this three week period.
Delta doesn’t charge anything…at least in terms of dollars.
But Delta just tacked on a far more expensive close-in booking fee in the form of charging a huge mileage premium for those bookings made…how coincidentally…21 days prior to travel or less.
Let’s take an example. Los Angeles (LAX) to Shanghai (PVG) on China Eastern. Previously, this award was a standard 95K miles whether booked a year in advance or day in advance.
Now, if you book more than three weeks in advance the price is still the same as before. Let’s take three weeks from today, September 25th. The price is 95K for one-way in business class.
But how about booking one day earlier? Since September 24th is within 21 days, the price jumps from 95K to 125K miles.
Asia + Virgin Atlantic Now, World Later
There is so little premium partner award space to test this on, but it appears this is impacting only business class space between North America and Asia as well as flights to Europe on JV-partner Virgin Atlantic (Virgin jumps from 85K to 135K).
Make no mistake: this will almost assuredly expand to other regions.
When the change was first made last week, it appeared that flights booked super close-in fee (five days or less) reverted to the old price. But from what I see, that “glitch” has been closed. For example, a Korean Air ticket for travel Wednesday from LAX to ICN prices as the new higher 125K rate. Same story for a SFO-ICN flight departing later today.
A Very Expensive Close-In Processing Fee
Let’s say we value SkyMiles at one cent each (I would peg them closer to 1.4 cents). That means the extra 30K miles amounts to a $300 close-in booking fee, quadruple what American and United charge.
Delta just doesn’t care. They won’t even comment on it. It is the way it is: our price is what we tell you it is.
CONCLUSION
As in every Delta devaluation story, my takeaway is the same: do not stockpile Delta miles. While they are becoming more elusive, there are still some worthy sweet spots using SkyMiles. Just keep in mind that it doesn’t matter if you’ve been saving for a dream trip for years. Delta has shown over and over again that it will devalue without notice. You’ve been warned.
(H/T: Point Me to the Plane)
It’s still variable pricing. They didn’t hide the award chart – they introduced variable pricing. They didn’t increase close in fees – they introduced f’ing variable pricing like dock pricing for lobster.
Variable pricing would mean it’s somehow market driven – but if they’re doing it to all awards regardless at 21 days, that’s a hidden fee.
SkyPesos is largely still functioning on the basis of mileage memory – where people believe their credit amounts to something. And the only ones that is still true for are the very high-end travelers and/or those who charge huge amounts/company cards that pile up.
My definition of “variable” pricing is a bit broader, but it is very fair simply to characterize it as a hidden fee.
And that is why I fly Southwest even if i have to make a few stops.
I have almost 200,000 Delta Airmiles saved, because I have never found a way to use them. I look at their mileage charts, but when I try to book a flight the figure that comes up is always two to three times that shown in their charts. I am at a complete loss.
That’s the problem — Delta took away charts. Now there is no set price on any award and you see exactly the type of fluctuations that have confounded you.
If you can afford to fly business then it really won’t matter. It’s those of us that fly cattle car that it would really have an effect on – and most of us plan way more than three weeks in advance to travel. Is it greedy? Yes, but I would hardly call it stealth – or more greedy than any other airline.
Stealth because it was not announced.
And you are wrong about it not mattering just because it is business class.
Number of miles required is based on inventory at time of booking, not how far in advance ticket is booked. Just like with revenue tickets, as inventory sells out, lower fares (whether in dollars or miles) are sold out so it costs more. This 21 day thing is just not true.
You are 100% wrong. Partner inventory does not have multiple fare buckets, only one.
Hello and thank you for your work.
I purchased Hilton Grand Vacation Package which offered various promotion but required us to attend a 2 hour sales time share presentation.
I paid more than a typical charge for a Hilton Hotel in NYC it turns out, we sat through the presentation but never received any of the rewards promised. The Rewards were 1. $100.00 Spend A Night On Us”. 2.) $100.00 Elevated Reward 3) $50.00 American Express Card.
The departments won’t return my call. I get passed around on departments.
Can Hilton do this and get away with cheating people?