대한항공 마일리지Korean Air announced that it plans to review the overall mileage system, including mileage accumulation, change of deduction standards, and introduction of new excellent members, and come up with new improvements. It is expected that it will take a considerable amount of time to announce the results of the review, so the current mileage system will be maintained until then.
In addition, apart from the review of the mileage system change, we plan to expand the supply of bonus seats, various mileage discount promotions, and expand mileage usage so that customers can use mileage more smoothly.” It announced that it would increase the number of ways to consume mileage, such as increasing the mileage seat supply ratio from the current 5% level.
What was pointed out as a problem with the mileage system reform plan?
There are many reasons why Korean Air, which has been involved in reforming the Korean Air mileage system for the first time in 20 years, has become such a hot potato.
The main content of the existing reform plan is to subdivide the deduction standard from region to mileage. In the case of international flights, if mileage was deducted in four regions: Northeast Asia, Southeast Asia, Southeast Asia, Americas, Europe, and Oceania, the reform plan subdivided it into one domestic flight and 10 international flights based on operating distance. In the case of the Incheon-New York section, 62,500 miles are currently deducted on a one-way basis, but 90,000 miles are required under the reform plan. On the other hand, the mileage deduction for short-distance ticket purchases is reduced.
When it comes to using mileage, dissatisfaction with this has grown because it is often used for long-distance flights rather than short-distance flights. In addition, as large airlines, which are advantageous for long-distance flights, increase the benefits of short-distance tickets, there was criticism that it was a strategy to monopolize the sky.
In addition, due to the prolonged COVID-19 pandemic, mileage accumulated, while mileage tickets were issued, consumers had to wait due to a lack of bonus seats, resulting in increased consumer dissatisfaction.
In response, Korean Air explained that the reform plan was more favorable to customers, but consumers’ complaints continued. Efforts to calm dissatisfaction by expanding bonus seats and suggesting plans for operating special flights that can be booked with mileage, but it seems to have failed.
Efforts were also made to calm dissatisfaction by expanding the use of mileage points in partnership with shopping and lodging companies. However, it was criticized that the value of mileage significantly decreased compared to purchasing airline tickets when mileage was used at affiliates.
If you look at the contents analyzed by ‘Chosun Biz’, 1400 mileage can be exchanged for 10,000 won for Kyobo Book Center and E-Mart voucher, which is worth 7 won per mile. Considering the current value of 37 won per mile of air ticket to New York, it falls to 20%.
The Ministry of Land, Infrastructure and Transport also expressed its position that Korean Air’s countermeasures were not sufficient.
Minister of Land, Infrastructure and Transport Won Hee-ryong said on his Facebook page on the 15th, “Airline mileage is a debt owed to customers, but it seems that customers are taking a back seat even after achieving record-breaking performance.” They criticized it as the so-called ‘light apricot’.
At the same time, he emphasized, “A reasonable review and genuine improvement of the mileage usage standards are needed, and routes and seats that meet the demand for use must be supplemented.”
In addition to consumer complaints, the government also expressed its intention that it was difficult to agree to the reorganization plan, so it seems that Korean Air’s mileage system reorganization was reviewed and temporarily withdrawn.
Apart from this review, Korean Air is said to be contemplating expanding the supply of bonus seats, various mileage discount promotions, and expanding the use of mileage.
