Last Saturday, I did what I usually do when I wake up, I checked my flights on Alaska Airlines. I do this to see if any flights have schedule changes or cancellations. This process only takes about 30 seconds so I can do this a couple of times per day using the Android mobile app. This offer is not yet alive on the full desktop version of alaskaair.com. On Saturday, I noticed something unusual, Alaska Airlines was offering an upgrade to first class. I am flying from Portland (PDX) to Orlando (MCO) on Friday. Here is what I saw:
I booked a cheap fare code “G” fare for this leg. Fare code “G” is the next hire fare above the cost of basic economy, fare code “X”. The plan was to see if I get upgraded off the first class waitlist. I was intrigued, so I called Alaska Airlines. The reservation agent didn’t know anything about this. I asked her to check with her lead agent. It turns out that this is a new program that is starting on May 15, 2024. I told her that this offer only showed up using the mobile app and not on the full desktop version. She told me that the mobile app might have been chosen to go live first. I decided to give it a shot to see what would happen.
I tapped on “upgrade available”
It showed me that I am currently seated in 8A and the cost of this upgrade would be $360.00. I tapped “upgrade” to see the next screen
I saw that there were five first class seats available and I chose seat 4A and tapped on “done”
The app then displayed the additional fare and taxes to upgrade. I tapped on “pay now”. After paying, my reservation now shows me in first class seat 4A. The app still shows me on the first class waiting list.
I received a confirmation email from Alaska Airlines showing that the outbound leg is now is first class.
The flight details page now shows me in fare code “I” which means that I will earn 50% more elite qualifying miles (EQMs). This is important because a complimentary upgrade will be ticketed in fare code “U” and no bonus EQMs will be awarded.
I was immediately able to reserve my first class breakfast.
My return trip also offered an advance upgrade to first class.
I tapped on “upgrade available” and it showed my current seat as 8F and an upgrade cost of $360.00.
I tapped on “upgrade” to see the available first class seats for this flight.
Since there are seven first class seats available, I decided to roll the dice and stay on the first class waiting list. I will continue to monitor this flight every day to see the number of first class available and if they pull this offer at some time before departure.
I have another trip to Orlando (MCO) for May 22,2024. Let’s see what my upgrade looks like for this flight.
Again, I tapped on “upgrade available” to see how much this was going to cost.
Ouch, the price for the same flight as last time is now $1195.00, up from $360.00 the week before. I tapped “upgrade” to see what first class looked like for this flight.
This flight is on a Boeing 737-800 with only 12 seats in first class with only one seat available. I decided to pass on this fantastic offer and stay on the first class waiting list. I took a look at what a first class ticket would cost from the Alaska Airlines booking search. The price for a one-way first class ticket was $1,500. If you add the upgrade cost of $1,195 plus the cost of my flight at $180, the upgrade cost is very close to the full cost of the first class ticket.
What Is Going On Here?
When elite members of the Alaska Airlines Mileage Plan book an economy ticket, they are automatically put on the first class waiting list. The practice at Alaska Airlines has always been to upgrade elite members to empty first class seats beginning 120 hours prior to departure for MVP Gold 100k and MVP Gold 75K. The upgrade window decreases to 72 hours for MVP Gold and 48 hours for MVP status.
In my opinion, Alaska Airlines has not been following their own upgrade policy beginning 120 hours before departure. I have observed first class tickets for sale with less than 24 hours to go before departure.
It looks like the accounting department has found a way to generate more revenue per flight. They may be correct if the upgrade amount is reasonable. If the upgrade amount is so high that when added to the existing ticket cost equals the cost of a first class ticket, people are going to pass on the deal.
What we don’t know is how long upgrade seats will last or how long an upgrade offer will last. Will the upgrade price increase closer to the day of departure? We don’t know the answers to those questions and the reservation agent at Alaska didn’t know either. I will continue to monitor the situation to see what actually happens as the departure date approaches.
My Take On Purchased Upgrades
In order to generate an opinion on this new practice, I first have to look at the upgrade process for me. The first thing to take into account is the actual number of first class seats that may be available, especially on popular routes and peak flight times. I have observed less first class inventory as Alaska has been able to sell more first class seats at time of booking. Next, I have to consider where I would likely land on the upgrade waiting list. There is a pecking order to how people are prioritized include elite status, original ticket fare class and tie-breaker factors. I am usually #1, #2 or sometimes #3 on the first class waitlist. Being #1 on the waitlist doesn’t mean anything if first class is sold out. My upgrade results this year have been at about 50%. There have been several flights where I was #1 on the waitlist and the flight departed with me still at #1.
Does paying to upgrade make sense? That depends on your threshold of pain in paying for an upgrade. If I bought a cheap ticket and the upgrade cost was reasonable and there a few seats available, I would most likely buy the upgrade. If the upgrade price plus my original ticket cost is anywhere close to the cost of a first class ticket, I will not buy. If there are only a few seats available, I am more likely to upgrade. If there are many seats available, I may elect to roll the dice. I have to consider the fact that many people are looking at the same upgrade offer and it may be a sooner than later proposition. There are several moving pieces that I have to consider in order to make a go/no go decision.
One thing that buying the upgrade does is it guarantees me a first class seat. Buy an upgrade takes an empty first class seat off the market. Buying an upgrade takes the first class waitlist out of the equation. If my history of where I land on the pecking order of the first class waitlist is low, it would benefit me to take the paid upgrade.
Final Thoughts
I am intrigued. If the stars line up and the cost is reasonable, I may be a buyer. It is far too soon to know the long-term effects of this “buy-up” program. There are several unknowns like how long to Alaska offer paid upgrades prior to departure and does the cost go up as it gets closer to departure. For now, I have paid to upgrade two flights and I am rolling the dice on two other flight. We’ll see how it goes.
