devaluation

Tag Archives for devaluation.

United MileagePlus Hits Members Hard As Lufthansa and ANA First Class Award Prices Skyrocket

lufthands headquarters
Apr 23 2024

Lufthansa first class appears to have gone from 121,000 to 154,000 miles each way per person – meaning that a saver award now costs 308,000 miles roundtrip. That’s a 27% increase. And these are tough awards to book, because Lufthansa only makes them available to United’s program members within a few days of departure.

Meanwhile ANA first class from the Midwest and East Coast appears to have jumped to an eye-popping 242,000 miles – an instantaneous doubling in price.

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The Icahn Effect: How JetBlue’s Financial Turmoil Could Cost You Your Miles

Apr 14 2024

JetBlue is looking for revenue anywhere it can find it. Not only are they struggling, and their business plan scuttled by back-to-back anti-trust rulings, but corporate raider Carl Icahn is breathing down their neck. He’s taken a 10% stake in the carrier, whose stock has cratered, and he controls two board seats. He could acquire more of the company.

That has had some readers worried about their miles.

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Decade-Old Mistakes: Why Airlines Must Rethink Paying For ‘Expert’ Loyalty Advice

Mar 24 2024

Eleven years ago Delta Air Lines prepared to move to a revenue-based frequent flyer program and other airlines took notice.

American Airlines executives used to say that Delta management was who they admired most. The truth is that this was true across the industry. Everyone just assumed Delta was smarter than they were. If Delta did it, it must be the right thing to do. A decade later consultants are still selling it to… everyone.

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Senators Seek Investigation Of Frequent Flyer Program Devaluations, Masking Hidden Agenda

Oct 31 2023

Senators Dick Durbin and Roger Marshall have requested an investigation into airline frequent flyer programs, alleging unfair changes to point systems. However, the senators’ motives may not be genuine consumer protection, as they have proposed a bill that could lead to significant devaluation of these programs, suggesting a hidden agenda to undermine objections to their legislation on credit card interchange.

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Emirates Keeps Devaluing Its Miles Because Dubai’s Rulers Don’t Prioritize Loyalty Programs

private airplane bar
Oct 11 2023

Emirates as a company hasn’t prioritized loyalty and so the head of loyalty optimizes within that framework. Revenue management won’t release award inventory to the program to any meaningful degree, so Skywards is stuck promoting using their miles as cash towards flights on the airline and cannot buy excess inventory to sell at a profitable discount through the frequency program.

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