United is cutting back on the overall total miles they’re awarding for flying starting March 2015 with their new revenue-based earning structure.
They don’t want to spend as much marketing their flights anymore, with the economy strong. (Plus, they really really want to be like Delta, Delta has announced they’re doing this, and Delta didn’t lose $600 million last quarter. It’s the Underpants Gnome theory of running an airline and a mileage program.)
But it isn’t that they don’t want as many miles out there, as some commenters have suggested (‘this will make getting awards easier, so it’s responsible’).
They just want you or their marketing partners to buy the miles. In fact, they’ll sell the miles to you at a 40% discount through Monday (June 16).
- I don’t know about you, but buying miles from United isn’t how I’m jumpstarting my summer.
It’s still not a good deal, of course, because the ‘retail’ price of MileagePlus miles is set too high.
Even with a 40% discount United still wants ~ 2.26 cents a mile including taxes and fees.
It wasn’t worth this price even before the devaluation that went into effect in February. I don’t see it as worth it now.
That said, you could find this useful specifically to top off towards an award you’re looking to book now rather than waiting to earn miles more cheaply from another source and especially if you don’t have Chase points to transfer in. But I wouldn’t buy miles speculatively with this offer.
- You can join the 40,000+ people who see these deals and analysis every day — sign up to receive posts by email (just one e-mail per day) or subscribe to the RSS feed. It’s free. You can also follow me on Twitter for the latest deals. Don’t miss out!
I agree fully – even with a 40% discount UA MP Miles are expensive.
Better to sign up for the Chase Ink Biiz Credit Cards and, besides the 50k sign-up bonus, spend this week like many of us MSers – harvesting ALL office supply box stores for Amex Gift cards for less than free!!…and the 5x UR rewards points. UR points are transferable for free into your UA MP account for future travel.
Gary, at about how many cents per mile do you think it’s worth to buy miles WITHOUT having an immediate trip planned?
I’m not a buyer of US Airways miles at 1.8 cents, I am a buyer at 1.2 cents.
Each mileage currency is different, and as I’ve written before it depends on how many miles you have and your likely uses of those miles.
But in general I’m a buyer at 1.3 cents and inclined to buy up to around 1.5 cents tops.
Thanks, that’s helpful to know.
I have never seen miles at 1.2 cents. If you purchase 150k united miles, isnt this a deal to redeem for first class awards? What am i missing.
@Craig US Airways regularly has sold miles at 1.2 cents via their share miles 100% bonus promos. But there have been plenty of opportunities to generate miles for less!
Wait… This is more expensive than the award miles maximiser, even at 40% off?! With the maximiser, the cost is about 2.1 while this is 2.26