This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. For an explanation of our Advertising Policy, visit this page.
Yesterday I wrote about some upcoming changes to the British Airways program and they seemed okay for their European members, though I had some major questions about their partner airline award chart. Right now, the biggest value of British Airways miles for most North Americans is the ability to use miles on Oneworld partners (like American Airlines, Cathay Pacific and Lan) for travel from the US to South America for 40,000/80,000/120,000 (coach/business/first) roundtrip and Asia for 50,000/100,000/150,000 miles roundtrip. Not only are these good deals in terms of mileage, but the steep fuel surcharges BA adds on to flights to Europe do not apply to these awards. This is the reason why I got the 100,000 mile Chase British Airways Visa back in April and why I transferred a bunch of Amex points to British Airways in July at the 50% bonus.
“Sorry if it wasn’t clear in my earlier post, partner rewards will be priced the same as BA. So – a single pricing table for itineraries which are: BA only, BA +1 partner or partner only
For multi-partner itineraries these will be priced using the current oneworld multi carrier redemption. The pricing will be based largely on a distance banded model for all reward sectors. We are not purposefully withholding anything or trying to hide anything – I will be as informative as I can and try to keep up with your questions. Please do feel free to prompt me if you feel I am missing something important that needs a detailed or urgent answer.”
Excuse the crude reference, but in my opinion this is a perfect example of a sh*t sandwich: you deliver seemingly good news (20% decrease in some awards), followed by terrible news (huge increases in partner awards), then follow it up with some good news to hope that people forget about the bad news (TBD)
Update from BA Rep on Flyertalk:
With regards to the pricing queries you have, we are working towards sharing the detail with you in a more structured manner as soon as possible. I’m sorry that we cannot publish the full details at the moment. We will be communicating more detail in the lead up to the changes actually happening. Can I please ask that you do not send me individual pricing queries by route via PM as I cannot answer these due to a rapid increase in queries and while I appreciate everyone has personal concerns, the wider community share some of these too as well as the general day to day account concerns. What I will say is that the general consensus concerns have been noted.”
I then Tweeted BA asking for more clarification on the award chart and the response was:
@thepointsguy Hi. We will be issuing further details on Partner reward pricing in the coming months. Thanks for tweeting.
Coming MONTHS? They can’t be serious.
Until a BA rep can prove otherwise, I think we were all served a hearty portion of said sandwich. While routes like JFK-London come down in miles by 20%, their fees and surcharges are over three times more than their US counterparts.
American, Delta and Continental all priced at 40,000 (AA off-peak) – 60,000 miles roundtrip for a coach New York (JFK or Newark) to London, whereas a British Airways award will cost a whopping $563.29.
I’ve always dismissed these insane fuel surcharges and instead recommended that you redeem your miles on partner awards to/from anywhere but Europe. With that option becomes much less lucrative come November 16, 2011 – I would encourage everyone to redeem as many miles as they can before that date.
In addition, I think it’s also smart to express your opinion of these pending changes. Not only should you email, Facebook and Tweet British Airways, but also get in touch with the credit card companies to let them know you aren’t happy that British Airways is making negative changes to the program.
The credit card companies are the ones with real power here. They buy billions of dollars in miles from the airlines, so if their top customers are raising a fit about the major devaluation of their currency, the credit card companies can put pressure on the airline to scale back the severity of the changes. You can send secure messages online to American Express and Chase or simply call the number on the back of your card.
While you may think your opinion doesn’t matter, it does. The issue at hand here is that the airlines are major copycats. If every other airline sees that British Airways can devalue their miles and pull the rug out from their members – just months after enticing them with lucrative offers, what will stop everyone else from following suit?
I don’t recommend getting crazy, but voicing your frustration via social media and through your relationship with your credit card company can be very powerful. It seems that British Airways has made their mind with the changes, but that shouldn’t stop us from giving them constructive feedback that they should keep their single Oneworld partner award chart intact. They made positive changes for their European-based members, so where is the love for the North American members? I don’t even need any “enhancements” – just leave the single Oneworld partner chart alone and I’d be satisfied.
What are your thoughts?
With some great bonus categories and an annual fee that’s waived for the first year, the American Express Premier Rewards Gold Card has a lot going for it. If you don’t have PRG, now’s as good a time as any to add it to your wallet, as Amex added some great new benefits several months back.
- Receive 25,000 Membership Rewards® Points after you spend $2,000 on purchases on your new Card in your first 3 months of Card Membership.
- 3X points for flights booked directly with airlines. 2X points at US restaurants, US gas stations, and US supermarkets. 1X points on other purchases. Terms and limitations apply.
- No matter where you're traveling, when you use your Premier Rewards Gold Card there are no foreign transaction fees from American Express.
- $100 Airline Fee Credit. Up to $100 a year in baggage fees and more at one airline.
- Get a $75 hotel credit on qualifying charges, plus a room upgrade upon arrival, if available with The Hotel Collection at americanexpress.com/hc. Terms apply.
- There is a $0 introductory annual fee for the first year, then $195.
- Terms and limitations apply. See Rates & Fees