Now, it looks like Iberia backtracked on its decision and again lowered prices to pre-correction rates.
Iberia off-peak awards from Chicago to Madrid again cost 34,000 Iberia Avios one-way in business class, down from 42,500 Avios. Likewise, awards from Los Angeles to Madrid cost 42,500 Avios in business class instead of 51,000 Avios.
Economy and premium economy awards were lowered to historical prices. Chicago to Madrid can now be booked for as low as 17,000 Avios in economy and 25,500 Avios in premium economy on off-peak dates, compared to 21,250 Avios and 31,750 Avios, respectively. Further, Los Angeles to Madrid prices at 21,250 Avios and 31,750 Avios in economy and premium economy, respectively, as opposed to 25,500 Avios and 38,250 Avios.
Let's take a closer look at these changes.
Iberia lowers off-peak award prices for some cities
As discussed, Iberia historically priced off-peak awards from Chicago and Los Angeles to Madrid lower than its published award chart. For reference, here's a look at Iberia's distance-based award chart for off-peak awards:
| Distance (miles) | Off-peak economy | Peak economy | Off-peak premium economy | Peak premium economy | Off-peak business class | Peak business class |
|---|---|---|---|---|---|---|
| 0 - 650 | 4,500 | 5,000 | - | - | 9,000 | 10,000 |
| 651 - 1,150 | 7,500 | 8,250 | - | - | 15,000 | 16,500 |
| 1,151 - 2,000 | 10,000 | 11,000 | - | - | 20,000 | 22,000 |
| 2,001 - 3,000 | 11,000 | 12,500 | - | - | 21,250 | 31,250 |
| 3,001 - 4,000 | 17,000 | 20,000 | 25,500 | 35,000 | 34,000 | 50,000 |
| 4,001 - 5,500 | 21,250 | 25,000 | 31,750 | 43,750 | 42,500 | 62,500 |
| 5,501 - 6,500 | 25,500 | 30,000 | 38,250 | 52,500 | 51,000 | 75,000 |
| 6,501 - 7,000 | 29,750 | 35,000 | 44,250 | 61,250 | 59,500 | 87,500 |
| 7,000+ | 42,500 | 50,000 | 63,750 | 87,500 | 85,000 | 125,000 |
Now, flights are pricing out at the pre-devaluation rate. Here's an example of an off-peak flight from Chicago to Madrid this December. The flight is 4,202 miles long annd should theoretically still cost 42,500 Avios per Iberia's award chart. However, it's pricing out at 34,000 Avios.
Likewise, here's an example of a flight from Los Angeles to Madrid pricing at 42,500 Avios one-way in Feb 2022. This flight is 5,845 miles long, so it should cost 51,000 Avios per Iberia's award chart.
The airline also corrected the price of flights from Mexico City (MEX) and other cities in Central and South America this May. These are also back to their pre-correction prices. Madrid to Mexico City shot up to 51,000 Avios in May but has since reverted to 42,500 Avios.
This change is no mistake either. Iberia's award "band" definition states that flights to/from Chicago, Los Angeles and Mexico City to/from Madrid are again in bands 5 and 6, respectively.
TPG has confirmed this pricing change across multiple off-peak dates. Awards previously pricing higher are once again at their old rates for the rest of 2021 and 2022.
Related: The cheapest ways to book a trip to Spain with points and miles
Bottom line
It's great to see Iberia backtrack on its decision to raise the cost of off-peak prices from Madrid to Chicago, Los Angeles and others. This change reopens a massive sweet spot for American Express Membership Rewards and Chase Ultimate Rewards points. We're hopeful that these prices stick and are not corrected again in the future.
Feature photo by Christian Kramer/The Points Guy
