30% Bonus AND a 15% Discount: Should You Take AAdvantage of This Offer?

A regional jet aircraft operated by American Eagle is parked at Garden City Regional Airport in Kansas — where there are no Jetways on which to board the aircraft — earlier this year. Photograph by FlyerTalk member TheBOSman. Click on the photograph for a trip report written by TheBOSman.

Purchase a minimum of 20,000 American Airlines AAdvantage frequent flier loyalty program miles in a single transaction through May, 17, 2013 and you will earn a bonus of up to 30 percent additional American Airlines AAdvantage frequent flier loyalty program miles as follows:

Miles Purchased
20,000 – 29,000
30,000 – 39,000
40,000 and greater
Bonus Miles Earned
5,000
8.250
12,000

 

The transaction does not include applicable taxes or a transaction processing charge of $35.00.

To sweeten this offer — if you purchase your American Airlines AAdvantage frequent flier loyalty program miles before noon Central Daylight Time on Friday, April 5, 2013 — you will also enjoy a discount of 15 percent on the mileage price of your purchase.

Taxes and fees are excluded from the discount of 15 percent, of course.

If you purchase 60,000 American Airlines AAdvantage frequent flier loyalty program miles — which is the combined maximum limit of the total number of miles you may purchase per account per calendar year — your total cost will be $1,542.69 for 72,000 miles when you include the 30 percent bonus, thereby costing slightly greater than 2.1 cents per mile. That is not terrible — but it is also not great, either.

However — when you factor in the 15 percent discount of $210.38 on the original mileage price of $1,402.50 — your total cost will be $1,332.31 for 72,000 miles when you include the 30 percent bonus, thereby costing slightly greater than 1.85 cents per mile.

Correct me if I am wrong, but my math indicates that this is a slightly better deal than past promotions by US Airways involving a bonus of 100 percent on Dividend Miles purchased or gifted where each Dividend Mile was worth 1.88125 cents.

Therefore — assuming that my math is correct, that the merger between US Airways and American Airlines is approved and the frequent flier loyalty programs are combined, that they continue to personally have value to you, and that you take advantage of the discount of 15 percent — this is one of the better deals I have seen yet to stock up on American Airlines AAdvantage frequent flier loyalty program miles and therefore recommend that you take AAdvantage of this offer if you intend to purchase them rather than use other methods to earn them.

Some FlyerTalk members caution that the purchase of 40,000 American Airlines AAdvantage frequent flier loyalty program miles is the actual sweet spot for the 30 percent bonus, as the bonus of 12,000 American Airlines AAdvantage frequent flier loyalty program miles is no greater whether you purchase 60,000 or 40,000 of them — thereby diminishing the bonus percentage.

I, however, do not purchase frequent flier loyalty program miles — so this promotion is not for me and I do not intend to participate in it.

Keep in mind that transactions are not refundable and cannot be reversed. Other terms and conditions apply.

Comments (Showing 4 of 4)

  • jpetekYXMD80 at 10:10pm April 02, 2013

    No no no. Your math is all wrong. It INCLUDES the 15% discount already. At best, it’s 2 cpm.

  • Brian Cohen at 1:36am April 03, 2013

    Thank you for the clarification, jpetekYXMD80. As I said, I do not purchase frequent flier loyalty program miles and therefore did not realize that the 15 percent discount was already included when pricing out this promotion.

  • Artpen100 at 8:22am April 03, 2013

    I don’t purchase miles unless I don’t have enough of the miles on a card to transfer (usually because I used them on another recent trip), am looking to get a specific award trip which I have already determined is available for immediate online booking. Then I compare it to the cost of just buying a business class ticket or buying an economy and purchasing an upgrade with miles. Most of my flying is international and I’m looking at business class, so I usually need 100k or more. Rarely does it seem to make sense to buy a lot of miles, though I’ve often bought a few thousand miles when I needed it to book an award ticket that would have been very expensive.

  • UncleDude at 7:19am April 04, 2013

    Its Great Value if you use the miles for Transpac Cathay Business or First Class..

    Even better if you use them towards a OW220C AAward

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