FlyerTalk Forums - View Single Post - Why are miles-based 1st & business class tickets a relative bargain compared to ECON?
Old Aug 20, 2008 | 12:51 pm
  #15  
mecabq
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Originally Posted by Helena Handbaskets
The OP asked why airlines get 10x the price for cash sales but only 2x the price (or less) for awards. My point is that there are buyers for the 10x price in cash (businesses do routinely buy these seats at those prices) but not for awards (businesses rarely buy with miles, and miles-hoarders would not perceive good value at 10x the miles).
Right, the answer to the OP's question is "supply and demand."

Still, I share the OP's general point. To me, 120K miles for something like IAD-NRT-BKK round-trip on NH/TG with a stop-over in NRT in first class is an awfully good deal. Certainly worth more to me than about five domestic round-trips, or about two of the same itinerary in economy class. Each person's preferences vary, of course, but the only thing that I ever plan on redeeming miles for is an international premium class trip.
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