FlyerTalk Forums - View Single Post - FAQ: New Benefit for SPG Members - Award & Cash + Points Nights Count Toward Status
Old Sep 28, 2011 | 11:22 pm
  #54  
yeunganson
10 Countries Visited
20 Countries Visited
30 Countries Visited
20 Years on Site
 
Join Date: Apr 2005
Programs: Marriott: Lifetime Titanium, Air Canada: Silver, Asiana: Lifetime Diamond+, ANA: former Super Flyers
Posts: 991
Originally Posted by mreed911
Mine's a really simple example, but you get the gist - encouraging people to spend miles brings in incremental revenue that they'd never otherwise get, vs. the miles just building up or being transferred out so that SPG earns no revenue whatsoever.
I think those SPG points are considered "liability" on a balance sheet. So they are considered unclaimed service a company need to provide.

So by reducing the total SPG points in circulation, they are decreasing the liability/debt on their balance sheet.
yeunganson is offline