Originally Posted by
LCY8737
It's an interesting point you raise. I was comparing the cost of a cash ticket with the cost of a redemption to figure out how much value the points generate. How would you account for the avios that come with a cash ticket? In a way they are a rebate on a future ticket - one that you wouldn't get on a redemption ticket?
I look at the Avios earned on a cash ticket as a rebate in working out the value of the cash flight versus a reward flight.
The other thing to bear in mind is that a reward ticket has much more flexibility (you can cancel for a full refund until 24 hours before (minus the £35 fee) so you really have to also take that into account when buying a cash fare that may not have the same flexibility. When BWC was still running it was far less of an issue but now it is much more important.
I too use a valuation of 1p per Avios when making that calculation comparing against a cash fare.
But of course at the moment with cash fares skyrocketing reward flights are great value so you should get significantly higher than the 1p per Avios valuation.
And the Amex / Chase / Barclaycard vouchers also give extra value. But I still value Avios at 1p.
And unlike those who have earned GfL I also look at cash fares for the TP required to retain or gain status.