FlyerTalk Forums - View Single Post - Increased Pricing for partner MP Awards April 2024
Old May 4, 2024 | 1:33 am
  #113  
jsloan
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Originally Posted by ffI
Not really; once you peg an RDM to 1.1c, then inflation in RDM must become similar to US$
But RDMs are not pegged to prices.

Originally Posted by ffI
30% each year being ok as suggested is horrendous inflation - think about it - every 3 yrs prices in miles would double!
I’m just saying, that’s essentially what has happened — people are reporting prices that are 2-3x what they were when the last charts were introduced. When it was done in smaller chunks, people seemed less irritated. Personally, if I have to choose between prices that increase steadily year over year, or jump up every five years, I’ll take the latter. We essentially got four years of stability that was quite surprising.

Originally Posted by ffI
15 yrs ago I could go to SIN for 60k miles in C - now it is 250k miles = 300% inflation = about 15% a yr
@ 3% inflation it would have gone up by 60% = 100k awards
In fact now that they are dynamic and linked to price, hopefully inflation is less.
They are not linked to price. And there is no reason to believe that inflation will decrease, because the 1.1¢ redemption rate you mentioned is something that’s made up and that they can change at any time.
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