Originally Posted by
gpurcell
I don't think the OP is wrong. Given the dramatic out-of-pocket cost increases for purchased tickets the value of miles is definitely increasing for some carriers. It is also plummeting for others that are tacking massive fuel surcharges onto award redemptions.
Many frequent flyer programs are
basically buy 5, get 1 free programs. If the price of the tickets are going up, the redeemable rewards, and hence the value obtained is the same.
Certainly, if you banked a ton of miles, and got them for 4 cpm, and you can redeem them for 10 cpm, you'd doing very nicely indeed. This benefit will fade in time, as all the new tickets you buy are at the much higher prices.
The problem comes when they start adding fuel surcharges to the reward tickets. It's then, no longer the buy 5 get 1 free system, but more like a buy 15, get 1 free.
I know that when I head the FA on my NW flight last week say, "Use your Worldperk miles for free travel", I take them at their word. If I pay more for travel, to earn the future miles, why would I ever want to pay a surcharge that erodes the value of my FF miles?