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Delta introduces new revenue program for earn, one-way awards

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Old Feb 26, 2014, 5:15 am
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Last edit by: mooper
Universal link to SkyMiles 2015 changes

2015 SkyMiles Program

PDF Version

Everything begins January 1, 2015 on Delta marketed flights with DL code and 006 tickets.

Medallion Qualification - Same as 2014.

MQM or MQS stays at the qualification criteria for all members except US based where MQD is added.
Rollover MQMs to stay.
Current benefits to stay...? Remains unclear until the benefits are published for the following year.
Miles don't expire

Earn Award Miles - Drastically changed.

Non Medallion - 5 Miles/$1
Silver - 7 Miles/$1
Gold - 8 Miles/$1
Platinum - 9 Miles/$1
Diamond - 11 Miles/$1

Credit Card miles earning remains unchanged. Depending on the card you hold you may earn up to 2 miles/$1. Until the new award rates are out it remains as mystery on whether using a Delta credit card is better or worse.

Partner flights will earn on a percentage of distance flown and fare class paid...? Remains unclear until more information is out.

All fares paid by other currency will be converted to USD based on IATA 5-day currency exchange rate at the time of ticketing. Then apply the same rate listed above.

Existing miles to stay with no changes.

Miles + Cash are AWARD tickets. Medallions can get free upgrades.

Redeem Miles - New 2015 Award Chart

No blackout dates on Delta flights...? No blackout dates on DL-operated flights as per the FAQ.
More award seat availability...?
Five award levels
Miles + Cash offer available
One-way awards at half of round trip rate
New award calendar
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Delta introduces new revenue program for earn, one-way awards

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Old Feb 25, 2014, 10:08 pm
  #1  
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Delta introduces new revenue program for earn, one-way awards

The new InsideFlyer blog has the scoop on a HUGE Delta Skymiles change. Adds one-way awards, miles + cash and a whole new award chart with up to five tiers.

http://insideflyer.boardingarea.com/...miles-revenue/

Delta Becomes the Industry’s Canary in a Coal Mine
It’s been three years since rumors first began leaking out of Atlanta that Delta was considering modifying their popular SkyMiles frequent flyer program from a “mileage-based” program to a “revenue-based” program. (“Popular?” you might ask, but what else would you call a program with 90 million members?) Over the three years, the topic leaked from internal communications and front-end employees and was blogged about from countless points of view. Although the topic was news for many, for Delta, this was not a new development.

It was in December 2002 that Delta sent its SkyMiles Medallion members a letter outlining the program’s revised qualifications for earning elite status. The letter stated that beginning January 2003, the program would “… better align loyalty benefits and rewards with the fares customers pay.” Again, this missive was sent to members in 2002. So it has been a long journey for SkyMiles that will culminate on Jan. 1, 2015, when the recently announced changes to the program will begin.
...

Last edited by Randy Petersen; Feb 25, 2014 at 11:08 pm
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Old Feb 25, 2014, 10:09 pm
  #2  
 
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Was just about to post

WSJ 5 minutes ago http://stream.wsj.com/story/latest-h...9/SS-2-465448/
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Old Feb 25, 2014, 10:12 pm
  #3  
 
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Originally Posted by Randy Petersen
Adds one-way awards, miles + cash and a whole new award chart with up to five tiers.
Interesting.

=
DL appears to have convinced some in the media that the narrative is about "fixing" the overrewarding problem... but it's really reducing overall miles provided. Wonder why reporters given the pre-embargo scoop didn't think about this.

Let's think about it this way, you now reward at a fixed rate, dis-incentivizing Mileage Runs and rewarding your business travelers *more* than before (theoretically). That should be a win for all, right?

What DL is doing increases the miles earned for short haul and dramatically reduces for long haul travel in Y (and J, in some markets I would assume).

ATL -> LHR
4,210 miles each way
DM @ 125% bonus earns 9,472 miles each way.

To earn that many miles in the new program, base fare + YQ must be at least $861 to net the same number of miles (@ 11 miles / dollar)... factoring in taxes you are looking at a ~$2,000 RT fare.

ATL -> MCO
500 miles each way
DM @ 125% bonus earns 1,125 miles each way.

To earn that many miles in the new program, base fare + YQ must be at least $102 to net the same number of miles (@ 11 miles / dollar)... factoring in taxes you are looking at a ~$250 RT fare.


ATL -> DXB
7,599 miles each way
DM @ 125% bonus earns 17,098 miles each way.

To earn that many miles in the new program, base fare + YQ must be at least $1,555 to net the same number of miles (@ 11 miles / dollar)... factoring in taxes you are looking at a $3,500+ RT fare.

Last edited by Vuelos; Feb 26, 2014 at 12:02 am Reason: added analysis
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Old Feb 25, 2014, 10:14 pm
  #4  
 
Join Date: Dec 2009
Programs: WN A-list, Hyatt Glob, HH DM, Marriott Plat
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Time to burn those pesos!

Originally Posted by Randy Petersen
The new InsideFlyer blog has the scoop on a HUGE Delta Skymiles change. Adds one-way awards, miles + cash and a whole new award chart with up to five tiers.

http://insideflyer.boardingarea.com/...miles-revenue/
flyersky1 is offline  
Old Feb 25, 2014, 10:18 pm
  #5  
 
Join Date: Jun 2011
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Pass the popcorn over here please...gonna be a very long thread IBTO (in before the outrage)
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Old Feb 25, 2014, 10:18 pm
  #6  
 
Join Date: Aug 2008
Location: USA
Programs: UA MP( 1k; 1MM); Hyatt Globalist
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aaah..the sweet days to maximize points are slowly coming to an end!
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Old Feb 25, 2014, 10:20 pm
  #7  
 
Join Date: Sep 2012
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Man, gonna burn my miles while I can. Regardless of what shakes out, there's no chance this turns out great for the majority of us on FT.
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Old Feb 25, 2014, 10:21 pm
  #8  
Used to be 'jwienner'
 
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One way award tickets. YES!
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Old Feb 25, 2014, 10:22 pm
  #9  
 
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RIP DL mileage runs
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Old Feb 25, 2014, 10:22 pm
  #10  
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My bigger question is whether Medallion qualification will also be based on the spend points system rather than mileage. It's not really addressed in the articles. Personally, as someone who only redeems coach award tickets, I don't have a big problem with the new award system as it will likely be simpler and more transparent. Yeah, I understand you BE award redeemers are probably not going to like it.
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Old Feb 25, 2014, 10:22 pm
  #11  
 
Join Date: Jan 2008
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Originally Posted by davie355
RIP DL mileage runs
Looks like the best one can do is 7.7cpm as a Diamond booking with Amex.
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Old Feb 25, 2014, 10:22 pm
  #12  
 
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Also here: http://finance.fortune.cnn.com/2014/...requent-flier/

About time, I say
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Old Feb 25, 2014, 10:25 pm
  #13  
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Delta hasn't even fixed the current award system that has been broken for years. I have no hope in DL making a smooth transition to this new system.
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Old Feb 25, 2014, 10:26 pm
  #14  
formerly known as felinaar
 
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The InsideFlyer article is surprisingly short on detail. I'm halfway through and still wondering what, exactly, has changed. We'll see if it improves. I'm going to switch to WSJ coverage and come back to finish.
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Old Feb 25, 2014, 10:27 pm
  #15  
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Originally Posted by readywhenyouare
Delta hasn't even fixed the current award system that has been broken for years. I have no hope in DL making a smooth transition to this new system.
Well, in hindsight, if they knew they were going to be moving to a new system, there wasn't much point in investing much time/money to fix the old system.
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