Usually, but there are times when I have a glut of miles and not as much cash sitting around. In that case, I'd rather get the 1.4 cents per rather than have to come up with $700.

Really, you have to figure out what it's worth to you. I redeemed 50K for an unrestricted coach a few months ago for a ticket that was last minute, but could be purchased for ~$500, so that's about 1 cent per mile. At the time I had 300K miles in my account, and I'd rather spend out of that instead of paying the cash, and an unrestricted award was eligible for upgrades rather than being stuck in coach the whole trip on a 25K award (that wouldn't work anyway for the non-Saturday schedule I wanted).

Figure out what works for you, and go with that. I'm sticking with around 1 cent each for an airline mile, but even that's flexible depending if I might need an unrestricted ticket for changes, or something else I can't get from the purchased ticket. I know people always want to get the best value (and I do that a lot), but I also want to make sure I can do what I want, when I want even if that isn't the theoretical optimal use. Be happy.

Best value may be to buy coach and upgrade!
 

The question is what will an upgradeable ticket cost. If it was say $1,400 you would be saving $2,400 for 40000 miles. That is about 6 cents per mile and you would also be earning say 8,000 miles. Valued at 1.6 cents that is worth $128. If they will be used for international travel they are worth 2 to 6 cents. You can add these values to your savings/point value calculations.

Be happy. That is an excellent point. If you have the miles and are able, go with it. Of course, I know my travel plans now and in the future, know my mileage balances, know my level of tolerance for a ticket price, read FlyerTalk and can make the well-educated choices. I guess it was a little like when I was thinking about buying a new computer. Old one, buggy, slow, none of the latest features I wanted. As the advertisement says, just do it. Is it more important to "work the system" or sit around waiting for a better offer, you will never do anything.


Also an excellent point! I always tend to overlook the upgrade with miles option because some of the routes I travel only had ticket-for-miles options rather than buy a ticket and upgrade options. But, mshaikun, that is good advice. Generally inexpensive ticket, upgraded to business or first and still earn miles. In addition, your calculations are also helpful!

This is why I love Flyertalk! ^ ^

That's been my experience in the 9 years that I've been travelling...

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Yes, yet it is surely not gettiing any easier these days! :)

In any case, using your miles for something, rather than waiting and waiting for a better time or a certain special case, is an increasingly good idea, IMHO!


Frequent-flier mileage could be in jeopardy if big airlines go under

http://www.mercurynews.com/mld/mercu...9587568.htm?1c

My own rules-of-thumb are to
- value miles @ 1.5 cents when acquiring, though this is a rough guide. I generally won't spend more than 1 cent in their acquisition.
- upgrade international tickets with miles as best option, redeem for international premium cabin travel as second best option

But I currently have 2 tickets on hold with AA miles that represent 9 cents/mile... LAX-PPT-AKL-SYD-MEL-LAX in F on TN & QF, each ticket costs 145k miles and prices out @ US$13k. :)

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Yes, little doubt that Gary is doing very well! :)

http://www.flyertalk.com/forum/showthread.php?t=355914

Maybe my travel patterns are unusual, but I generally use my miles for domestic tickets when I need a triangle trip or open jaw - especially when smaller/pricier airports are involved. I've redeemed about 8 domestic tickets in the last year or so - and I have yet to redeem miles for a ticket I could have purchased for under $500. None of these trips were last minute - although I have used miles for pricey last minute trips as well.

I do fly in/out of some pricier airports - but have burnt over a million FF in the last couple years all in coach - receiving mroe than a 2 cents/mile value. Until this ceases to be possible - I will use 2 cents/mile valuation.

(Premium Int. Awards give the best cost/mile - but unless you would be willing to pay significantly more for a business seat than econ - the extra miles are probably not worth it).

another case
 

flights from the east coast to the dominican republic can now be had for $250 to $350 on major airlines

this same trip will cost you 25k ffm on united and 35k ffm miles on the other majors

for a lot of people its better to pay the ticket fare and save the miles for another trip

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you should also differentiate bewteen the value of a USAIRWAYS FFM vs another airline

a quick check on ebay is showing 25k US FFmiles from $150 to $250

==

my general rule is if the ticket is less than $350 to buy it, rather than using 35k ffm, as i value the miles at about $0.01 per mile

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Yes, I think the concept of applying somewhat different values for different carriers, just as different values for different flyers' planned uses, is probably valid. Thanks! :)

-Mark

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i ende up buying a ticket to the DR for next week
price was $314
approx $194 in fare
approx $120 in taxes

since i'd have to pay the taxes anyway

FOR ME
it was a better deal to pay the $194
(actually $144 as i bought a $250 off credit on ebay for $200)
rather than use 25k american ff miles or 35k from continental/delta/nwa

I agree jessej. :)

Again, FWIW, for me personally, the greatest value still is in using 'em for a nice UG! :)

-Mark

Of course if other carriers follow these horrendous new fees imposed by AA, I could likely be using my miles for something else, sadly! :(

http://www.flyertalk.com/forum/showt...=361184&page=1

-Mark

Looks like I value them a lot more
 

I typically don't award fly during high seasons and usually am able to plan my travels up to a year in advance. Since I also live in a major hub, YVR, for many common destinations eg LHR, YYZ, HKG there are many cheap tickets or discount airlines. I would value my miles at least 2 cents if not more based on my previous awards: (all values in CAD)
2003 Dec YVR - MAI return CAD 650/25K = $0.026
2005 Jan - Mar YVR - LAX - EZE, EZE - GIG - YVR Business CAD 6000/75K = $0.08
2000 May - Jun YVR - LHR - MAD, SXF - YVR Business CAD 3500/60K = $0.058 (1999 CP, RIP, redemption rules)
2005 Feb EZE - UIO, LPB - EZE CAD 1000/40K = $0.025
2001 Jan - Mar YVR - LAX - SCL, overland, SSA - GIG - YVR CAD 3000/60K = $0.05
2002 April YVR - YYZ - EWR, EWR - YVR CAD 1000/25K = $0.04

And my greatest sucess
1998 Dec/Jan HKG - AKL - SYD, huge open jaw PER - HKG = 60K plus a SYD - AKL -SYD separate segment for 15K. Convinced the ticketing agent to let me get off at AKL instead of SYD on the outgoing leg since I had a return the same day on the other reward.

I like the use of award tickets for open jaw, one stop and business class flexibility.

Congrat's, sng8888, on your success. :)

FWIW, I've not claimed an award all year, despite my feeling that my FF miles are worth less and less all the time.

For many of the younger folks around, the excerpt below may be especially interesting and more than simply a history lesson. It helps confirm how much more "effprt" is required these days, as campared to when I first started flying, thirty five years ago:

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Pan American WorldPass and How Last Became First.

By the time the late '70s rolled around, the experience of flying had been downgraded from glamorous and elite to mundane, overcrowded, and as torturous as a never-ending bus trip...

... In a classic marketing moment, several major airlines decided that their best customers deserved to be singled out and rewarded for frequent travel. And thus, the frequent flyer programs were born.

These programs were really exciting for participants. At last, the airlines made a distinction between the tourist and the trooper. Flying for free and upgrading to first class were the big come-ons and frequent flyers went to great lengths to make sure they stayed abreast of every new perk and bonus mile route. It is important to understand what a big deal the frequent flyer programs were at that time...

...The core promise of Pan Am's program was to reward individuals who flew a specific number of miles on an annual basis with a "world pass." This pass was an actual gold-colored plastic card that entitled you and a companion to fly anywhere on Pan Am's extensive worldwide system, first class, free for thirty days.

This strategy was a winner from day one. No other airline even remotely had such an award, nor could any of them match the worldwide route structure that Pan Am was famous for. The effect was immediate. WorldPass electrified passengers, Pan Am employees, and the trade press. Adam's focus on giving the customer something that was truly exciting and "richer" than the competition turned the whole industry inside out and left them scrambling to catch up.

So last-in became first in frequent flyers' minds. The initial direct mail enrollment package sent to 80,000 frequent flyers contained a free round-trip domestic ticket good at any time within the next six months -- no blackout dates, no ifs, ands, or buts other than the requirement to enroll in WorldPass.

Response rates to this one letter were more than 50 percent. Probably an all-time high in direct mail history, with the exception of responses to letters from the IRS!

http://www.dmnews.com/cgi-bin/artpre...ticle_id=34174

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Clearly FF miles are worth whatever you think they are valued at, depending upon how one elects to use them.

And if one does not bother to claim an award, it is quite easy to see that they are worthless, no? ;)

So I'll need to be doing some cashing in immediately! :)

-Mark