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MileagePlus Premier Qualifying Dollar (PQD) Requirement Discussion [ARCHIVE]

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Old Jun 18, 2013, 7:18 am
FlyerTalk Forums Expert How-Tos and Guides
Last edit by: iluv2fly
Please read these sources before posting in this thread:
If you have calculated the PQDs for a trip at less than 80% of the total cost, you are very likely doing something wrong. Have you made sure to include the International Surcharge (YQ)? Have you read all of the materials linked above, and the frequently made points listed below?

Specific Unanswered Questions
Please limit these to specific, technical questions about the implementation of the PQD program.
  • Will there be a calculator that shows PQD, and will that calculator be accurate?
  • What exactly will count toward PQD?
    United states:
    Base fare and carrier-imposed surcharges
    Flights flown by United, United Express, or Copa Airlines
    Flights operated by a Star Alliance or a MileagePlus partner airline and issued on a United ticket (ticket number starting with 016)
    Economy Plus purchases

    will count towards PQD.

    Thus:
    • The amount of co-pay when using miles to upgrade..
    • The cost of PQMs/RDMs purchased when using the premier / award accelerator..
    • The value of ETCs (or is it considered a discount from the fare?). (still uncertainty on this since prelim PQDs appeared to include) -Note: the Mileage plus site indicates ETC's count towards PQD (12/16/13 imgonnafly)
    • The face value e-certs and travel vouchers.. (still uncertainty on this since prelim PQDs appeared to include)
    • The cost of a paid upgrade..
    • An extra seat purchase (such as for a customer of size or a musical instrument); it does not presently count toward PQM.
    • Change fees.
    will not count toward PQD.
  • How will PQD be determined for UA metal segments without 016 stock ticket?
  • What happens if I depart in December and return in January?
    Just like PQM, PQD for the applicable part of fare for the segment is credited based on the departure date (year) of the segment flown. Segment fares are calculated using standard rules of the past. For the case cited there would be PQD credited in DEC 2013 (no value) and PQD applied to 2014 applicable to 2014 and 2015 status renewal.
  • How will UA evaluate the address issue for the PQD exemption?
  • It is not clear how the timing of achieving the minimum PQD requirement will impact earning RPUs and GPUs. Examples:
    • If someone crosses 75K PQM in say April, but doesn't hit $7500 PQD until December by which time has accrued 200K PQM, will he/she get 10 RPUs all at once? (and 10 GPUs assuming $10k PQD in December)
    • Do only 1Ks/GSs earn additional RPUs by flying beyond the 100k mark?
    • If a 1K crosses the 100,000 PQM mark in January 201x, the $10,000 PQD mark on December 31 201x, and ends up flying a total of 200,000 PQMs for the year 201x, how many RPUs / GPUs will be earned?
    • Will Platinums earn 2 RPUs when crossing the 75k mark but none at incremental levels thereafter (e.g. a Plat who flies 100k EQMs, but does not meet the 1K spend, would *not* earn two more RPUs)?
  • How does IRROPs affect earning of PQDs?
FMP (Frequently Made Points)
The following points have been made repeatedly in this thread (please feel free to add more concise points):
  • You might not be hitting the PQD minimums as easily as you think you are, given exceptions, taxes, and the existence of cheap fares.
  • It is possible for leisure travelers and even some business travelers to average well under 10cpm. This doesn't just affect "leisure 1Ks" and people on the edge of categories.
  • Presidential Plus card members (exempted from Silver/Gold/Plat PQD requirements) are most likely exempted because the FlexPQM program would complicate matters.
  • Manufacturing $25,000 spend might not actually be so hard. There's a whole forum on it.
  • The exceptions don't really make sense where there is a revenue-sharing joint venture in place, such as with LH on TATL routes.
  • Leaving UA for AA over objections to dollar-based status may be futile because all the majors will likely go to this model with the possible exception of the AS program which allows you to bank your DL and AA miles into one account (DL has already).
  • UA is tracking spend on UA metal now.
  • YQ, also known as the "international surcharge," is a carrier-imposed surcharge and is included in PQD.
Related Threads
Moderator's Note:

2014 version of this thread can be found here:


http://www.flyertalk.com/forum/united-airlines-mileageplus/1536552-mileageplus-premier-qualifying-dollar-pqd-requirement-discussion-thread-2014-a-15.html

iluv2fly
Moderator, UA
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MileagePlus Premier Qualifying Dollar (PQD) Requirement Discussion [ARCHIVE]

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Old Oct 31, 2013, 10:07 am
  #3511  
 
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Originally Posted by RNE
UA is going to soft-pedal this paradigm shift. Accordingly, I predict vouchers will count for PQD, at least for 2014.

RNE, and I'm never wrong.
If the AA/US merger does not go through, I predict UA will back-pedal even further and either lower the PQD requirements or get rid of them all together. I have no basis for this other than "feeling," and it might take until 2015.
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Old Oct 31, 2013, 10:12 am
  #3512  
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Originally Posted by wethereyet
I'd love to see the numbers UA based their 10K spend requirement on.
They only have one number: "What numbers did Delta pick for their MQD requirements?"

ETA: I see I was beat by UA-NYC. What he said.
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Old Oct 31, 2013, 10:22 am
  #3513  
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Originally Posted by coolbeans202
If the AA/US merger does not go through, I predict UA will back-pedal even further and either lower the PQD requirements or get rid of them all together. I have no basis for this other than "feeling," and it might take until 2015.
I disagree. UA has been wanting to do the PQD thing for a while. They have t many elites. They want to get the population (particularly for 1k) down so the benefits they offer can be meaningful.
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Old Oct 31, 2013, 10:39 am
  #3514  
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Originally Posted by Xyzzy
I disagree. UA has been wanting to do the PQD thing for a while. They have t many elites. They want to get the population (particularly for 1k) down so the benefits they offer can be meaningful.
I don't know if they wanted to reduce ranks of elites, but think most likely yes according to the entitled elites comment by SMI,J @:-)

And with fewer GPUs floating around and fewer elites in general one would think that remaining elites will get upgreaded more often - starting in February 2015
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Old Oct 31, 2013, 10:43 am
  #3515  
 
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Originally Posted by jackal
They only have one number: "What numbers did Delta pick for their MQD requirements?"

ETA: I see I was beat by UA-NYC. What he said.
OK, then let's take it one step further up the chain:

What justification / rationale did DL us to come up with their MQD / Elite Qualification chart?

Silver: 25K MQM's or 30 MQS's (segments) and $2,500 MQD's
Gold: 50K MQM's or 60 MQS's and $5,000 MQD's
Platinum:75K MQM's or 100 MQS's and $7,500 MQD's
Diamond: 125K MQM's or 140 MQS's and $12,500 MQD's

MQD Waiver: The new MQDs requirement for the qualification year will be waived if you make at least $25,000 in Eligible Purchases in that year with your Delta SkyMiles Credit Card from American Express. That spending will also be tracked on the My SkyMiles page starting in January 2014.*

*Any time you purchase and fly on a Delta flight (flight number with a “DL” airline code), you’ll receive MQDs for the ticket’s base fare and carrier-imposed surcharges, but not for taxes or fees. You’ll also earn MQDs for flight spend on Group 1, Group 2 and Group 3 partner airlines that are ticketed through a Delta channel (the ticket number will begin with “006”). Certain specialty tickets such as unpublished or group fares will not count toward MQDs. For more about what counts and what doesn’t, see the FAQs.

"The MQD Waiver for Medallion status is an exclusive benefit of the Delta SkyMiles Credit Card from American Express, and therefore does not vary by tier level. "

It looks like the $25K spend on the DL Skypesos AMEX is good for all elite levels (including Diamond). UA only allows this waiver through Plat.

Originally Posted by EmailKid
I don't know if they wanted to reduce ranks of elites, but think most likely yes according to the entitled elites comment by SMI,J @:-)

And with fewer GPUs floating around and fewer elites in general one would think that remaining elites will get upgreaded more often - starting in February 2015
This is DL's spin: "The new spend-based component will better recognize and reward our best customers and help ensure your Medallion benefits remain valuable."

Last edited by LarkSFO; Oct 31, 2013 at 10:48 am
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Old Oct 31, 2013, 10:45 am
  #3516  
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Originally Posted by Xyzzy
I disagree. UA has been wanting to do the PQD thing for a while. They have t many elites. They want to get the population (particularly for 1k) down so the benefits they offer can be meaningful.
Rather than making benefits more meaningful, I suggest the drive to thin the ranks is to provide benefits to less people, and to charge more people for essentially those same benefits.

I'd love to see UA actually improve benefits; it's been several years since they've done so in a meaningful way IMHO. Instead, they continue to nibble them away.
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Old Oct 31, 2013, 10:55 am
  #3517  
 
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Originally Posted by exerda
Rather than making benefits more meaningful, I suggest the drive to thin the ranks is to provide benefits to less people, and to charge more people for essentially those same benefits.

I'd love to see UA actually improve benefits; it's been several years since they've done so in a meaningful way IMHO. Instead, they continue to nibble them away.
A 1K (achieved in 2014) has minimum $10K in qualifying spend, and has flown minimum 100K miles on UA.

If UA does not begin enhancing / improving benefits for this class of flyer (dare I say, HVF) in 2015 then many people will be extremely disappointed.

The whole value proposition here is that the elite ranks will be thinned, leaving more benefits for those who remain. (Benefits could be as simple as a greatly improved CPU rate.)

Possibly by this time next year we'll have more visibility in to the 'enhancements' UA will be offering 2015 and beyond.
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Old Oct 31, 2013, 10:59 am
  #3518  
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Originally Posted by LarkSFO
It looks like the $25K spend on the DL Skypesos AMEX is good for all elite levels (including Diamond). UA only allows this waiver through Plat.
Yep. The crack team at UA can't even properly copy and paste DL's T&C.
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Old Oct 31, 2013, 11:14 am
  #3519  
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Originally Posted by exerda
Rather than making benefits more meaningful, I suggest the drive to thin the ranks is to provide benefits to less people, and to charge more people for essentially those same benefits.

I'd love to see UA actually improve benefits; it's been several years since they've done so in a meaningful way IMHO. Instead, they continue to nibble them away.
Agreed - there's been no indication whatsoever, based on the company's actions the past two years, that they want to actually enhance the benefits for the published elite levels (not talking GS).

I think it's crazy to believe upgrades are going to magically become easier just because there are fewer elites...it's far too easy to just turn down the "R meter".
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Old Oct 31, 2013, 11:43 am
  #3520  
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Originally Posted by exerda
Rather than making benefits more meaningful, I suggest the drive to thin the ranks is to provide benefits to less people, and to charge more people for essentially those same benefits.....
Bingo...you got it.
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Old Oct 31, 2013, 11:51 am
  #3521  
RNE
 
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UA is not trying to thin the ranks; it is trying to prioritize customers by revenue. Now, if the ranks thin as a result of this, well, all the better for UA.

RNE, in a capitalist reverie.
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Old Oct 31, 2013, 12:06 pm
  #3522  
 
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The whole value proposition here is that the elite ranks will be thinned, leaving more benefits for those who remain. (Benefits could be as simple as a greatly improved CPU rate.)
Or the same as they have more F seats to sell out from under the elite ranks.

Both DL and UA haven't made any promises on what the elite ranks will be rewarded with now they they are required to spend a certain amount. As of now, all we can say is we are having to spend x amount to receive the same benefits I was receiving before only without said spend requirement.

I'd love UA and DL to come out and say "For 10k spend, you will see the following improvements..." but I'm not holding my breath.
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Old Oct 31, 2013, 12:13 pm
  #3523  
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Originally Posted by jackal
Yep. The crack team at UA can't even properly copy and paste DL's T&C.
Except maybe the 125k requirement at DL is enough of a jump over their Plat that they didn't have to institute a spend requirement to get to the percentage of HVFs they want.

But, yes - if the outcomes are the same, UA could have cut and pasted DL's program hurdles, but also change 1K to 1.25K.
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Old Oct 31, 2013, 12:26 pm
  #3524  
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Originally Posted by IAH-OIL-TRASH
Except maybe the 125k requirement at DL is enough of a jump over their Plat that they didn't have to institute a spend requirement to get to the percentage of HVFs they want.

But, yes - if the outcomes are the same, UA could have cut and pasted DL's program hurdles, but also change 1K to 1.25K.
I'm just as happy that they exclude 1K from the credit card spend waiver and glad they didn't copy DL on that aspect. If they're going to have a spend threshold, don't waive it, particularly for your top tier (non-invitation) status.

I'd easily meet the spend threshold on a credit card--but on Amex, not Chase. And I'll be damned before I give Chase that business (not that they want me at the moment, anyway).
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Old Oct 31, 2013, 12:41 pm
  #3525  
 
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Originally Posted by exerda
I'm just as happy that they exclude 1K from the credit card spend waiver and glad they didn't copy DL on that aspect. If they're going to have a spend threshold, don't waive it, particularly for your top tier (non-invitation) status.

I'd easily meet the spend threshold on a credit card--but on Amex, not Chase. And I'll be damned before I give Chase that business (not that they want me at the moment, anyway).
I'd rather them go for the throat and make Platinum excluded. Platinum is where the real benefits come into play with reward ticket fees, credit for free GE etc.
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