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

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

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Old Jul 27, 14, 7:19 am   -   Wikipost
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Last edit by: iluv2fly
Wiki Link
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/unite...2014-a-15.html

iluv2fly
Moderator, UA
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Old Jun 18, 13, 8:06 am
  #91  
 
Join Date: Mar 2011
Location: Fort Worth, TX
Programs: UA 1K MM, Marriott Gold
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Originally Posted by EWR764 View Post
I would encourage UA to use this opportunity to roll out some improvement in elite recognition, a la DL, to coincide with the spend requirement. If this airline wants to goose revenue per traveler, at least make the experience something we feel good about spending money on.
Agreed -- this would be a VERY good time to give us some good news.

As a strictly leisure traveller I was horrified when I read this news, but when I added up my total spending for 2013 I was very surprised to see how close to the mark I am. So no, I don't think asking someone to spend 10k in a year for 1k status is unreasonable.
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Old Jun 18, 13, 8:06 am
  #92  
 
Join Date: Dec 2012
Location: ORD
Programs: UA 1K, Hyatt Plat, Marriott Gold, Avis Pres
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So to get 1K we'll have to spend 10 cents per PQM, which seems to be the standard rate anyway for non-sale tickets. I don't foresee myself reaching 1K anymore, but with the restriction, it would seem that Golds will go back to being able to get upgrades more often.
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Old Jun 18, 13, 8:06 am
  #93  
 
Join Date: Mar 2009
Programs: UA 1K, Hilton Diamond
Posts: 422
Originally Posted by rankourabu View Post
Likewise, if one's work spends $20k, but you only fly 10000 between ORD and whatever, you dont deserve to be elite, I am glad they at least kept the mileage requirements alongside spend.
Couldnt disagree more. 20k is allot of coin for 45 minutes hops between ORD and cvg
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Old Jun 18, 13, 8:07 am
  #94  
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PMUA used to knuckle under and roll back the majority of ill-conceived changes which caused an uproar among elites. Somehow, no matter how much outrage we see, I think COdbaUA is pigheaded enough that they will not even entertain the thought of changing the thresholds (e.g. to 8cpm, which is what UA floated a couple of years ago).

The whole Chase thing really galls me because I am on Chase's blacklist and cannot get a Chase card. I put far more than $25k through my Amex every year, but that does me no good with UA.


Originally Posted by J.Edward View Post
Thanks for sharing that Aaron, if the criteria is being tightened for qualification can we also assume the benefits of status can also be improved in a meaningful way?
LOL, well, that was my laugh of the day.

Seriously, though, UA Insider, What enhanced benefits can we expect all elite levels to see?

Waive the "W" fare requirement for SWUs?

Return the PMUA CR1/RPU earning schedule? (Many of us lost 50% of our RPUs under the new system.)

Better baggage handling, particularly for paid F, GS, 1K?

Seriously, throw pax some kind of bone. If you're going to make benefits harder to earn, they had darn well better be worth more than they were, too.


Originally Posted by MBS MillionMiler View Post
What counts toward PQD?
What about upsells, upgrade co-payments, purchased RDM and PQM, onboard meals, onboard IFE, onboard wifi purchases? Club membership purchases? I know the way the rules are written that the majority (if not all) of these won't count, but sure seems like some of them should.


Originally Posted by MBS MillionMiler View Post
Will there be an easy way to track this, or are we in for surprises at the end of the year?
We've been in for plenty of surprises in the past, so I doubt we'll see an improvement there.


Originally Posted by XCstud View Post
I think the move makes sense and I welcome it. I don't think $0.10/mile is that outrageous. If it thins out the elite ranks, then it should improve upgrades for the HVFs who UA wants to keep.
Problem is that thinning the elite ranks may do very little to improve upgrades--if UA wants (and I see no reason to think otherwise), they'll just sell more TODs. UA will laugh all the way to the bank...


Originally Posted by halls120 View Post
So, does this also signal the end of purchasing PQM miles once you've purchased a ticket?
Very good question. I'm curious how they'll handle various ticket-related purchases like Elite Accelerator, paid upgrades, etc.


Originally Posted by mgcsinc View Post
To those who say this will only affect MR-ers: There's this thing called leisure travel, which is often done at less than 10 cpm.
It will also affect a lot of corporate travelers for whom UA is a "preferred" carrier but who must nevertheless purchase based on the cost of the ticket. (I'm one of those.) UA is saying, "Buy more expensive tickets." I see a lot more companies dropping UA as a "preferred carrier" with this move...


Originally Posted by avi8tir View Post
I have a question.....

My company pays for a coach fare.... Then I go in after it is ticketed and upgrade myself using my own $. Does that additional $$ count? Technically my fare class changes so it should count, shouldnt it?
You'd think so, but I have as much faith in UA's IT being able to implement this correctly as I do a pig sprouting wings and making a flying leap over the moon.
exerda is offline  
Old Jun 18, 13, 8:09 am
  #95  
 
Join Date: Feb 2006
Programs: UA, Starwood, Priority Club, Hertz, Starbucks Gold Card
Posts: 3,880
Originally Posted by UA Insider View Post
For 2014, the PQD requirement is waived for Premier Silver, Premier Gold, and Premier Platinum qualification for members whose address with MileagePlus is within the 50 United States or the District of Columbia and who spend at least $25,000 in Net Purchases in 2014 on a MileagePlus co-branded credit card issued by Chase Bank USA, N.A. There is no PQD waiver for Premier 1K qualification.
Maybe this will mean that being 1K means something again.
sinoflyer is offline  
Old Jun 18, 13, 8:09 am
  #96  
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Originally Posted by EWRFlyerAL View Post
Might be a dumb question but the wording is confusing me. Right now, I'm 1K and on my way to getting 1K for 2014 based on PQM. Do I need to spend $10,000 in 2013 to get 1K in 2014 (the waiver language is throwing me)?
If we're confused, just wait for the masses

This program starts 1/1/14 from what I can tell, so qualifying for the 2015 elite year. Thus, this is the last "good" year before this goes into effect.
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Old Jun 18, 13, 8:10 am
  #97  
 
Join Date: May 2009
Location: Washington, DC
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Originally Posted by LordTentacle View Post
Except for those of us that live outside the USA for the moment

I side note that this seams like a STUPID idea considering how easy it is to get a mail forwarding address in UK/AU/NZ that for less then $50 year will forward your mail back to the USA
How much mail does one get from United? I think the only thing I might want is the actual card. Everything else is marketing.
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Old Jun 18, 13, 8:12 am
  #98  
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What counts as a "carrier-imposed surcharge" for the new requirement?
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Old Jun 18, 13, 8:13 am
  #99  
 
Join Date: Jan 2005
Location: New York, NY
Programs: UA, AA, DL, Hertz, Avis, National, Hyatt, Hilton, SPG, Marriott
Posts: 7,688
Originally Posted by UA-NYC View Post
You didn't hear? We're (ok, GS/1K only) getting yellow handle wrappers so our bags come off first on RJs. That's definitely worth $10K.
Hell, it's a good place to start! Incidentally, I already travel with a yellow cover over my rollaboard bag's handle. I wonder if this will be something similar.

Originally Posted by exerda View Post
PMUA used to knuckle under and roll back the majority of ill-conceived changes which caused an uproar among elites. Somehow, no matter how much outrage we see, I think COdbaUA is pigheaded enough that they will not even entertain the thought of changing the thresholds (e.g. to 8cpm, which is what UA floated a couple of years ago).
As did PMCO. This is a different era, and quite frankly, the PQD requirement will induce some travelers to spend more on their tickets. It's a statement on where the industry is headed. This change is here to stay, and is probably some time overdue.
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Old Jun 18, 13, 8:13 am
  #100  
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Originally Posted by Shareholder View Post
Though because AA doesn't give COS for EQMs this may not be necessary since one must actually fly more seat miles in discounted fares to qualify for elite tiers.
If you're seriously thinking about the AA program as presently configured, have another look at elite qualification. On no AA-coded fare is the EQM earning less than 1 for 1 flown mile.

http://www.aa.com/i18n/AAdvantage/ea...s/american.jsp
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Old Jun 18, 13, 8:13 am
  #101  
 
Join Date: May 2009
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Originally Posted by GUWonder View Post
Hopefully someone in a position of authority with regard to antitrust/competition enforcement will consider what DL has done in this transition to be an example of unlawful signaling to competitors to create an unlawful collusive outcome.
I'm not in a position of authority, but unlike using price increases and shared reservation systems to signal price increases it's harder to imagine liability for announcing a revised program in advance so that flyers can plan accordingly.

Wouldn't we all be pretty outraged if United announced this change on Dec 31, 2013?
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Old Jun 18, 13, 8:14 am
  #102  
 
Join Date: Aug 2008
Location: Boston, MA (BOS)
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I don't see what the big deal here is. Many people who are 1K are likely already spending close to the these amounts, sure some are spending considerably less but probably those are the members UA is increasingly less interested in catering to.
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Old Jun 18, 13, 8:14 am
  #103  
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Originally Posted by drewguy View Post
How much mail does one get from United? I think the only thing I might want is the actual card. Everything else is marketing.
Clever people will find ways to "move" anyway.

Originally Posted by AAerSTL View Post
I don't see what the big deal here is. Many people who are 1K are likely already spending close to the these amounts, sure some are spending considerably less but probably those are the members UA is increasingly less interested in catering to.
And some people get 1K from 50%+ partner flights. Whats the point of Star Alliance now? @:-)

Last edited by FlyinHawaiian; Jun 18, 13 at 8:16 am Reason: Merge
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Old Jun 18, 13, 8:15 am
  #104  
 
Join Date: Dec 2009
Location: Nashville, TN
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Posts: 2,038
United: For shame, for shame: Shame on you for screwing those who have spent 30+ years being loyal to you(that's the emotional response).

From a business standpoint, that goes right in line with Smisek's statement about not running UA like an airline but like a business!
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Old Jun 18, 13, 8:17 am
  #105  
 
Join Date: Feb 2002
Location: NYC: UA 1K, DL Platinum, AAirpass, Avis PC
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Originally Posted by chavala View Post
Agreed -- this would be a VERY good time to give us some good news.

As a strictly leisure traveller I was horrified when I read this news, but when I added up my total spending for 2013 I was very surprised to see how close to the mark I am. So no, I don't think asking someone to spend 10k in a year for 1k status is unreasonable.
Yeah, seems it's really just a way to disincentivize the same day change gamers who do ZFV-EWR-IAH-SFO-SAN and things like that on a $250 fare.

Wish we knew how much of an impact the sub-$10k group has on upgrades, etc. If it's a meaningful change, great. But not holding out hopes.

With the lack of fare sales in the last couple of years it's hard to be 1K now without over $10k in spend regardless.

The big issue is the international partners, especially with the ATI. If United.com was actually accurate in displaying the most routes / fares for those this would be fair. But it's not. And a lot of people book via corporate travel agencies that will issue on the original carrier's stock.

In cases like the Germany and Japan routes where the ATI creates less United metal frequency than there would otherwise be this is a big issue for people who buy high value coach and biz class fares.

Last edited by cerealmarketer; Jun 18, 13 at 8:22 am
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