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2015 MileagePlus Change - RDMs Will Be Calculated by Spend, Not Distance

Old Jun 10, 2014, 5:09 am
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Last edit by: WineCountryUA
Earning miles on United flights

Spend-based mileage (RDM) earning for all UA metal flights effective March 1, 2015.

Redeemable Miles (RDM) changes highlights:
  • Miles earned will now be based on the ticket price instead of the number of miles flown (see partner flights on non-016 tickets exception )
  • Ticket price is defined as base fare plus carrier-imposed surcharges (same as PQDs)
  • Class of service bonuses have been discontinued (e.g. X% more on A fares).
  • There is a limit of 75,000 miles earned per ticket (see below for spending limits by status)
  • UA flights regardless of ticket stock will use the ticket price to determine RDMs
  • Partner flight on 016 ticket stock will use the ticket price to determine RDMs
  • Partner flights on non-016 ticket stock will use a flight mileage-based system to determine RDMs with a fare class multiplier (see the partner page for detials
  • Speciality / Bulk tickets with PQDs will use a flight mileage-based system to determine RDMs with a fare class multiplier, see Specialty tickets

Fare multipliers based on Premier status:
  • x5 General Members
  • x7 Silver
  • x8 Gold
  • x9 Plat
  • x11 1K/GS

For example, a 1K would earn 1100 miles for a $120 (assuming $20 in taxes/fees) ticket while a Silver would earn 700 miles for the same ticket.

As there is a maximum number of miles per ticket earned - this disincentives purchasing any ticket (excluding government taxes and fees) over the following:
  • $6818.18 for 1K/GS
  • $8333.33 for Platinum
  • $9375.00 for Gold
  • $10714.28 for Silver
  • $15000.00 for General Members

A way to avoid this is booking one-ways if the fare rules permit.

Premier Qualifying Miles (PQM) are not affected by this change.

Announcement Site
www.mileageplusupdates.com
There is a tool on the site that allow you to enter how much you spent on a ticket along your premier status in order to calculate how many miles you will earn under the new system. The tool is aware of the miles per ticket limit.

There is a FAQ here: http://mileageplusupdates.com/faq.html
Relevant UA Insider posts:

Post 57: http://www.flyertalk.com/forum/23008349-post57.html
Originally Posted by UA Insider
Hi everyone,

Today were announcing changes to how MileagePlus members will earn award miles in 2015. Weve posted complete details and a FAQ on united.com, but I wanted to share an excerpt of the key points with you directly:

As of March 1, 2015, the award miles you earn on most United and United Express tickets will be based on your ticket price (that is, base fare plus carrier-imposed surcharges) and your MileagePlus status, instead of the distance you travel. The new criteria for earning award miles will look like this:

<portion removed for brevity>

The changes to earning award miles will apply to all MileagePlus members worldwide, and will be based on status at the time of flight on or after March 1, 2015. These changes will not affect the qualification requirements for 2015 Premier status. PQM and PQS will still be based on the number of paid flight miles traveled and the fare purchased. And where applicable, PQD will still be determined by the base fare and carrier-imposed surcharges.
Answered Questions:

Originally Posted by SunLover
So a 1K purchasing a $5,000 EWR-NRT ticket would earn 55,000 miles plus the 1K additional RDMs?
Class of service bonuses have been discontinued under the new system. There is already an adjustment for 1K over general members.
Originally Posted by ckidder331

LAX-Intl Location in Business Class as a Premier Gold

Would a $5,000 ticket in Business class to Asia earn:

5000 x 8 = 40,000 (Premier Gold earning)
5000 x .75 = 3750 (Class of Service bonus)
43,750 Total
For tickets that will earn award miles based on ticket price, the class-of-service bonus and Premier bonus will be included in the number of award miles you earn per dollar. Basically COS has been removed.
Originally Posted by mikelcf
...On the mileageplus announcement site and FAQ site it lists only 1K's. With respect to most mileage levels, etc. UA usually treats GS the same as 1K, so I assume that's the case here, but has anyone seen anything specific to GS?
E-mail received by GS lists 1K and GS together.
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2015 MileagePlus Change - RDMs Will Be Calculated by Spend, Not Distance

Old Jun 10, 2014, 8:03 am
  #151  
 
Join Date: Aug 2010
Location: Morris County, NJ
Programs: UA 1K/*G, Avis Pres, Marriott Plat
Posts: 2,296
Just ran some calculations but based on flown-to-date! I'd earn more miles with the new scheme than the old.

The expensive short-hops I do (EWR-CMH, EWR-atl, etc.) add up fast and offset the cheaper transcons.

I'll be OK, but I feel bad for those taking it in the shorts.

Now, if we can just thin the ranks above me a little... Would help my upgrade stats tremendously. Thanks to all of the switchers.
dmurphynj is offline  
Old Jun 10, 2014, 8:03 am
  #152  
 
Join Date: Aug 2008
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All this will do is incentivize bookings on "partner" airlines among the leisure/discretionary travelers. Of course, it remains to be seen if they will significantly alter the accrual rates for partner flights.
AAerSTL is offline  
Old Jun 10, 2014, 8:03 am
  #153  
 
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Originally Posted by Flying Machine
Just curious.. read a few Pages.. What is OPM? Original Premier Member (if so, whats the benefit?) Thanks and Safe Travels
Other People's Money ...

Those of us who fly for work.
dmurphynj is offline  
Old Jun 10, 2014, 8:04 am
  #154  
 
Join Date: Jan 2009
Location: LHR (sometimes CLE, SFO, BOS, LAX, SEA)
Programs: UA 1K
Posts: 5,889
The DL announcement came a bit after their $40 first class fares to anywhere in the continental US.

The UA announcement comes shortly after their $1700 GlobalFirst fare BOS-ICN.

Coincidence?! (yes)
mherdeg is offline  
Old Jun 10, 2014, 8:04 am
  #155  
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Join Date: Apr 2009
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Originally Posted by AAExPlat
Excellent post. I am with you 100%. Even DL allows for a higher multiplier for DMs with credit card...
No, UA's earning rates are identical to DL's. DL's spin machine often tries to include the 2 miles/$ you already earn for CC spend, making it sound better when it really isn't.

Last edited by javabytes; Jun 10, 2014 at 8:09 am
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Old Jun 10, 2014, 8:04 am
  #156  
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Join Date: Jul 2002
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Originally Posted by Flying Machine
Just curious.. read a few Pages.. What is OPM? Original Premier Member (if so, whats the benefit?) Thanks and Safe Travels
OPM = Other People's Money

FWIW I feel like I picked a hell of a year to start Kayaking. It's a relief just picking who's cheapest and most convenient.
CMK10 is offline  
Old Jun 10, 2014, 8:04 am
  #157  
 
Join Date: Nov 2011
Posts: 5
Originally Posted by hyho61
I am surprised at the timing. I thought they would announce this kind of a program sometime next year, after waiting to see what happens to DL and also if AA will reciprocate. Now they are screwed, if AA does not, they will find many switch to AA, especially in ORD, LAX, NYC and DC area. Not much choice in IAH and SFO. In DEN, WN is already an O&D leader, they will continue to take away market share, it might effect them even in Houston area, where WN is a strong player.
The people that will switch to AA will be all the unprofitable mileage runners from Delta and United. All the profitable flyers who spend the most money will be happy with Delta and United.
sf26 is offline  
Old Jun 10, 2014, 8:04 am
  #158  
 
Join Date: Jun 2012
Posts: 239
Originally Posted by SJOFlyer
Why would one consider to choose UA over DL, other than being hub captive? I can't find a strong reason...
For me, it has always been the Star Alliance network. As the only US carrier in the program, I have been tied to United for that reason, and that reason only.
nygiants242 is offline  
Old Jun 10, 2014, 8:04 am
  #159  
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Originally Posted by CDKing
Surprise surprise another DL deval copied by UA
Not a fan of this change, but at least DL is investing in their product, which helps to compensate with these changes. UA is killing Mileage Plus and not making any product investments.. Seems like they just don't care if they become a legacy LCC.
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Old Jun 10, 2014, 8:05 am
  #160  
 
Join Date: Oct 2009
Location: Austin, TX
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Originally Posted by javabytes
No, UA's earning rates are identical to DL's. DL's spin machine tries to include the 2 miles/$ you already earn for CC spend, making it sound better when it really isn't.
Thanks for clarifying that. I had no idea they were trying to sneak one by...
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Old Jun 10, 2014, 8:06 am
  #161  
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Originally Posted by Flying Machine
Just curious.. read a few Pages.. What is OPM? Original Premier Member (if so, whats the benefit?) Thanks and Safe Travels
Other People's Money.
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Old Jun 10, 2014, 8:07 am
  #162  
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Originally Posted by hyho61
I am surprised at the timing. I thought they would announce this kind of a program sometime next year, after waiting to see what happens to DL and also if AA will reciprocate. Now they are screwed, if AA does not, they will find many switch to AA, especially in ORD, LAX, NYC and DC area. Not much choice in IAH and SFO. In DEN, WN is already an O&D leader, they will continue to take away market share, it might effect them even in Houston area, where WN is a strong player.
If someone is coastal-based, considers most of the country flyover country and does mostly international long-haul or transcontinental flights in economy class, the person is likely hosed by this move even when an OPM customer on UA.
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Old Jun 10, 2014, 8:08 am
  #163  
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Originally Posted by sf26
The people that will switch to AA will be all the unprofitable mileage runners from Delta and United. All the profitable flyers who spend the most money will be happy with Delta and United.
That's incorrect. There will also be segment qualifiers switching, and people who pay mid-range fares and people who are tired of nothing but cuts and devaluations, plus people who live in the southeast where UA is now very weak without US.
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Old Jun 10, 2014, 8:08 am
  #164  
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Originally Posted by sf26
All the profitable flyers who spend the most money will be happy with Delta and United.
Yes, because United offers such great world class service.
SFO777 is offline  
Old Jun 10, 2014, 8:09 am
  #165  
 
Join Date: Jan 2009
Location: LHR (sometimes CLE, SFO, BOS, LAX, SEA)
Programs: UA 1K
Posts: 5,889
I'm surprised that DL and UA still call the rewards program currency "miles". Given that it's based on dollars spent (credit cards and flights), the currency should be called "points" or something else to indicate that it's not based on distance flown.
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