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

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

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Old Sep 6, 19, 4:07 am   -   Wikipost
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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 View Post
Hi everyone,

Today we’re announcing changes to how MileagePlus members will earn award miles in 2015. We’ve 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 View Post
So a 1K purchasing a $5,000 EWR-NRT ticket would earn 55,000 miles plus the 1K additional RDM’s?
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 View Post

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 View Post
...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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Old Jun 10, 14, 8:13 am
  #166  
 
Join Date: May 2000
Location: IAH
Programs: UA 1K 2MM, Marriott LT Plat, IHG Spire
Posts: 3,209
timing of change?!!!

Is anyone else annoyed and angry that they are announcing almost six months in to the year something that will affect us next year! If they want to do this they should have the decency to provide a year of lead time. People have already chosen the programs they want to requalify with this year, and now we're stuck with this albatross for 2015.
JNelson113 is offline  
Old Jun 10, 14, 8:13 am
  #167  
 
Join Date: Oct 2009
Location: Austin, TX
Programs: AA EXP/3mm+, UA 1k/1mm+, National EE, IC Plat, Marriott Plat
Posts: 2,604
Originally Posted by sf26 View Post
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.
Yes. That is why AA's PRASM and yield growth far away beats UA's .
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Old Jun 10, 14, 8:14 am
  #168  
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Join Date: Jul 2002
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Posts: 32,821
Originally Posted by JNelson113 View Post
Is anyone else annoyed and angry that they are announcing almost six months in to the year something that will affect us next year! If they want to do this they should have the decency to provide a year of lead time. People have already chosen the programs they want to requalify with this year, and now we're stuck with this albatross for 2015.
Decency is to United as Oil is to Water.
CMK10 is online now  
Old Jun 10, 14, 8:14 am
  #169  
 
Join Date: Aug 2007
Location: Near SEA
Programs: UA MM, AS MVPG75K, Marriott Lifetime Gold
Posts: 7,948
Wonder what the positive impacts are

Originally Posted by @united
@bmvaughn: We hope you'll give the program a chance and see the positive impacts for 2015. ^RS
https://twitter.com/united/status/476365125742784512

Originally Posted by JNelson113 View Post
Is anyone else annoyed and angry that they are announcing almost six months in to the year something that will affect us next year! If they want to do this they should have the decency to provide a year of lead time. People have already chosen the programs they want to requalify with this year, and now we're stuck with this albatross for 2015.
LOL.. you're kidding, right? 6 months is wayyyy more lead time than this industry typically provides
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Old Jun 10, 14, 8:15 am
  #170  
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Join Date: Jul 2001
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Originally Posted by CMK10 View Post
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.
Indeed. Most high-fare passengers are actually passengers who fly a combination of fare types and not all tickets purchased by such passengers are tickets bought using OPM.

As I've said for years, how an airline treats me on my leisure trips is a substantive factor I consider in how I determine my business trip carrier preferences. Devalue my leisure trip experiences and I reconsider how I fly on my business trips too.
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Old Jun 10, 14, 8:15 am
  #171  
 
Join Date: Oct 2013
Location: ORD
Programs: UA Silver, Marriott Platinum/LT Platinum, Hilton Gold
Posts: 5,516
Originally Posted by SFO777 View Post
Other People's Money.
Yeah, people need to get over this. I have to travel under strict controls in our corporate travel system, and I have little control over my own schedule, which makes it a lot less pleasurable than when I'm taking a vacation. I think this is probably break even on my work travel, not a gain. And most of us who use OPM for work use our own $ for vacations.

Bottom line, this is bad for just about everyone. I have a feeling that anyone thinking otherwise either a) has very short segments and a lot of the, such as 50x ORD-CVG, or b) hasn't really looked at their past flights and worked through the calculation. "11x" sounds big, but its 2x for 1K currently.
JBord is offline  
Old Jun 10, 14, 8:16 am
  #172  
 
Join Date: Mar 2002
Location: Now MFE... formerly SEA and DCA
Programs: COdbaUA free, WN A-List, AS MVP Gold, SPG Lifetime Platinum
Posts: 660
Ahhh yes. Jeff clearly took the WSJ article to heart and immediately implemented this change to finally rid his airline of the infestation that is ruing it! Of course that is the customer! He has done a helluva good job driving many away, now they will be leaving in droves. I am sure that this will amp up the motivation of his "co-workers" because everyone will be sooo pleased. Just wait until the Kettle finds out 6 months down the road that his MP is screwed. MP helped maintain UA through the dark times, but Jeff is tossing it on the dung heap along with the pillows and SB coffee. Can't wait to see the "improvements" in the award schedule!

UA/CO- now a poor imitator of DL. I am stuck with a few 100K miles that I have been unable to redeem for several months. I keep looking out MONTHS in advance and the redemption is so restrictive (no Fridays or Sundays) and mostly limited to major hubs.

*sad
Luvs2snowbordbut1kSEA is offline  
Old Jun 10, 14, 8:17 am
  #173  
 
Join Date: Sep 2008
Location: SF Bay Area
Programs: None - previously UA
Posts: 4,136
Originally Posted by GUWonder View Post
Kayakers.
This change has no effect on Kayakers, they dont care about miles by definition. It affects lower revenue leisure frequent flyers who had shown loyalty to United. They now have to spend $8500 on flights to earn a a flight to Hawaii. This change is bascially taking from the masses to give to the corporate flyers.
escapefromphl is online now  
Old Jun 10, 14, 8:18 am
  #174  
 
Join Date: Apr 2009
Location: LAX
Programs: UA Plat MM, CM Plat, Amex Plat, Hertz CP, Hyatt Globalist, SPG Gold, Vons Club
Posts: 6,210
Originally Posted by JNelson113 View Post
Is anyone else annoyed and angry that they are announcing almost six months in to the year something that will affect us next year! If they want to do this they should have the decency to provide a year of lead time. People have already chosen the programs they want to requalify with this year, and now we're stuck with this albatross for 2015.
I actuall disagree. With a 3/15 start date they are providing 8 months lead time. That is a heck of an advance notice. Need to give them some kudos for that. It could have come in during October or November as well.. Thanks and Safe Travels
Flying Machine is offline  
Old Jun 10, 14, 8:18 am
  #175  
 
Join Date: Mar 2010
Location: MEX
Programs: TK G,UA *S
Posts: 1,119
Originally Posted by Flying Machine View Post
Different Perspective.. Does this benefit the MP member sitting on allot of MP Miles in their account. Say the ones whom have over 750K? If Miles will be more difficult to earn will this benefit some? Im looking for a Silver Lining.. Thanks and Save Travels

Wondering if with this change buying miles with a 40% discount (as of today´s mail from UA) will be a good deal?
The price is around 2,25 CPM...
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Old Jun 10, 14, 8:20 am
  #176  
 
Join Date: May 2004
Location: SFO sometimes
Programs: UA 1K, AA gold, A3 gold
Posts: 1,634
Specialty tickets earn more?

Sounds like somebody really though this through. Time to start buying through consolidators:

Specialty tickets that earn award miles in the current program (including, but not limited to consolidator/bulk, group, tour and other tickets where the fare paid is not disclosed on the ticket) will earn award miles based on a percentage of the distance flown and the purchased fare class as of March 1, 2015. Please refer to the chart below for details.

Eligible fare classes
Flight operated by United and
United Express
J, C, D, Z, P, F, A
150%
Y, B, M
100%
E, U, H, Q,V,W
75%
S, T, L,K, G, N
50%
iloveipods is offline  
Old Jun 10, 14, 8:21 am
  #177  
 
Join Date: Feb 2011
Location: Washington D.C. via Sao Paulo via Houston via Washington D.C. via Boston via New York
Posts: 1,171
Originally Posted by bmvaughn View Post
Wonder what the positive impacts are


https://twitter.com/united/status/476365125742784512



LOL.. you're kidding, right? 6 months is wayyyy more lead time than this industry typically provides
At lease their PR team is consistent - https://twitter.com/united/status/476355898664046593
macdonaldj2 is offline  
Old Jun 10, 14, 8:21 am
  #178  
 
Join Date: Oct 2009
Location: MCO
Programs: DL DM/MM, Marriott Plat Premier, HH Diamond, Hyatt Plat, Hertz PC
Posts: 4,081
Originally Posted by JeredF View Post
Why are they doing this?
Uh, because Smisek wants to keep his job?

The current earnings model is obviously a failure. Good for FFers but disaster for airline earnings. The DL earnings formula works, the UA formula doesn't. Expect more pinches to be coming through next year.
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Old Jun 10, 14, 8:24 am
  #179  
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Join Date: Jul 2002
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Posts: 32,821
Here's a copy of the email UA sent me:

CMK10 is online now  
Old Jun 10, 14, 8:25 am
  #180  
 
Join Date: Aug 2013
Location: CLE
Programs: UA Premier Platinum, HH Diamond
Posts: 32
Originally Posted by JBord View Post
Bottom line, this is bad for just about everyone. I have a feeling that anyone thinking otherwise either a) has very short segments and a lot of the, such as 50x ORD-CVG, or b) hasn't really looked at their past flights and worked through the calculation. "11x" sounds big, but its 2x for 1K currently.
Well it actually works out better for me. I fly CLE-LGA and then LGA-CLE every week. Right now I get 1750 miles being Platinum. With my fare this week (without taxes) I would get 4644 with my $516 fare. Pretty good for me. The only thing I worry about is more devaluation in the redemption area.

I understand for everyone else it pretty much sucks though.
billnye97 is offline  

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