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

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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 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
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

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

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Old Jun 10, 2014, 8:34 am
  #196  
 
Join Date: Nov 2009
Location: 6km East of EPAYE
Programs: UA Silver, AA Platinum, AS & DL GM Marriott TE, Hilton Gold
Posts: 9,582
Looks like I picked the wrong week to quite sniffing glue

Almost all of my flying has gone from personal spend to OPM...I guess that's a plus.

On another note If you have a CC, spend $25K (like I do) and fly 75K (like I do), but only spend around $4,000 (like I will this year) in 2015 you will get a whopping 36,000RDM - Wha Wha Whaaaa (sad trombone sound)

Last edited by FlyinHawaiian; Jun 10, 2014 at 5:55 pm Reason: image violation
Madone59 is offline  
Old Jun 10, 2014, 8:34 am
  #197  
 
Join Date: May 2000
Location: IAH
Programs: UA 1K 2.7MM, Marriott Titanium/LT Plat, IHG Spire
Posts: 3,317
Originally Posted by davidash
It appears to only benefit 1K and GS.
I'm a 1K and it does not benefit me at all. I will lose 90K+ miles a year.

Originally Posted by CMK10
Thanks I posted it on their Facebook page too.
I was just going to suggest that.

Last edited by Ocn Vw 1K; Jun 10, 2014 at 8:47 am Reason: Combine consecutive posts of same member.
JNelson113 is offline  
Old Jun 10, 2014, 8:37 am
  #198  
 
Join Date: Aug 2013
Location: CLE
Programs: UA Premier Platinum, HH Diamond
Posts: 32
Originally Posted by TheBOSman
But you were already flying UA anyway? The change is nice for you, but does it really increase your incentive to do something you were already doing anyway? The FFP should be used to increase business. UA has your business due to the schedule and timings I'm guessing, not their FFP. DL flies LGA-CLE, and already had this style earning announced for next year.
UA does have more flights on a per day basis from CLE-LGA so if I need to switch it offers more options then Delta. However, with UA dehubbing CLE I don't have really any incentive to stay with them.
billnye97 is offline  
Old Jun 10, 2014, 8:37 am
  #199  
 
Join Date: Apr 2011
Location: SIN
Programs: UA 1K MM, SQ PPS, CX Silver, Accor Platinum, Marriott Gold, SPG Silver
Posts: 679
Originally Posted by jasonp622
i am so glad i will be platinum or 1K this year, starting as a general member in 2015 will make it much more difficult to achieve that status
You realize that status is based on miles flown, right?
Singapore_Schwing is offline  
Old Jun 10, 2014, 8:39 am
  #200  
 
Join Date: Apr 2008
Programs: UA1k 3mm, HH-LifeDiamond, Mar-LifePlatElite
Posts: 351
I know there are some routes and travel patterns where there is the ability to do "Better" than we think we have now, but does anyone really think this is Better under any definition of the word? What percentage of flyers travel the same short route (mid con) daily / weekly?

For the rest of us who fly anything outside that scope, this is a bign


Also, the average flyer, is going to be pretty peeved, when they spend 600 dollars, on a ticket for a vacation, and expect 3k miles, but only get 2100 because of hidden charges that don't qualify. They likely won't spend the time to re-search why, they will feel cheated, then call, get angry, tie up the CS lines, get the answer they don't like, then never book UA again after the bad experience, especially if they experience the UA of today with dark cramped Rj's, delays, and sub par product to begin with!
UAgeek71 is offline  
Old Jun 10, 2014, 8:40 am
  #201  
 
Join Date: Aug 2005
Location: HPN
Programs: not anymore! I'm FREE!
Posts: 3,459
Originally Posted by Axey
Originally Posted by snic
When UA can fill its planes with customers paying high fares even without an attractive loyalty program
This assumption is ludicrous. And United is about to find that out. The only way the above works is with an industry leading product.
Not, it is not ludicrous at all. When is the last time you flew on a partially-empty plane?

Capacity has been cut a lot across all US airlines, at the same time that demand is increasing due to an improving economy. So, UA absolutely does fill its planes with paying customers - despite its crappy product. And the fares people are paying for that crappy product are higher than before, and getting higher.

That is the real reason why RDMs are going to be revenue-based.
snic is offline  
Old Jun 10, 2014, 8:41 am
  #202  
 
Join Date: Aug 2001
Location: SFO
Programs: United 1K 2MM / Marriott LTP
Posts: 5,071
Originally Posted by davidash
It appears to only benefit 1K and GS.
How so?

Say I fly from SFO-HKG RT.

As a 1K now I earn 27656 RDM.

Under the new program I would have to spend $2515 on that same ticket which is practically double what I pay now for a W fare as a leisure traveler and not an OPM traveler.
kluau88 is offline  
Old Jun 10, 2014, 8:41 am
  #203  
FlyerTalk Evangelist
 
Join Date: Nov 2007
Location: Denver • DEN-APA
Programs: AF Platinum, EK Gold, AA EXP, UA 1K, Hyatt Globalist
Posts: 21,602
Originally Posted by dieuwer2
For all those people that got in at the cheapo F fare to ICN: if you fly out next year after March 1st, you will only earn 8,000~16,000 miles!
Unless you credit a difference *A program in which case you can still get 50K or more per RT.
SFO777 is offline  
Old Jun 10, 2014, 8:41 am
  #204  
Suspended
 
Join Date: Jun 2012
Programs: UA PP, AA, DL, BA, CX, SPG, HHonors
Posts: 2,002
Originally Posted by AAExPlat
Excellent post. I am with you 100%. Even DL allows for a higher multiplier for DMs with credit card...
DL isn't allowing higher multiplier. They're phrasing it as X+2 pts because that's the miles you would earn from Amex DL card *regardless* of what you earn from flying. It's really stretching to truth to think it's a card bonus.

UA will have the exact same X+2 system, but at least their PR group isn't marketing it as such to confuse people.
787fan is offline  
Old Jun 10, 2014, 8:42 am
  #205  
 
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 billnye97
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.
Over on the DL forum, they found it seems to favor those who purchase more expensive tix, > 20 cpm net of taxes. Probably helps those who buy expensive short-haul tix and of course, those purchasing F/biz class tickets. Anything less, expect to earn fewer miles.

DL took a lot of heat for this, including a WSJ article saying that this incentivizes those who purchase their tickets later because those are the most expensive. Probably true but if misery loves company, DL has to be feeling pretty good right now.
Sez_Who is offline  
Old Jun 10, 2014, 8:42 am
  #206  
 
Join Date: Apr 2010
Location: California
Programs: UA GS MM SPG Platinum (Lifetime Platinum)
Posts: 428
Smisek single handedly destroyed United Airlines.
CashN is offline  
Old Jun 10, 2014, 8:43 am
  #207  
FlyerTalk Evangelist
 
Join Date: Mar 2013
Programs: DL PM, MR Titanium/LTP, Hilton Diamond
Posts: 10,130
Originally Posted by zebranz
Don't agree. I am not a MR but believe there is a use for them as they do fill seats.
Bingo. Yes something like this weeds out the person that only does MR for status - but saying MRs hurt the airlines is silly. Mistake fares yes - those likely hurt an airline (especially one like the BOS - ICN F mistake fare), but MRs do fill seats that may have gone out empty.

Many people who do an odd mileage run or two (myself included) use them to top off a gap between work travel and the next elite level. Those people are still profitable overall to the airline and this just encourages them not to spend their free time and money flying UA and instead just walking away.

Plus UA seems to have a problem filling those seats these days whether they're filled with MRs or not unless they downgauge to an RJ
Duke787 is offline  
Old Jun 10, 2014, 8:43 am
  #208  
FlyerTalk Evangelist
 
Join Date: Nov 2007
Location: Denver • DEN-APA
Programs: AF Platinum, EK Gold, AA EXP, UA 1K, Hyatt Globalist
Posts: 21,602
Originally Posted by snic
So, UA absolutely does fill its planes with paying customers - despite its crappy product. And the fares people are paying for that crappy product are higher than before, and getting higher..
Not doubt that that's why UA is making so much money.
SFO777 is offline  
Old Jun 10, 2014, 8:43 am
  #209  
 
Join Date: Dec 2011
Location: Denver
Programs: United 1K, Marriott Platinum, Hyatt Diamond
Posts: 90
The thing that I think is jacked up is in order to maximize miles, you have the incentive to fly a short flight with a high ticket price. But, in order to get qualification miles, the incentive is to book a long flight with a low ticket price. Not a good combination for most people.
sm71 is offline  
Old Jun 10, 2014, 8:43 am
  #210  
 
Join Date: May 2011
Posts: 5,814
Originally Posted by snic
Not, it is not ludicrous at all. When is the last time you flew on a partially-empty plane?

Capacity has been cut a lot across all US airlines, at the same time that demand is increasing due to an improving economy. So, UA absolutely does fill its planes with paying customers - despite its crappy product. And the fares people are paying for that crappy product are higher than before, and getting higher.

That is the real reason why RDMs are revenue-based.
IAH-LGA last month was half empty. I got exit row 20 and 21 to myself and E+ only had a few people. I thought there were weather issues somewhere -- but it was clear day across the US.
edcho is offline  


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