Reviewing the possible new partner earning rates

Discussion in 'United Airlines | MileagePlus' started by Wandering Aramean, Feb 26, 2012.  |  Print Topic

  1. Wandering Aramean
    Original Member

    Wandering Aramean Gold Member

    Messages:
    28,236
    Likes Received:
    61,785
    Status Points:
    20,020
    The preview site finally has some partner earning rates listed on it. Knowing that at least a few of the pages are wrong (some are blank, some have the wrong airline name, some have earning rates that are in the wrong order) I am most definitely taking the numbers with quite a large dose of salt. That said, I spent the time to go through them all anyways and see what the changes are.

    It appears that about 20-40% of the earning rates will change from either the sCO or sUA programs. Of the ~250 individual entries I found where there is something changing in one but not the other, the sCO policy wins at about a 2:1 clip. And in nearly every one of those cases it is an upgrade from the sUA number.

    The most notable changes I see are:
    • Premium cabin fares on LH and LX will earn RDMs similar to the UA metal flights up front, ranging from 175-250%. That's a lot more RDMs than they used to get.
    • More partners will earn 150% EQMs for full-fare coach or premium cabin bookings.
    • Copa is not showing elite bonuses; I assume this is a mistake. NH, US, LH & AC do show elite bonuses; I assume this is correct.
    • A number of deep discount fares across partners lose earnings. There are also a few that get better, but more get worse.

    More analysis here.
     
    SEABrad, Muerl, LizzyDragon84 and 2 others like this.
  2. Flyer1976
    Original Member

    Flyer1976 Gold Member

    Messages:
    28,247
    Likes Received:
    33,912
    Status Points:
    20,020
    I'm speculating this has to do with the new United encouraging more revenue to be driven to UA versus *A partners where available.
     
    mht_flyer and Scottrick like this.
  3. HaveMilesWillTravel
    Original Member

    HaveMilesWillTravel Gold Member

    Messages:
    12,507
    Likes Received:
    20,199
    Status Points:
    16,520
    How does it actually work when I fly a partner airline and credit to UA? Doesn't the partner effectively have to buy miles from UA for me? And wouldn't that imply that they (the partner) gets to decide how much they are willing to spend on RDMs for that cheap ticket I bought from them?
     
  4. Flyer1976
    Original Member

    Flyer1976 Gold Member

    Messages:
    28,247
    Likes Received:
    33,912
    Status Points:
    20,020
    The process works as you described... Now if UA decides to "increase" the cost of miles that the other partner airlines would have to pay for then the partner airlines would drop the earnings percentage (UA still wins in this instance if you balk at flying say SK EWR-CPH earning 25% when you could earn 100% on UA metal.).
     
    HaveMilesWillTravel likes this.
  5. Scottrick
    Original Member

    Scottrick Gold Member

    Messages:
    2,586
    Likes Received:
    4,078
    Status Points:
    2,570
    So it sounds like if UA wants more traffic, it can raise its rates for certain partners, forcing them into a showdown. Either they pay up to continue giving people lots of miles and lose some of their margin on the route, or they cave and lose customers who run to UA for full credit.

    Nice to see that there's some competitive element still there, but it seems contrary to the purpose of an alliance.
     
    HaveMilesWillTravel likes this.
  6. HaveMilesWillTravel
    Original Member

    HaveMilesWillTravel Gold Member

    Messages:
    12,507
    Likes Received:
    20,199
    Status Points:
    16,520
    Or the partner could just decide that they don't have to offer as many miles as they are able to fill their cabins anyway.

    Anyone know if the rates charged for RDM and EQM are fixed and the same for all partners (maybe within *A) or if there's 1:1 negotiation between each pair of partners?
     
  7. Gtitan
    Original Member

    Gtitan Gold Member

    Messages:
    7,069
    Likes Received:
    12,437
    Status Points:
    12,520
    Bummed about loss of 500 min on US. For me, that was soooooooo good. :(
     
    upgrade and DCA1K like this.
  8. mht_flyer
    Original Member

    mht_flyer Gold Member

    Messages:
    3,016
    Likes Received:
    6,664
    Status Points:
    4,670
    This is very disappointing, especially for the Northeasterners like myself who fly the Shuttle and to PHL

    If my schedule allows (and it does for my next PHL trip flying BOS-CLE-PHL then PHL-EWR-BOS) I'll just fly UA. In this case it was actually over 100.00 less than non-stop on US. Plus I will get 2063 EQMS with 500 minimum on UA.
     
    upgrade likes this.
  9. Wandering Aramean
    Original Member

    Wandering Aramean Gold Member

    Messages:
    28,236
    Likes Received:
    61,785
    Status Points:
    20,020
    On that route you're talking about it is maybe $40 worth of points they're selling, and probably less at the inter-carrier discount rates. I doubt that United is really forcing markets at those levels of costs.

    I do find it interesting that one of the only carrier where things look worse than both the sCO and sUA charts is US.
     
    Scottrick, upgrade and Flyer1976 like this.
  10. HaveMilesWillTravel
    Original Member

    HaveMilesWillTravel Gold Member

    Messages:
    12,507
    Likes Received:
    20,199
    Status Points:
    16,520
    And a lot of the limited or zero mile earnings are on routes where UA doesn't have a horse in the race. E.g., intra-European LH routes that don't earn anything on cheap fares (unless connected to intercontinental flights... did UA have that rule, too?).
     
  11. Wandering Aramean
    Original Member

    Wandering Aramean Gold Member

    Messages:
    28,236
    Likes Received:
    61,785
    Status Points:
    20,020
    On this one sUA had the requirement for it to be tied to an intercontinental flight or 0% if it didn't while sCO just had 50% whether it connected or not.
     
  12. brfort
    Original Member

    brfort Silver Member

    Messages:
    140
    Likes Received:
    91
    Status Points:
    300
    how does that work then? If I am Premier on UA, and fly a short route less than 500 miles on US, does that mean that I don't get 500 based on the minimum for elite status?
     
  13. Wandering Aramean
    Original Member

    Wandering Aramean Gold Member

    Messages:
    28,236
    Likes Received:
    61,785
    Status Points:
    20,020
    Under the rules currently listed on the preview site, that is correct. The 500 mile minimums only apply to some airlines, not to all.
     
  14. brfort
    Original Member

    brfort Silver Member

    Messages:
    140
    Likes Received:
    91
    Status Points:
    300
    The 500 minimum was CO benefit?
     
  15. brfort
    Original Member

    brfort Silver Member

    Messages:
    140
    Likes Received:
    91
    Status Points:
    300
    sorry for my newb questions. I am a DL flyer thinking of making the switch to UA because I will be based in DC in the coming months. I am a PL on DL and just want to see how the new MP program shakes out to see if it is worth it to make the jump.
     
  16. Wandering Aramean
    Original Member

    Wandering Aramean Gold Member

    Messages:
    28,236
    Likes Received:
    61,785
    Status Points:
    20,020
    The 500 mile minimums on US metal was a benefit of the CO program but not the UA program. In the new program it will not exist. It also only applied to elites, not to all members.

    For A3, BD, CA, ET, JP, KF, LH, LO, LX, OU, OZ, SA and TG - and also UA - the 500 mile minimums are still there according to the review I did today. But, as I noted in the original post, the data there should be taken with a grain of salt until we know for certain it is real. There is plenty to make me believe that at least some of the stuff isn't fully baked.
     
    sfo1 likes this.
  17. brfort
    Original Member

    brfort Silver Member

    Messages:
    140
    Likes Received:
    91
    Status Points:
    300
    thanks
     
  18. sfo1
    Original Member

    sfo1 Silver Member

    Messages:
    956
    Likes Received:
    825
    Status Points:
    795
    As a 1K I flew TG a few months ago and got mile for mile, not a minium 500 miles, 384 to be exact. and I was booked in a fare class that received 100%
     

Share This Page