Travel demand is roaring back to 2019 levels, and airlines are making adjustments to their loyalty programs that reflect this reality.
Last month, Delta Air Lines became the first major U.S. carrier to raise the thresholds required for elite status. Southwest Airlines also joined the party in late October by raising the bar to earn a Companion Pass.
Just this week, United Airlines shared perhaps the broadest update yet in response to growing travel demand. The Chicago-based carrier is bringing back the Premier requirements it first unveiled in 2019, which, according to one track, require flyers to spend at least $24,000 each year to earn top-tier status.
As the new year rolls around, earning elite status is going to get considerably harder, especially with United.
And while United’s adjustments may have you wondering whether it’s worth chasing Premier status next year, I’m personally not as concerned about the changes just yet. Here’s why.
Award tickets count toward status
United announced that it would join Delta in awarding elite qualifying progress for award tickets.
When this feature launches on Jan. 1, 2023, you’ll be able to earn Premier qualifying points and Premier qualifying flights for award travel. The earning rate is 1 PQP for every 100 MileagePlus miles redeemed, and 1 PQF for each flight taken.
Note that these perks are limited to flights operated by United and United Express, and must be redeemed directly with the carrier’s MileagePlus program to be eligible for Premier accrual.
In the past, I’ve historically needed to end the year with a few paid United tickets to close the gap to Premier status. But now, I’ll no longer need to be as worried about trading off between redeeming points and paying for my ticket.
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Going forward, I’ll try to redeem points when I find a compelling value, knowing that these mileage redemptions will help me on my way to status. It also makes MileagePlus miles a bit more valuable to me, so I’ll definitely be crunching the numbers more closely on award redemptions next year.
This feature will undoubtedly help some Premier members close the gap to status, and I imagine that for many members, this perk alone will help soften the blow of the increased requirements.
Credit cards are more important than ever
Along with the ability to earn elite status on award tickets, United is also making it more lucrative to spend on your cobranded credit card.
For 2023, United is doubling the maximum number of PQPs you can earn from the United Quest Card and the United Club Infinite Card. These thresholds are going from 3,000 to 6,000 PQPs and from 4,000 to 8,000 PQPs, respectively. (You’ll continue to earn 500 PQPs for every $12,000 spent on these cards, up to the increased PQP limit.)
Personally, I’m not going to shift my spending to a United card early next year. I’ll wait and see how my flight activity tracks over the first few months of 2023, and I’ll then assess whether it’s worth moving some expenses from other lucrative points-earning credit cards to a United card.
But, simply knowing that I could get a big Premier boost from spending on a United credit card gives me a bit more reassurance that, despite the higher requirements, United status may actually be within reach.
Just note that the PQPs earned from cobranded spending will not count toward the PQP-only track for Premier 1K.
Status perks have been diluted
Perhaps the biggest takeaway from United’s announcement is that the airline wants to right-size the elite population.
“We wanted to ensure that we were getting a program that did a really good job of balancing the ability to access status with the number of members that achieve each tier with the benefits that we can give to members once they achieve that tier,” said Luc Bondar, United’s president of the MileagePlus program, in an exclusive interview with TPG.
Throughout the pandemic, lower…
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