Delta Air Lines just announced that they are making updates to the SkyMiles program, changes that will start in 2015. “Changes” is the understatement of the year as Delta just put a dagger through every mileage junkie’s heart.
Take a look:
“Earning Miles: Miles you earn toward Award Travel will be based on ticket price instead of distance flown for Delta-marketed or -ticketed travel on or after January 1, 2015. You’ll earn 5 to 11 miles per dollar based on your SkyMiles status.”
This is not a huge surprise to industry followers since JetBlue, Southwest and Virgin America all have revenue based programs. But Delta is the first legacy carrier to implement it so it’s a historic moment in the industry. No doubt American and United will follow suit. Here’s Delta’s official announcement and below are some in-depth stories about the new move:
- WSJ: Delta Plots Major Rewrite of Frequent-Flier Rules
- USAToday: Delta frequent-flier plan now tied to airfare
- Skift: Delta Reinvents Its SkyMiles Program, Trading Miles for Dollars
- FrequentFlier.com: Delta Previews All-New SkyMiles Program for 2015
- View From The Wing: The Other Shoe Drops at Delta: Revenue-Based Program Starts Next Year
- The Points Guy: Delta Confirms Negative SkyMiles Program Changes Effective January 2015
- One Mile at a Time: Delta SkyMiles 2015 Revenue Based Program Details
- The Ticket: Back on the SkyMiles merry-go-rou
On Delta’s site you can see by using their handy little mileage calculator widget that this is great news for business and first class travelers who spend a lot of money for tickets. But for the majority of the traveling public (including me) this is terrible news as Delta continues to devalue their program.
Here’s an example:
As you can see from the screenshot above if you are a not an elite member of Delta SkyMiles program and you spend $350 on a roundtrip Los Angeles to New York ticket you would normally earn 4,950 miles. But starting Jan 1, 2015, you’ll only earn 1,750 miles.
But as you can see from the second screenshot if you spend $2,800 for a first class ticket on that same route (the going fare) then you will earn 14,000 miles in 2015 and beyond instead of the current 4,950 miles. So this is indeed great news for those with big budgets but terrible for us little guys.
My advice is to switch your loyalty as soon as possible to American and United in hopes they see a huge influx and won’t follow Delta’s lead. Unfortunately, I think that’s a fat chance as this will be the industry norm.
Sad day for mileage junkies. The game is over.
Chase Sapphire Preferred® Card
- Our best offer ever! Earn 100,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $1,250 when you redeem through Chase Ultimate Rewards®.
- Enjoy new benefits such as a $50 annual Ultimate Rewards Hotel Credit, 5X points on travel purchased through Chase Ultimate Rewards®, 3X points on dining and 2X points on all other travel purchases, plus more.
- Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 100,000 points are worth $1,250 toward travel.
- With Pay Yourself Back℠, your points are worth 25% more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories.
- Get unlimited deliveries with a $0 delivery fee and reduced service fees on eligible orders over $12 for a minimum of one year with DashPass, DoorDash's subscription service. Activate by 12/31/21.
- Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
- Get up to $60 back on an eligible Peloton Digital or All-Access Membership through 12/31/2021, and get full access to their workout library through the Peloton app, including cardio, running, strength, yoga, and more. Take classes using a phone, tablet, or TV. No fitness equipment is required.
The comments on this page are not provided, reviewed, or otherwise approved by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered. Editorial Note: The editorial content on this page is not provided by any bank, credit card issuer, airlines or hotel chain, and has not been reviewed, approved or otherwise endorsed by any of these entities.
Editorial Note: The editorial content on this page is not provided by any bank, credit card issuer, airlines or hotel chain, and has not been reviewed, approved or otherwise endorsed by any of these entities.