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HTC Global Services Hi Fishes, I need a suggestion on where to join.
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Time to learn about manufactured spending.
It’s a smart program for AA - it incentivizes current elites to stick with the program (much harder to become EP organically compared to starting as an elite; strong switching barriers) and creates reasons for AA elites to get and put spend on AA cards (more profitable than actual passengers; before this there was no reason to put spend on AA cards once you got the bonus).
Now for frequent flyers (higher spend requirement - $18k on AA flights for current EPs, $16.7k for EPs purchasing AA flights with AA cards, and $27k for those w/o any elite status compared to the current $15k) and people that purchase premium international cabin with cash (distance (EQM) doesn’t matter anymore so these flights get you less progress to EP than before) this is not positive. Plus, there is the possibility of more elites through credit card spend. However, the minimum 30 segment requirement for SWUs should help mitigate that somewhat but this may hurt hub captives that have more nonstops since 30 segments is meaningful.
At the end of the day, there was no redemption devaluation at least this year which was the most important thing. As long as there’s no dynamic pricing, AA miles will still have strong value (esp for partner awards) that UA and Delta miles don’t.
Dang, that would be great if my AA account wasn't banned
Opening >10 Citi AA cards in a year, you can google AA shutdown for some old blogs about it
Chief
Well my travel will not look the same, in years past I would spend >$20k but struggle hitting 100k miles being based in DFW. I personally like this change but if you’re not already EXP, the status will be hard to obtain.
Reason they rolled this out is because a devaluation is coming soon
They explicitly mentioned no devaluation for at least 1 year so you have 1 more year to enjoy those miles