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United Revamps MileagePlus Program with Credit Card Emphasis
A major domestic carrier is updating its frequent flyer program and putting a greater emphasis on its co-branded rewards credit cards.
About the United MileagePlus Changes:
Recently, United announced incoming changes to its MileagePlus rewards program. Starting with tickets purchased on or after April 2nd, mileage earnings rates will be adjusted. Most notably, while the base earnings will be reduced, those with one of United’s co-branded credit cards (or debit card) will earn more miles per dollar spent.
Under the update, MileagePlus members will earn more miles based on their elite status and cardholder status. Moreover, the lineup of MileagePlus cards will be upgrading their earnings rates for United purchases. For example, a MileagePlus Gold member with a United Quest card will earn 13 miles per dollar spent on United bookings made using their card. Note that those with the United MileagePlus Debit Rewards Card or United Gateway Card will not unlock Cardmember earn rates until they spend $10,000 on the card within a calendar year.
Here’s a look at the new base earning rates:
| Status | MileagePlus earn rate | Cardmember earn rate |
|---|---|---|
| General member | 3 miles per dollar | 6 miles per dollar |
| Premier Silver | 5 miles per dollar | 8 miles per dollar |
| Premier Gold | 6 miles per dollar | 9 miles per dollar |
| Premier Platinum | 7 miles per dollar | 10 miles per dollar |
| Premier 1K | 9 miles per dollar | 12 miles per dollar |
On top of that, the United Explorer Card will rise from 2 miles per dollar spent to 3 miles per dollar, the United Quest Card will go from 3 miles per dollar to 4 miles per dollar, and the United Club Card will increase from 4 miles per dollar to 5 miles per dollar.
Another new feature coming to United cards is a discount on award flights. Soon, cardholders can save at least 10% on flights booked with miles, while cardmembers with Premier elite status can save up to 15%.
What They’re Saying:
Announcing these changes to MileagePlus, United’s Chief Commercial Officer Andrew Nocella stated, “The most rewarding way to fly United is as a MileagePlus member, and the best way to get the most value from the MileagePlus program is to have one of our credit or debit cards. MileagePlus is designed to reward loyalty to United, and our best customers deserve the best benefits in the industry.”
Nocella added, “MileagePlus members can now earn more miles faster with a United card – and every one of those miles will go further with our always-on award ticket discounts and expanded access to Saver Award fares.”
My Thoughts:
I would not be at all surprised if United just set the new template for airline loyalty programs with this move. After all, history is littered with examples of how domestic airlines are more than happy to copy their competitors when something is working (see: checked luggage fees, basic economy, etc.). In fact, the discount award flights for cardmembers feature that United is rolling out is reminiscent of Delta’s TakeOff15 offer.
Obviously, if you’re a United loyalist who doesn’t already have one of their credit cards (or that debit card, lest we forget), there will now be an extra incentive to choose one. As for everyone else, it will likely only be a matter of time before your airline of choice follows suit — so you may want to pick up one of their respective cards the next time a good offer comes along.
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