Features

Get the point

30 Apr 2012

Everyone knows air miles can translate to ticket upgrades and hotel room nights – but there’s much more to them than that, writes Tiffany Sandrasageran

Frequent flyer programmes (FFP) have grown into an obsession of sorts, with many travellers spending hours strategising to rack up more points. Previously it was dependent on how much a cardholder flew with the airline, but in recent years new ways to earn points have emerged, including airline branded credit cards. Online marketing engines also use air miles as a lure to get views and, in some cases, even dining at a restaurant or getting your dry cleaning done can benefit your FFP account.

The first modern FFP as we know it today was probably created in 1979 by Texas International Airlines, which subsequently merged with Continental Airlines. In the more than 30 years since, these loyalty schemes have come a long way, offering their members reward options that go way beyond free tickets and upgrades. Yet, many travellers haven’t seemed to catch on. Today, airlines still cite their top uses of air miles to be for flight tickets, followed closely by seat upgrades.

However, some have discovered that air miles can even put a roof over their head when the chips are down. In 2010, Jim Kennedy lost his job as a corporate development manager and then his home to foreclosure. He went on to live off his stockpile of around one million airline and hotel points; by cleverly picking rooms that came with wifi (for sending résumés) and a microwave (so that he could eat TV dinners), and combining this with the small amount of cash he received from social welfare, he was able to survive official homelessness for months before he landed a position as CEO at an internet firm. 

Lifestyle choice

Of course you don’t have to be in such desperate circumstances to make use of air miles. Cashing in your miles can be frustrating at times, especially when you are faced with a whole string of conditions like black-out dates, limited seat options, extra costs and so on. But with a bit of patience and knowledge, the rewards can be great. Air miles have evolved into a form of currency, allowing you to do things like pay for a meal in a restaurant and even shop online, both for everyday items and for more extravagant purchases such as exclusive heli-services or a limited-edition Louis Vuitton bag.

United Airlines has recently launched a new MileagePlus online auction site, allowing its members to utilise their air miles for once in a lifetime experiences, for example a behind-the-scenes flight simulator experience for a whopping 341,000 miles. Giving your miles up for charitable causes is also an option: MileagePlus and Asia Miles by Cathay Pacific have a list of charities to which their members can make donations in exchange for miles. Some of these charities include the American Red Cross, UNICEF and Oxfam Hong Kong. Since 1996, United has donated more than a billion miles to the needy.

If you’d like to integrate an FFP into your everyday lifestyle, you can download songs using your miles. Finnair Plus members can make use of Finnair Sony Music download store to buy tunes with their air miles. The Qantas Frequent Flyer programme also allows its members to make digital downloads of songs on the bandit.fm digital music store. Alternatively, you can use your miles to purchase an iTunes music voucher. Business travellers who are music fanatics can take it a step further and consider using their miles to redeem musical instruments, such as a Roland Digital Mini-Grand Piano for 1,383,300 miles.

With United’s MileagePlus “Live Nation Concert Cash”, members can use their miles to redeem concert tickets from a selection of over 1,000 performances in venues across the US, featuring artists like Pink Floyd, Snow Patrol, and Florence and the Machine. Wine can also be delivered to your doorstep with Asia Miles and Qantas – prices of wine start from 22,500 Asia Miles and 19,200 Qantas points.

It gets better

Redeeming gifts is nice, but nothing is as good as getting cash back. From February 1, the Etihad Guest programme began allowing members to convert their miles into cash through the PointsPay app on the iPhone, effectively making Etihad the first airline loyalty programme to allow members to turn their miles into cash. Members can use the PointsPay app to exchange their miles for cash directly onto their PointsPay Visa prepaid card either in-store or online.

To add value to its programme, Qantas introduced a new Platinum One category at the end of last year for a select group of loyal customers. These members will be served by a dedicated Platinum One Special Service team for assistance 24 hours a day, and given a list of other indulgent benefits like invitations to Qantas-sponsored special events, as well as the opportunity to take the controls in a Qantas flight simulator.

Many of our readers have admitted they haven’t really made full use of their points because they think there are too many restrictions attached, or they are simply too busy to look into what they can do with it. Our advice is: Pay attention and you will find that when you fly, you can make your miles go much further.

Tips and tricks to maximise your miles

Monitor your miles through your phone with apps like FlyerTalk, Tripster or another frequent flyer app – many frequent flyers rely solely on statements from airlines to track their miles, but with an app on your phone, you can access information at any time.

Gain refunds for unused tickets – never discard unused tickets, as some airlines such as Singapore Airlines and United Airlines allow you to refund your miles.

Bundle air miles and cash – by combining your air miles and cash, you can ultimately extend the lifeline of your miles and redeem rewards at a much faster pace, as opposed to redeeming items solely with air miles.

Redeem miles online – many airlines offer discounts off flight ticket redemption rates when you redeem your flights or rewards online. Plus, it’s much more convenient.

App update

Instead of relying on regular statements from your FFP, keep track of points earned with a smartphone app. The Qantas Frequent Flyer App allows you to track your points and locate your nearest frequent flyer partners. Once your goals are set, the app helps you track your progress until the goal is met. You can also browse a vast selection of award flights and reward items. If you have a variety of loyalty programmes to track, you could use the AwardWallet app to keep track of all your frequent flyer point and credit card point balances. Some other frequent flyer apps are FlyerTalk, Tripster and mileBlaster.

For a table comparing different airline loyalty programmes, click here

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