Our July report card for Europe called into question the worth of U.S. carriers’ mileage-upgrade programs, in general. Are they worthwhile for any itinerary, or only with some carriers, on some routes? And what about the tradeoffs? If time is money, paying for a Business Class ticket can save a lot by avoiding the time absorbed by playing mileage games, and it also has other perks too.
To answer the question, we compared thousands of summer fares across the five legacy carriers’ mileage upgrade programs to come up with the evaluation below. The assessment is that programs vary widely, and some are certainly worth your allegiance.
First, for proper perspective when evaluating mileage upgrade programs, keep in mind the downsides as compared to paying for a premium fare outright.
- Schedule & Comfort: Buying a Business or First Class ticket allows for the most direct routing, with the best partner, and can get the best seat, as you don’t have the ‘availability’ limitations that come with mileage spending. Options are many, and you make the choices—not the airline.
- Mileage Earning: When you upgrade, you earn 25-50% fewer miles, depending upon the airline.
- Elite Status Earning: Ditto. And remember that elite status gets you priority check-in, seating, boarding, screening, and exemption from nuisance fees.
- Peace of Mind: Confirmed Business Class beats the uncertainty of playing upgrade roulette.
- Time: What about the time it takes to book an upgrade? It’s worth it if the savings are substantial. What is your time worth?
American Airlines
In general, its upgrade program is good, falling short only in travel to the Caribbean and Mexico, where the savings are minimal when using miles to upgrade. The better value there is to buy a First Class fare and save the miles for another situation. To Europe, its 50,000-mile upgrade saves roughly $1,000, on advance-purchase fares, even after the surcharge imposed; short-notice Business Class fares can be cut in half. For travel to Asia, South America, and within the U.S., American’s mileage upgrade offering again proves to be good, saving an average of $1,500+ to South America, $2,000+ to Asia, and up to 50% on many U.S. routes.Continental Airlines
This program is tricky; you practically have to be an accountant to play it just right. For example, a Philadelphia-Madrid Business Class ticket costs $2,059 (plus taxes) while an upgraded economy ticket costs $1,784 (including the $1,000 surcharge). This is a no-brainer: For $275 more you get the benefits listed earlier. Other European destinations where a Business Class ticket purchase is preferable to upgrading are Amsterdam, London, and Rome. This also holds true for travel to the Caribbean and Mexico. Spring for the Business Class fare and benefits yielded. On the other hand, for domestic travel, and to South America and Asia, the program does what it is suppose to do: Save money. For example: From Houston to Tokyo, a Business Class ticket costs $4,740, whereas the lowest upgradeable economy fare (including surcharge) is $1,633 (plus taxes).Delta/Northwest
This always seems to be the program that begs the question, “are mileage upgradeable programs worth the trouble?” Why? Because to Europe, the program is seriously lacking, often offering lower Business Class fares than upgradeable economy fares. Say what? For example: A two-week advance Business Class ticket from New York to Paris is $2,038, the lowest upgradeable fare is $2,111, plus the 50,000 miles required. On many other European routes, the fare savings between Business Class and upgradeable economy averaged only $300-$500, and in a few cases, nothing at all. The same holds true for the Caribbean and Mexico on many routes. Elsewhere, a Business Class ticket from Atlanta to the Bahamas costs $735, whereas an upgradeable economy ticket is $838. So why upgrade? Delta did score well for domestic upgrades, saving members on average 50% or more. For example: A First Class ticket from Los Angeles to Washington costs $1,418, but the lowest upgradeable fare is only $528, a savings of $890.To South America and Asia, the savings for upgradeable fares is about $1,000; not as great as other programs, but okay for Delta, which usually gouges for the privilege of using its hard-earned miles.
[aside headline="When to Pay with Cash" alignment="alignright" width="half" headline_size="default"]
- At a minimum, when your miles end up being worth less than 3¢ each, unless you have an endless supply.
- When the airline’s minimum upgradeable fare is inflated.
When to Pay with Miles
- To splurge on a First Class free award ticket for travel on a three-class aircraft, where the front cabin would cost a small fortune otherwise.
- For Business Class travel when you miss the advance-purchase window and fares are unbearably high.
United Airlines
To Europe, Asia, and South America, this airline’s upgrade program works best in shoulder or low season, when applicable H fares are usually priced more reasonably; savings run about $1,500 or more. The program is worst during high season when economy fares are high, but even then it can still yield a savings of about $1,000 or when purchasing a ticket with no advance notice. For example: An off-season economy ticket from Chicago to Frankfurt is $786, however, during peak season the same route increases to $1,537.Overall, United’s program delivers on most routes. It even allows upgrades from most of the lowest economy fares on routes to the Caribbean and Mexico. For example: the lowest upgradeable fare from Chicago to Aruba is $318, and the best First Class fare is $1,008, saving you 68%.
US Airways
In July, US Airways announced a major change to its upgrade policy: As of August 15, you will no longer be required to pay the minimum economy round-trip fare of $1,400 (including taxes) that was required. An unusual and often perplexing way to go about it. Under the revised program, you’ll be able to upgrade from any fare, but be required to pay a surcharge of $600 round-trip for Europe, South America, and the Middle East.When we rated the programs in July, US Airways received a “C.” Under the new program’s rules, our research reveals that the all-in cost averages about $200-$300 less. For example: The Philadelphia-London upgradable round-trip fare, under the old rules, costs $1,173. With the revised program, the upgradeable fare is $980 (including the $600 surcharge), a fare difference of $193. Savings off of published fares to Europe range from $800 to $1,800, and it is a program that delivers overall.