Not like I’ve been swarming in PremierMiles, but I’ve been able to make some good transfers over the past 18 or so months to get the best value out of my PremierMiles. And while I’d encourage you to participate in this poll where I am trying to figure out how do you guys use your miles, here is a flight I just stepped off which is perhaps my best redemption of PremierMiles till date.

I spent the past week travelling to the other side of the globe for the Boarding Area Conference, and then, on the way back, got a flat tire, and also stopped by in NYC for a bit. On the way back to Mumbai, I wanted to fly Singapore Airlines on their all business class A340’s which operate from Newark and Los Angeles to Singapore daily, partly because these flights are going to be discontinued in the last quarter of 2013, and the world’s two longest routes (#1 and #2) would come to an end.

map

Tickets on these routes routinely retail at about $7,000 roundtrip, and I was definitely not spending that kind of money for the flight. Instead, I looked up my repertoire of the various points/miles I had and decided to transfer some PremierMiles to Singapore Airlines KrisFlyer, which I’d be able to redeem for LAX-SIN on the all-business class LAX-SIN flight, and after a layover at Changi, bring me to Mumbai. It cost me 76,500 PremierMiles + $480 for this redemption (cash value: Rs. 2,00,000 at least). The same number of miles as it’d cost for about 7 one-way tickets on Mumbai-Delhi in economy class (cash value: Rs. 35,000).

And here is a little glimpse into what was on offer, which will be captured in a trip report at a later date.

Photo 17-05-13 11 37 33Star Alliance Lounge at LAX

The Star Alliance Lounge at LAX

Singapore Airlines A345 at LAX

Singapore Airlines A345 at LAX

The All Business A345 Cabin

The All Business A345 Cabin

The latest SQ Business Class seat

The latest SQ Business Class seat/throne!

Photo 17-05-13 13 17 37

Hey, don’t judge me. Those socks were chosen by Singapore Airlines!

Photo 17-05-13 13 01 24Photo 17-05-13 14 05 28Photo 17-05-13 19 11 25Photo 18-05-13 3 58 09

Meal service & in-between meals

Worth it you think? I’m going back to bouncing around like I have been doing for the past 5 hours at Singapore Changi Airport!

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Club Carlson, the membership loyalty program of the Club Carlson chain of hotels, seems to be dipping its toes in the water to see if it could make a switch from a membership points and free nights oriented program to a benefits oriented program.

I recently received and completed a survey from Club Carlson, where they tested this concept and while they said this may or may not fly, they even had a name in place, calling it Members Club. Now, CC has been at the forefront of big lucrative promotions and giveaways for the past two years, inflating the number of enrolments in the program, and getting the eye of the road warrior and the leisure traveller alike, in case you’re a points collector that is. Even otherwise, the number of points they give away for stays and spends is generous. They also went ahead and launched a co-branded credit card in the USA to generate more of CC points going around.

However, benefits recognition is a weak point for their program, and you can forget an upgrade or a free-breakfast unless you’ve done 75 nights with them and attainted Concierge status. Which is a very high bar, as high as the Marriott Rewards program which also does not have too many benefits and status recognition over the tiers. SPG seems to be a balanced bet between status and points earning, and for the American folks, Hyatt is pretty good as well.

And now, Club Carlson are thinking of a paradigm shift in the way they look at loyalty. They want to grant you benefits, and those not only while you’re staying with them, but also when you’re not. Here is the new premise being tested in the survey (which may or may not fly):

carlson

And to implement this, they are apparently going to go binary, i.e., you are either the Base Level member and get a certain set of facilities, or you’re the frequent visitor at their hotels and hence the “Premium Level” Member. What if you want status but are not so frequently staying with them? You could buy-up.

carlson3

What do you get if you are going to be a part of this new scheme of things which Club Carlson is considering? As per Carlson, you’ll get access to the following benefits, mostly soft but some hard benefits too:

  • Expertise
  • Access
  • Privileges
  • Connections

Here is what I remember of how they define these four buckets of benefits:

  • Expertise: The Concierge is arguably the most trusted man in a hotel to direct you around. And Carlson is considering to offer to give it away to you that experience even when you’re not staying at their hotels. Carlson will also throw in the travel expertise of theirs they’ve gained over the years, and help you make bookings.
  • Access: You want to swim but don’t know where to go? You could pop into your local Carlson branded hotel and use their pool. And while at it, use the health club too.
  • Privileges: Hey, you get that free breakfast as a SPG Platinum? Now you could get that privilege with Club Carlson, finally. Also, maybe shot at an upgrade.
  • Connections: This sounds like a private FourSquare to me. You get connected with deals, discounts and freebies at local hotel properties, whichever city you are in.

image

The survey, at some points tested if you really wanted the points or you’d be better off with membership benefits, which leads me to believe, if this new concept is in, the old one is out. Also, if you read the first screenshot up there, it leans towards the same intent (or at least my reading of the situation is):

We know that for infrequent travelers, there is little opportunity to get real value out of your membership, and the promise of earning rewards in the distant future does not make your current trip a better experiences

The best part always comes in the end, and this one I am seriously impressed with. You can pass on your benefits to near and dear ones as well, under what they plan to call “Pass the Perks”.

carlson5

I have no idea why Carlson can’t match up to the other programs out there and has to think of flipping the switch. But if this happens, well, those points will be junk I suspect sooner than later. What are your views about what is in the future of the Club Calrson program?

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Yesterday, I got involved in a Twitter debate on what is the worth of a mile earned in India, and I thought I’d put my views across on the blog to share with all of you and hear what do you have to say. This will be a series which will focus on valuing the key mileage currencies in India.

For earning capabilities in India, there are 4 kind of miles one could earn and accumulate, using different ways. Here they are:

  • Jet Privilege miles: Earn them by flying the airline or its partners, or credit card spends, or multiple program partners who are listed on the airline’s website.
  • Air India miles: Earn them by flying Air India/Singapore Airlines/Lufthansa.
  • Citibank PremierMiles: Earn them by spending on your Citibank PremierMiles credit card.
  • American Express Membership Rewards: Earn them by spending on your American Express cards issued in India (non-cobranded).

If you want to see how to earn these miles with Credit Cards, here is a primer for you I wrote earlier in the year.

The primary dissent I had with the people I was sparring with was the utilization of these miles, which impacts the underlying valuation of the miles. I’ve noticed in the past that most people tend to use the mileage currency for booking domestic tickets. Nothing wrong with the approach, but I just feel you’re trading yourself cheap.

Here is an example or two of what I see as value v/s not:

  • A Mumbai – Delhi economy class ticket, which would usually go for Rs. 5,000 if booked sufficiently out (3 weeks ahead), being booked on miles, where Jet Airways would at least charge you 8,400 Miles + Rs. 1,200 for the reservation. In this case you’re selling yourself cheap, because you’ve used 8,400 miles for a net value of 43 Paise per mile. On the other hand, if you made a last minute trip, when prices are sky high, it may be better to use the miles.
  • Similarly booking the same ticket on any airline and redeeming your PremierMiles for it. So, if you paid Rs. 5,000 for the ticket, you’d be redeeming worth 10,000 miles if you chose to use your PM (1 Re. = 2 PM). Again, you’ve sold out cheap, because you’ve only got a net value of 50 paise per mile. That is the method Citibank wants you to apply, because it makes it really cheap for them to finish off your transaction.
  • However, you could have gotten way more value out of your Citibank PremierMiles as well. For instance, imagine a USA (West Coast) – India return ticket in Business Class on Singapore Airlines, which usually goes for Rs. 350,000+ (USD 6,700+) coming to you for 155K PremierMiles and USD 800 fuel surcharges. In this case, all you had to do was to transfer your PremierMiles to Singapore Airlines’ frequent flyer program, and redeem for a ticket there. Your value earned per mile: Rs. 2 at the minimum. And this for a stable fare between the two countries on this airline.

So, before I go down to writing my analysis, would you quickly help me with your views on how do you use your miles? Pick in the poll below, which will be open for 48 hours:

How do you redeem your India-minted miles? (Pick 2 at most)

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Also feel free to leave your views in the comments section. I want to know your views :)

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