Alaska Airlines News Oneworld

Alaska Mileage Plan devaluation – sweet spots scrapped from March 2024

Alaska Mileage Plan is adopting a harmonised partner award chart in March 2024, and it's "bye bye sweet spots", with miles rate hikes of up to 166% in store.

Here's a detailed look at the changes.

Well it’s safe to say the writing has been on the wall with this one for a while. The popular Alaska Mileage Plan award programme has been at risk of having its competitive partner redemption rates hiked ever since Alaska Airlines announced it was joining the Oneworld alliance a few years ago.

Since then we’ve seen the announcement that award chart “changes” would be coming to the programme, followed earlier this year by a no-notice devaluation of one of the most valuable “sweet spots” enjoyed by our readers in the Asia-Pacific region – with Japan Airlines redemption rates doubling in some cases.

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Now Alaska Mileage Plan has announced it will be adopting something we long predicted since its entry into Oneworld was on the cards – a harmonised distance-based award chart for partner redemptions – from March 2024.

That means rather than each partner carrier having its own unique award chart, miles rates for flights on all partners will simply be determined by this ‘cookie cutter’ technique, based on how many miles your trip covers.

As you might imagine, that will decimate some of the programme’s most valuable uses among our readers in this region, including competitive Cathay Pacific, Finnair and Qantas awards.

From March 2024 (exact cutover date to be confirmed), Alaska Mileage Plan will adopt three distance-based award charts for partner flight redemptions, based on the global origin and destination region applicable to your routing.

For bookings made before the new pricing takes effect, current award rates will be in force regardless of your actual travel date. Only bookings made after the new charts take effect will attract the new pricing.

Americas

Routings between the US and the Americas, and within the Americas

Distance
(miles)
Starting award rates in:
Economy Premium
Economy
Business First
1

700
4,500 6,000 9,000 13,500
701

1,400
7,500 10,000 15,000 25,000
1,401

2,100
12,500 17,500 25,000 40,000
2,101

4,000
17,500 22,500 35,000 52,500
4,001

6,000
25,000 32,500 50,000 75,000
6,001+ 30,000 40,000 60,000 90,000

Americas includes North America, Caribbean Islands, Central America and South America

Europe, Middle East, Africa

Routings between the US and the EMEA, and within the EMEA

Distance
(miles)
Starting award rates in:
Economy Premium
Economy
Business First
1

1,500
7,500 10,000 15,000 22,500
1,501

3,500
22,500 30,000 45,000 67,500
3,501

5,000
27,500 35,000 55,000 82,500
5,001

7,000
35,000 45,000 70,000 105,000
7,001

10,000
42,500 55,000 85,000 130,000
10,001+ 55,000 72,500 110,000 165,000

EMEA includes Europe, Middle East and Africa

Asia Pacific

Routings between the US and Asia Pacific, within Asia Pacific, and between Asia Pacific and Europe, the Middle East and Africa

Distance
(miles)
Starting award rates in:
Economy Premium
Economy
Business First
1

1,500
7,500 10,000 15,000 22,500
1,501

3,000
25,000 32,500 50,000 75,000
3,001

5,000
30,000 40,000 60,000 90,000
5,001

7,000
37,500 50,000 75,000 110,000
7,001

10,000
42,500 55,000 85,000 130,000
10,001+ 65,000 85,000 130,000 195,000

Asia Pacific includes Southeast Asia, the Indian Subcontinent, the South Pacific, Japan and Korea

Alaska says it will retain its US$12.50 nonrefundable fee for partner awards per person per direction of travel.

One stopover of up to 14 days is permitted per one-way international itinerary, or two on a round-trip itinerary (maximum of one in each direction).

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If you want to book an award flight where both the origin and destination are outside the USA, it must be booked at least 72 hours (3 days) prior to departure.

In good news, thanks to the harmonised award chart it will be possible to mix partners on a one-way award itinerary using Alaska miles for the first time. Currently, this is only possible if you are mixing an Alaska Airlines flight with a single partner airline.

In these new award charts, Alaska notes that these are the starting rates for award tickets on partner carriers.

That means that on some dates, higher award rates will apply, as they do now with partners like Starlux.

Since the unannounced devaluation of Japan Airlines awards using Alaska miles, the list of “sweet spots” for Asia-Pacific-based members was already looking a little thin.

It is now largely based on Cathay Pacific awards, with some Qantas, Finnair and Korean Air options also coming in at good value.

Here’s how these will be impacted by the new harmonised award charts, from March 2024.

Award rates using Alaska Miles
Route / Cabin Old Rate New Rate Increase
Singapore – USA
First
70,000 130,000 85%
Singapore – USA
Business
50,000 85,000 70%
Australia – USA
First
80,000 195,000 144%
Australia – USA
Business
60,000 130,000 117%
Hong Kong – Europe
Business
45,000 75,000 67%
Hong Kong – NZ
Business
30,000 75,000 150%
Singapore – Japan
< 3,000 miles*
Business
22,500 50,000
122%
Singapore – Japan
> 3,000 miles*
Business
22,500 60,000 166%

Singapore – Japan less than 3,000 miles would include routings like SIN-HKG-FUK
Singapore – Japan more than 3,000 miles would include routings like SIN-HKG-KIX/NRT

While locking in some of these excellent Cathay Pacific awards using Alaska miles at current rates would be a great strategy before the devaluation hits, partner availability on Cathay is currently almost impossible to find, especially on long-haul flights in premium cabins.

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Cathay Pacific lags behind almost all main competitors in its COVID-19 recovery, and is still flying limited capacity in many otherwise fully-recovered markets. Offering award seats in this climate, especially to partners, unfortunately makes little sense for the carrier, while such high fares can be commanded.

Award rates using Alaska Miles
Route / Cabin Old Rate New Rate Increase
Australia – USA
First
70,000 130,000 85%
Australia – USA
Business
65,000 85,000 31%
Within Australia
< 1,500 miles*
Business
20,000 15,000 25%
Within Australia
> 1,500 miles*
Business
20,000 50,000 150%

Within Australia less than 1,500 miles would include routings like SYD-MEL and PER-ADL
Within Australia more than 1,500 miles would include routings like PER-SYD

This 4-hour Perth – Sydney flight in Qantas A330 Business Class is great value using 20,000 Alaska Miles. The cost will more than double to 50,000 miles for redemptions locked in from March 2024.
Award rates using Alaska Miles
Route / Cabin Old Rate New Rate Increase
Singapore – Europe
< 7,000 miles*
Business
60,000 75,000 25%
Singapore – Europe
> 7,000 miles*
Business
60,000 85,000 42%

Singapore – Europe less than 7,000 miles would include routings like SIN-HEL and SIN-HEL-LHR
Singapore – Europe more than 7,000 miles would include routings like SIN-HEL-BCN

Finnair ‘AirLounge’ Business Class from Singapore Europe (e.g. London) via Helsinki is good value at 60,000 Alaska miles, but this will increase by 25% from March 2024.

Finnair recently significantly improved award availability in its Business Class cabins for Avios and partner award redemptions, especially when booking close to a year in advance, so this could be a good way to cash out of Alaska miles.

Award rates using Alaska Miles
Route / Cabin Old Rate New Rate Increase
Singapore – USA
Business
(return)
120,000 170,000 42%

Korean Air awards using Alaska miles are charged at the same rate for a one-way redemption as a return, so it only makes sense to redeem a round-trip itinerary.

This will no longer be the case from March 2024, with one-way award pricing kicking in, but the hike in award rate between Singapore and the USA to 85,000 miles each way decimates the “sweet spot” at the same time.

As you can see from the award charts, for both Asia and Europe there is a significant jump in Alaska’s award rates between the lowest distance band of less than 1,500 miles and the next band above that, come March 2024.

That will open up Economy Class awards for 7,500 Alaska miles and Business Class awards for 15,000 Alaska miles, which could be good value if you can maximise an itinerary towards the upper end of the distance boundary.

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For example, a Finnair flight from Helsinki to London lasting upwards of 3 hours 20 minutes uses the carrier’s latest Airbus A350 with the new long-haul ‘AirLounge’ Business Class seats falls into this zone.

Finnair’s new ‘AirLounge’ Business Class. (Photo: Finnair)

Currently priced at 20,000 Alaska miles, this will drop to 15,000 Alaska miles from March 2024.

In Economy Class, a 3.5-hour Helsinki – Nice flight will be priced at 7,500 Alaska miles instead of 12,500 Alaska miles from March 2024.

Within Asia-Pacific, if Cathay Pacific restarts its daily “fifth freedom” Singapore – Bangkok flight (loaded in GDS from 31st March 2024, but with availability zeroed out at this stage), one-way Economy awards will price at 7,500 Alaska miles with Business Class at 15,000 Alaska miles.

If and when Cathay Pacific reinstates its Singapore – Bangkok “fifth freedom” route, awards are reasonable under Alaska’s new rates from March 2024. (Photo: Kevin Bosc)

Domestic Japan flights with JAL will also decrease from 12,500 miles in Economy and 30,000 miles in Business to 7,500 miles and 15,000 miles respectively, as will the carrier’s shorter international flights like Tokyo to Seoul.

Back in July, Alaska Mileage Plan added Starlux as an award redemption partner, and though we didn’t know it at the time, it actually revealed parts of this upcoming distance-based award chart in the process.

Short-haul Starlux awards using Alaska miles
(one-way, starting from)

Route Travel Class
Economy Premium Business
Intra-Asia
(short)
7,500 10,000 15,000
Intra-Asia
(medium)
25,000 32,500 50,000
Intra Asia
(long)
30,000 40,000 60,000

These zones and rates are in fact the 1 -1,500 mile, 1,501 – 3,000 mile and 3,001 – 5,000 mile ones all Alaska partners will be using on intra-Asia routes from March 2024.

That does mean shorter one-sector Starlux flights, or two-sector itineraries via Taipei with a total distance of 1,500 miles or less, will continue to price at 7,500 Alaska miles in Economy Class and 15,000 Alaska miles in Business Class.

For example:

  • Da Nang to Taipei
  • Hanoi to Taipei
  • Ho Chi Minh to Taipei
  • Taipei to Tokyo Narita
  • Macau to Okinawa via TPE
  • Manila to Okinawa via TPE

Unfortunately these won’t help the majority of our readers too much – the use cases are quite limited.

Starlux’s long-haul flights to the USA will also retain their original rates (i.e. they always priced under the “new” chart), but these aren’t too attractive if you’re starting or ending your journey in Singapore, with 85,000 miles needed one-way in Business Class.

This will match with Cathay Pacific and JAL rates on Singapore – USA flights in Business Class from March 2024.



 


 

Summary

Practically all of the “sweet spots” in the Alaska Mileage Plan programme for Singapore and Asia-Pacific members are being decimated in March 2024, by the long-expected introduction of a harmonised award chart for partner award bookings.

This follows a no-notice devaluation of Japan Airlines awards using the programme back in March this year, doubling redemption rates in many cases. That had already significantly limited the benefits of holding Alaska miles in this region.

The latest news gives members around three months to lock in awards at current rates, but after that the value in this programme becomes extremely limited, primarily to some short routings of less than 1,500 miles in Asia-Pacific and Europe.

Unfortunately some of the best options for cashing out of Alaska miles – via a Cathay Pacific award – are practically unavailable to partners at the time of writing. Let’s hope that situation improves between now and March.

For now, look at options like Finnair and Qantas for the best ways to cash out.

(Cover Photo: Alaska Air)

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