It seems that Iberia is switching over to a revenue-based model on how to earn miles. And it is only going to spread it seems…
Iberia Airbus A330-300 at London Heathrow – Image, Economy Class and Beyond
For those who accumulate miles using Iberia Plus, soon the airline will switch to how you gain miles, with all purchases of part of a ticket counting to your Avios collection total.
According to the airline
At the end of November, Avios will be accumulated for every euro spent, instead of for distance travelled, as is currently the case. Thus, for each euro spent -excluding taxes, fees and charges-, Iberia customers will earn between 5 and 8 Avios, depending on the level of the Iberia Plus card.
This change also includes customers earning Avios when they spend on extra services, such as extra baggage and seat selection, that currently do not earn Avios.
Elite Points, required to level up your card and gain more benefits, will remain unchanged.
How does Iberia spin this?
In a communication to their customers, the following was released – indicating a base level €1 equalling 5 Avios
The earning will vary depending on your status level, as per https://www.iberia.com/es/iberiaplus/get-avios/
- Clásica = €1 = 5 Avios
- Plata = €1 = 6 Avios
- Oro = €1 = 7 Avios
- Platino/Infinita/Infinita Prime = €1 = 8 Avios
In Quotes
Silvia Morán, Director of Customer Commitment said
“This is a fairer and more transparent way of rewarding our loyal customers, which reflects the constant effort we make at Iberia to adapt to their needs, and which makes Iberia Plus one of the most valued loyalty programs in Spain. This change, moreover, is the starting point for many improvements that we are working on and that will soon see the light,”
To Spend, To Earn
For those who were thinking that British Airways would be escaping this fate, think again. According to Iberia, British Airways is studying adopting these changes in its loyalty program later.
Ian Romanis, Head of Sales and Customer Relations Management at British Airways, said:
“ We congratulate our colleagues at Iberia for making this change and look forward to joining them in 2023. We will announce shortly what this change will mean for our programme. Executive Club, which will offer even more opportunities for our members to earn Avios when they fly”.
Unless you spend, your Avios earning power is about to drop – hard
For those who travel for leisure and are used to earning Avios, you are going to find earning Avios a lot harder thanks to this move, where the fixed amounts you’ve used to earn will now vanish and vary.
Whilst the airline might find this “fair”, it is more than likely fair… to the airline’s wallet, rather than your pocket.
We’ve seen revenue-based programmes take a firm grip in the USA, as well as in parts of Europe. It seems that IAG airlines are preparing to join the party on the assumption that the customer likes it…
… or not.
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