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British Airways increases award travel prices for American Airlines and Alaska Airlines

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British Airways increases award travel prices for American Airlines and Alaska Airlines
Research
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Gary Leff Chief Financial Officer | View from the Wing

British Airways has increased the price of American Airlines and Alaska Airlines award travel by up to 3,000 miles. This change follows a previous price increase implemented seven months ago.

According to One Mile at a Time, flights up to 650 miles now cost 12,000 Avios one-way in economy class, reflecting a 3,750-point increase. Business class on the same routes costs 24,000 Avios, an increase of 7,500 points. For flights between 651 and 1,150 miles, economy class requires 16,000 Avios (a 5,000-point increase), while business class demands 32,000 Avios (an increase of 11,500 points). Flights ranging from 1,151 to 2,000 miles now cost 18,000 Avios in economy (up by 3,500 points) and 40,000 in business (an increase of 11,000 points). Lastly, flights between 2,001 and 3,000 miles have risen to cost travelers 20,000 Avios in economy (a rise of 4,000 points) and business class costs have increased by 8,000 points to total at 50.00.

Historically valued for short-haul travel without fuel surcharges using British Airways' Avios program includes routes such as short-distance flights within the U.S. on Alaska and American Airlines; short-distance travel within Australia on Qantas; and some intra-Asia travel.

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When British Airways introduced distance-based pricing thirteen years ago for its Executive Club partner awards program members experienced substantial value on shorter trips while long-distance premium cabin travel became expensive. Over time this value has diminished; initially shortest flights were priced at just about four thousand five hundred avios but later domestic surcharges were added onto US airline short haul travels.

Currently BA’s redemption prices are variable across different regions globally where shorter trips may still offer value even though many redemptions no longer hold competitive advantage compared with other U.S programs offering domestic travel benefits especially regarding long haul premium cabins’ awards.

BA's frequent flyer program offers ease of point accumulation through their U.S.-based co-branded credit card along with partnerships with most major transferable bank currencies within the United States thus making them ideal for specific redemption rather than general storage of value.

Furthermore BA members can transfer their avios into other affiliated programs such as Iberia Finnair Qatar which may provide additional unique pockets or opportunities holding significant potential value respectively.

Organizations Included in this History
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