British Airways Facing a Backlash, or is it just better than before?
February 24, 2025
It was December 2024 when British Airways' new rewards system was declared, transforming from the “Executive Club” to “The British Airways Club”, effective from April 1, 2025. This revised announcement introduced a revenue-based model for earning Tier Points. In this method, members accumulate 1 Tier Point for every £1 spent on eligible bookings. It includes base fares, seat selection, additional baggage, and Holiday packages. The tier edges have been significantly adjusted. As an example, Bronze status now needs 3500 Tier Points, Silver requires 7500, and Gold demands 20000 Tier Points. After a lot of concerns from frequent flyers, British Airways has reinstated flight count qualification. Now it allows members to achieve based on their number of flights. For example, 25 flights for Bronze and 50 for Silver. Also, members can earn up to 2500 Tier Points through spending on the British Airways American Express Premium Plus Card, and contributing to Sustainable Aviation Fuels will also help in earning Tier Points. All these changes allow customers to spend a well-maintained pathway for loyal travelers to enjoy elite status.
Key Changes to the Loyalty Program of British Airways' New Rewards System
Earning Tier Points
British Airways' new rewards system will be effective from April 1, 2025; here, Members will earn 1 Tier Point £1 spent on eligible bookings. This reward shifts from a distance-based to a spend-based model, aiming to reward customers based on their financial contribution to the airline. For example, a customer buying a £500 flight and adding £50 for seat selection and £30 for extra baggage would earn 580 Tier Points for that transaction. This approach potentially benefits frequent premium class buyers and higher fare classes.
Updated Tier Thresholds
With the announcements of the new reward system, British Airways has recalibrated the Tier Points changes required for elite status. The updated revisions are - Bronze status at 3500 Tier Points. Silver is given at 7500 Tier Points, and Gold at 20,000 Tier Points. This highlights the transition to a spend-based model, setting a new standard for members aiming to achieve or maintain their status. For example, to attain Silver status, a member would need to spend £7,500 on eligible bookings within their Tier Point collection year.
Additional Earning Opportunities
The new reward system offers members alternative avenues to accumulate Tier Points beyond flight-related expenditures. Here, members can earn up to 2500 Tier Points annually by spending on a British Airways American Express Premium Plus Card, providing an incentive for everyday purchases to contribute towards status progression. Also, contributions to SAF will accrue Tier Points, with members earning up to 1000 Tier Points per year.
Flight Count Qualification
British Airways has reinstated the flight count qualification method, which allows members to achieve status based on the number of British Airways-marketed flights taken in a year, regardless of spend. This revision is set at 25 flights for Bronze status and 50 flights for Silver status. For example, a commuter taking bi-weekly flights on short-haul routes could reach Bronze status through this method. This method ensures that loyal customers are recognized, even if their flight spend is lower.
Customer Reactions and Backlash on British Airways New Reward System
British Airways' new rewards system shifted to a spend-based model, which led to significant backlash from economy travelers and frequent short-haul passengers. Frequent flyers argued that the new system favored only high-spending customers. So technically, it is more challenging for budget-conscious travelers to get the benefit of elite status.However, in response to these arguments, British Airways revised the option to qualify for status based on the number of flights taken annually, regardless of spending. It will allow loyal customers to achieve benefits through flight frequency. Simultaneously, a partner airline, Iberia, within the International Airlines Group, offers a more favorable conversion rate in its loyalty program, which allows travelers to achieve status more cost-effectively. This inequality has led some British Airways frequent flyers to consider switching to Iberia’s program to maintain their elite status more economically. British Airways' new rewards system represents a significant shift towards a revenue-based model for earning Tier Points. This change plans to reward customers based on their financial contribution, initially benefiting high-spending passengers. However, the first announcement faced criticism from economy travelers and frequent short-haul flyers. In response, British Airways reinstated flight count qualification. Now he program is allowing members to achieve status based on their flight frequency, regardless of their spending. This adjustment needs to balance the program, acknowledging both the high-spender and loyal customers. The revised system offers additional earning opportunities through co-branded credit card spending and contributions to SAF. Some customers also try alternative loyalty programs, such as Iberia’s, which offer more favorable terms. However, ultimately, the benefits of the new reward system will depend on its ability to cater to a diverse customer base.So, if you are planning a tour this summer, start your booking process now to enjoy all these new advantages of British Airways.