LufthansaHON
Topic Author
Posts: 28
Joined: Mon Feb 06, 2012 4:15 pm

Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Tue Mar 20, 2012 12:08 pm

Lufthansa has decided to drastically devaluate the Miles & More Program, especially for passengers buying intercontinental discounted business class fares. Changes will happen as of 01SEPT2012, some of them even as early as 15JUN2012. LH's new slogan "Nonstop you!" is like a kick in the butt with these new changes...!


Adjustment to the qualification rule for HON Circle Members:
• In future HON Circle miles needed to achieve or renew HON Circle status can be earned solely on flights in First and Business Class.
• With effect from 1 September 2012, status and award miles will still be credited for Economy Class flights, but not HON Circle miles.

Change to the booking guarantee in Business Class for HON Circle Members:
• Effective from 1 September 2012, the HON Circle booking guarantee for Business Class will only apply in the highest booking class on each airline. On Austrian Airlines, Brussels Airlines, Lufthansa and SWISS, this is booking class J; on our airline partners Adria Airways, Croatia Airlines and LOT Polish Airlines, it is booking class C.
• The booking guarantee for Economy Class flights in booking class Y remains unchanged.

New rule for earning miles in Business booking class Z:
In future the miles earned in Business Class will be more closely aligned to the value of the ticket, as is already the case in Economy Class. Therefore the mileage credit in the lower-priced Business booking class Z is being amended for flights from 1 September as follows:
• 1,000 award, status and HON Circle miles on domestic flights (previously 1,500 miles)
• 1,250 miles on continental flights (previously 2,000 miles)
• 150% of the distance miles on intercontinental flights (previously 200%)

Introduction of the new Business booking class P:
The miles credited in the new, lowest-priced Business booking class P (exclusively for promotions) will be set as follows on its introduction in March:
• 500 award, status and HON Circle miles on domestic flights
• 750 miles on continental flights
• 100% of the distance miles on intercontinental flights
These mileage levels will also apply to Austrian Airlines flights with effect from 16 May 2012 and to SWISS flights with effect from 1 September 2012.

Upgrade awards from Business Class no longer available in booking classes Z and P:
• Upgrade awards from Business booking class Z to First Class will no longer be available on Lufthansa-operated flights effective from 1 September 2012. The same applies to the new Business booking class P on Lufthansa flights with immediate effect.
• On SWISS-operated flights, upgrade awards to First Class from Business booking classes Z and P will continue to be available. There will be an additional surcharge of 20,000 miles (currently: 15,000 miles) for these upgrades with effect from 1 September 2012.

In addition to these amendments, other changes to the Miles & More programme are as follows:
• Expansion of the one-way flight award offer: from 1 September 2012, one-way flight awards will be available to book on all Miles & More airline partners. For these, 50% of the miles for a regular flight award will be required. Also new: one-way flight awards will be bookable online at Miles & More - Miles & More | Europe's leading frequent flyer programme. This applies to flights on the following airlines: Adria Airways, Austrian Airlines, Brussels Airlines, Croatia Airlines, Condor, LOT Polish Airlines, Lufthansa and SWISS.
• Lowering of the Senator qualification threshold in Germany: the qualification threshold for customers living in Germany will be reduced from 130,000 miles to 100,000 miles within a calendar year. The mileage threshold in Germany will therefore correspond to the worldwide qualification requirement.
• Incentivisation of frequent-flying Senators: on reaching 300,000 HON Circle miles in the calendar years 2011 and 2012, Senators will receive two eVouchers for upgrades to the next highest travel class.

Provided no other statements are made, the changes mentioned apply to flights with Lufthansa and the fully-integrated Miles & More partner airlines (Adria Airways, Air Dolomiti, Austrian Airlines, Brussels Airlines, Croatia Airlines, LOT Polish Airlines, Luxair and SWISS).

[Edited 2012-03-20 05:09:34]
 
smbukas
Posts: 289
Joined: Tue Feb 17, 2009 9:17 am

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Tue Mar 20, 2012 1:07 pm

I do not call this "Drastic Changes". I only see well known fact that Lufthansa now have to much HON Circle Members as they can serve.
Reduce of qualification level for Germany passengers may significantly increase number of Senators so they can have lounge capacity problems (My personal opinion, Senator lounges, especially in FRA is overcrowded any time).
These changes may have an affect for some passengers but this is not "drastic". From the bright side I see that LH is introducing a new business class fare level which might result more promo fares on business class.
Another bright side I could see is additional motivation for senators. I am a very frequent economy class passenger on Star Alliance (and especially LH). Usually I achieve Senator status very easy, but the next step to achieve HON Circle level is way to for from me.

Just a few insights from economy class traveller.
 
LufthansaHON
Topic Author
Posts: 28
Joined: Mon Feb 06, 2012 4:15 pm

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Tue Mar 20, 2012 7:32 pm

I have to disagree, I think the changes are indeed drastic, and for all member levels, not just HON's.
Besides status miles, also the accrual of award miles has been reduced in booking class P and Z, effectively making these tickets less attractive and reducing the overall value for many business travelers.
 
SR4ever
Posts: 388
Joined: Sat Mar 20, 2010 6:19 pm

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Wed Mar 21, 2012 6:37 pm

Frankly, I just can't believe it...

I expected to recover my SEN-status this year, but seems out of reach now.


One the one hand, it's good too see a P class on LH European flights, but how discounted will it be from Z ?

More worrying is the fate of the P Class on LX, which will be a huge disincentive on travelling Business on European flights, especially on the shortest ones.

And while I am at it, I have just checked current availabilities, there are NO MORE Business Saver (P) fares from LUX (but still from BRU, Belgium and Luxemburg being 1 single region at LX).

Feeling like in a nightmare, any escape available?
 
vfw614
Posts: 3168
Joined: Mon Dec 10, 2001 12:34 am

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Wed Mar 21, 2012 7:37 pm

Well, looks like a straightforward business decision to me. Obviously Lufthansa has analyzed the situation and come to the conclusion that that they not need to make it as easy to qualify as in the past. Why should they waste money on frequent flyers they do not need to keep the business anyway? Probably has to do with the pathetic competition tjey have from oneworld and Skyteam and the limited risk that droves of frequent flyers will desert them..
 
C010T3
Posts: 1615
Joined: Wed Jul 19, 2006 5:48 am

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Wed Mar 21, 2012 7:49 pm

Well, M&M is my secondary FFP. I was thinking about making it my primary... I'm definitely scrapping that...
 
SR4ever
Posts: 388
Joined: Sat Mar 20, 2010 6:19 pm

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Wed Mar 21, 2012 8:11 pm

Quoting vfw614 (Reply 4):
Why should they waste money on frequent flyers they do not need to keep the business anyway?

From a commercial point of view, cherishing your loyal customer base is all but nonsense, it is basic trading common sense.

Deutsche Bahn tried to introduce a no-so-transparent, unflexible fare system that was also punitive to former BahnCard50 holders in December 2002, and it led to an infamous retreat some 9 months thereafter. The loyal customer base had been too mistreated, no matter how yields had actually been down as a result of some new lower booking classes.

Obviously, LH forgot about that precedent on German rails.

I am highly loyal to Star (LG, LX and TK primarily, LH and TP to a lesser extend, OS, SK, LO, MS, TG occasionally), and had been heardly flying OW for ages, and limited my SkyTeam exposure, as well as my Ryanair travel at HHN and even more at CRL.

To me, it is really a major blow, especially if LX does not re-instate Business Savers from LUX.

Quoting vfw614 (Reply 4):
Probably has to do with the pathetic competition tjey have from oneworld and Skyteam and the limited risk that droves of frequent flyers will desert them..

Never say never. AF is in big trouble, but it will soon revamp its J product (including on European flights), and will operate from a much better airport facility at CDG by the end of this year (with easier transit). SU could also be an alternative, not only for Russia, but also for the Far East.

OW remains too weak on the Continent, but who knows what may happen with EY committed into AB...


And as I fly to Asia and Middle East, EY, QR and perhaps WY (not EK) may eventually feel way more appealling than remaining loyal to Miles and More, even though TK may retain my loyalty...

Where is the point for LH investing in a brand new J cabin (although rather basic compared to LX and SN), extending and refurbishing lounges, if you alienate your frequent premium travellers?
 
vfw614
Posts: 3168
Joined: Mon Dec 10, 2001 12:34 am

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Wed Mar 21, 2012 8:49 pm

Well, it is not that they scrap benefits altogether. They are just reducing them, and that certainly to a level that gives them confidence that FF will moan, but not move (in many markets the alternative are limited anyway). The problem simply is that Star is getting stronger and stronger, so premium pax have less leverage.
 
SR4ever
Posts: 388
Joined: Sat Mar 20, 2010 6:19 pm

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Sun Apr 01, 2012 11:20 pm

Quoting LufthansaHON (Thread starter):
New rule for earning miles in Business booking class Z:
In future the miles earned in Business Class will be more closely aligned to the value of the ticket, as is already the case in Economy Class. Therefore the mileage credit in the lower-priced Business booking class Z is being amended for flights from 1 September as follows:
• 1,000 award, status and HON Circle miles on domestic flights (previously 1,500 miles)
• 1,250 miles on continental flights (previously 2,000 miles)
• 150% of the distance miles on intercontinental flights (previously 200%)

Introduction of the new Business booking class P:
The miles credited in the new, lowest-priced Business booking class P (exclusively for promotions) will be set as follows on its introduction in March:
• 500 award, status and HON Circle miles on domestic flights
• 750 miles on continental flights
• 100% of the distance miles on intercontinental flights
These mileage levels will also apply to Austrian Airlines flights with effect from 16 May 2012 and to SWISS flights with effect from 1 September 2012.

If I book a flight in the coming weeks in Z (OS, LH, LX, SN) or in P (LX) for November and December 2012, which accrual rates will apply? The older or the "improved"?

M&M is so evasive abot this...
 
Viscount724
Posts: 18974
Joined: Thu Oct 12, 2006 7:32 pm

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Sun Apr 01, 2012 11:36 pm

Where are the new rules quoted in the original post found in the M&M website? I can't seem to find that information.
 
SR4ever
Posts: 388
Joined: Sat Mar 20, 2010 6:19 pm

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Mon Apr 02, 2012 6:20 am

Quoting Viscount724 (Reply 9):
Where are the new rules quoted in the original post found in the M&M website? I can't seem to find that information.

You have to log into your personal M&M Lounge....
 
MadameConcorde
Posts: 9201
Joined: Fri Feb 23, 2007 5:08 pm

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Mon Apr 02, 2012 6:29 am

This is the end of "HON lite".

No more earning HON status flying in whY.

No more visits to the Frankfurt First Class Terminal.

    
There was a better way to fly it was called Concorde
 
RyanairGuru
Posts: 6554
Joined: Wed Nov 01, 2006 3:59 am

RE: Drastic Changes In Miles&More (LH/LX/OS) By 09/12

Mon Apr 02, 2012 6:42 am

Quoting vfw614 (Reply 7):
Well, it is not that they scrap benefits altogether. They are just reducing them, and that certainly to a level that gives them confidence that FF will moan, but not move (in many markets the alternative are limited anyway). The problem simply is that Star is getting stronger and stronger, so premium pax have less leverage.

Have a look what Skywards members did after EK introduced the changes last year. Especially frequent economy travelers simply left. Admittedly EK haven't had to retreat since they have enough momentum to keep moving forward, but it sure as hell ****** off some of their top tier flyers. Maybe they throught since their network was so much stronger than EY and QR's that they needn't worry. They were wrong.
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