This month, it’s been painfully obvious that award points across the board are by and large worth less than they were last year. Unfortunately, American is no exception. We had thought they might have had an outside chance to buck the trend, considering they were among the most valuable last year. After reckoning this month’s hypothetical basket of award redemptions, we’re assigning an ACRV of $0.0135 per American AAdvantage miles. Sadly, our last complete evaluation found these same miles to be worth $0.0196, so essentially, we’re seeing a 31% reduction in value.
|US Domestic Value||$0.0062|
|US Domestic Non-zero Average||0.0083|
|International Non-zero Average||0.0286|
|Overall Non-zero Average||$0.0184|
While American continues to maintain a compelling loyalty program, especially compared to some of it’s global peers, we’re disappointed with the lack of availability. Compared to airlines worldwide, >97% is very good. Compared specifically to it’s legacy carrier peers, it’s lacking a bit. They’re the only one to have availability less than 100%
While not quite as nice looking as United’s, American’s redemption table paints a pretty nice picture. We’re seeing a lot of respectable redemption opportunities with a healthy does of high-value ones. Our best for the month comes from a first class saver award from Dallas to London offered for 85,000 miles plus $5.60 in fees. The lowest price cash alternative was $7026, providing an exceptional redemption value of $0.0826/mile.
As is often the case, the best award opportunities exist for the international traveler. This is evidenced by the fact our average redemption was a whopping 244% higher for routes that cross an ocean. In other words, American is great for the global flyer. Those whom prefer to stay closer to home are better served by accumulating Southwest Rapid Rewards.