Chicago, Illinois — United Airlines is making significant changes to its loyalty program, differentiating between passengers who hold its cobranded credit cards and those who do not. This strategy is poised to incentivize frequent flyers while limiting benefits for casual travelers, particularly affecting mileage earnings and travel rewards.
Starting April 2, the airline will decrease the miles earned by members who lack either elite status or a United credit card. Conversely, cardholders will see a notable increase in the miles they accrue on flights, with the potential to earn up to twice as many miles per dollar compared to non-cardholders. United’s move represents one of the most pronounced initiatives by a U.S. airline to prioritize customers with loyalty credentials.
Under the new structure, cardholders will receive at least a 10% discount on award flights, with deeper discounts reaching up to 15% for Premier status members. This differentiation emphasizes United’s focus on rewarding customer loyalty through its credit card program.
The decline in earning rates for non-cardholders will impact various fare types, including basic economy tickets, whereby passengers without elite status or a United card will no longer earn miles. For those with status or specific cards, the earning rates will be modestly adjusted. Notably, the airline has become the only U.S. carrier to prohibit most basic economy ticket holders from bringing a full-size carry-on unless they meet certain criteria.
United’s Chief Commercial Officer, Andrew Nocella, articulated the airline’s approach by highlighting the value of loyalty. He stated that the best rewards and benefits in the MileagePlus program are linked to credit card ownership, which is essential for maximizing mileage potential.
In tandem with these changes, other airlines, like Delta and American Airlines, have similarly restricted mileage accruals for basic economy fares, indicating a broader trend in the industry. As United moves to strengthen its loyalty program, it acknowledges the challenges of maintaining competitors while enhancing customer engagement.
Travelers are advised to familiarize themselves with the new earning rates and benefits, particularly if they plan to book flights after the cut-off date. The changes could significantly affect non-cardholders’ future travel plans given the diminishing rewards for their loyalty.