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Alaska Airlines is making big changes to its loyalty program. Here’s what travelers should know:

Alaska Airlines is making big changes to its loyalty program. Here’s what travelers should know:

Alaska Airlines is making big changes to its loyalty program.

For many travelers, the Mileage Plan serves as an additional savings account. Regardless of whether the miles earned are used for vacation travel or short-term emergency travel, award availability is important.

On the other hand, chasing miles is a never-ending task. Not just because of the kilometers. Rather, for the exalted “Elite Qualifying Miles” (EQMs), which give travelers the coveted MVP status for bonus miles and first-class upgrades.

It’s all part of the gamification of travel. And what a game it is. Combined with the Alaska Airlines Visa card (from Bank of America), the race for “free” travel and reaching the highest tier is addictive.

The new changes to the program provide more opportunities to earn EQMs on flights to Alaska as well as on partner airlines such as Qantas, American, Japan Air Lines and British Airways.

Starting in January, travelers can earn EQMs on award flights that they can redeem for miles. If you spend 20,000 miles one-way from Anchorage to Honolulu, you’ll also earn 2,780 miles flying on this ticket.

If you fly to Rome via Seattle, Toronto and Dublin (via Alaska Air and Aer Lingus) on January 15, 2025, the award ticket will cost you 55,000 miles and $27. It’s a long, complicated road. But just think of the miles you earn: 7,930 EQM.

Many travelers struggled with the decision to burn their earned miles instead of paying for tickets to advance to the next MVP tier (MVP, Gold, 75,000 or 100,000). This new change defuses this conflict.

To achieve the global reach that international travelers desire, Alaska Airlines partners with many different airlines. Most of Alaska’s partners are part of the oneworld alliance, which was founded by American Airlines. Oneworld partners include many well-known airlines, including Finnair, Cathay Pacific and Iberia. But in addition to these partners, Alaska has earn-and-burn agreements with other airlines, including Condor, Korean Air, LATAM Airlines, Starlux, Singapore Air and Air Tahiti Nui.

Another new airline in the earn and burn partner category: Hawaiian Airlines.

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The big change is that in 2025, all tickets purchased on partner airlines will earn at least 100% EQMs. There are also bonus miles when you travel in Premium Economy, Business Class or First Class.

But there’s a twist.

To receive the maximum credit, your partner airline tickets must be purchased at alaskaair.com. If you book somewhere else, such as on the partner airline’s website, Expedia, Priceline, or a travel agent, you may earn fewer miles.

For example, if you fly with Qatar Air, Royal Air Maroc or American Airlines and book on this airline’s website, you will receive 50% EQM in economy class and 25% in discount economy. The difference between economy and discount economy does not mean that you get a different seat type. Rather, it depends on the ticket price and the “class of service”.

If you would like to book your award tickets, they must all be booked at alaskaair.com.

It’s hard to overstate how important the mileage plan is to Alaska Airlines and its financial health.

In the second quarter of 2024, Bank of America paid Alaska Airlines $430 million. This is due to the partnership between the airline and the bank regarding the Alaska Airlines Visa card. For comparison, Alaska Air reported a profit of $220 million in the same period.

Simply put, without loyalty plans, most airlines would not be profitable. This also includes Alaska Airlines.

In fact, Alaska Air’s mileage plan is a shining star in Alaska Air Group’s overall portfolio. Recently, Alaska proposed pledging its Mileage Plan for up to $1.5 billion. Alaska Air Group formed a new Cayman Islands-based lending company called AS Mileage Plan IP Ltd.

The new loan, backed by continued mileage plan performance, will allow Alaska Airlines to more easily absorb the $900 million in debt it assumed as part of its contract with Hawaiian Airlines.

“Alaska intends to use the proceeds from the intercompany loan to repay certain outstanding indebtedness acquired or assumed as a result of the company’s merger with Hawaiian Airlines,” the company said in a press release last month.

Alaska Airlines must now increase mileage plan revenue, including spending on the Alaska Airlines Visa Card.

For 2024, Alaska Airlines has introduced a plan that allows you to earn EQMs simply by charging your credit card. For every $10,000 charged, cardholders received 4,000 EQMs. (Up to a maximum of 20,000 EQMs. No special registration is required.)

According to Alison Carpenter, Director of Loyalty at Alaska Airlines, the mile spending plan for 2025 will be a little simpler: “The new formula provides one mile for every $3 spent, up to a maximum of 30,000 miles,” said she .

These bonus EQMs are in addition to the ongoing mile-for-dollar Alaska Airlines Visa plan.

Travelers still have questions about Hawaiian Airlines and how the airline fits into Alaska’s mileage plan.

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Currently, Hawaiian still has its own Hawaiian Miles program as well as its own MasterCard co-branded with Barclays Bank.

All Alaska Airlines Elite Class travelers automatically receive the appropriate Elite tier in Hawaii when they fly, whether interisland between Honolulu and Kona or internationally between Honolulu and Australia or New Zealand.

To be safe, I signed up as a Hawaiian Miles member. Some friends got the Hawaiian Mastercard to get the 70,000 bonus miles. There is an annual fee of $99 and travelers must charge at least $2,000 within the first 90 days.

All Hawaiian Air miles can be transferred 1:1 to your Alaska Airlines account.

To get the next generation of Mileage Plan members into the game, Alaska Air has added several “milestones” starting at 10,000 miles. For example, when a traveler reaches 10,000 EQM, they can choose between 750 bonus miles, a free meal, free WiFi, or the opportunity to try MVP for a trip. Milestones are increasingly generous at 30,000, 55,000, 85,000 and 150,000 EQMs.

The tiers remain the same: 20,000 EQM for MVP (oneworld Ruby), 40,000 for MVP Gold (oneworld Sapphire) and 75,000 for MVP Gold 75K (oneworld Emerald).

Carpenter stated that there will be more changes in the future, particularly regarding exclusive experiences or special events.

“This is the first round,” she said. “We’re still trying to find other ways to earn miles besides flying and paying with credit cards.”