British Airways moves to revenue-based Avios earning

How many Avios you earn will depend on how much you spend with BA, rather than how many miles you fly.

By David Flynn, July 19 2023
British Airways moves to revenue-based Avios earning

British Airways will make a sweeping change to the way its frequent flyers earn Avios rewards currency, and it’s bound to be a controversial move.

The Oneworld airline is abandoning the long-standing practice of calculating how many Avios its Executive Club members earn per flight, based on the number of miles they fly.

From 18 October 2023, Avios earning will instead be based on how much their ticket costs, along with additional spending on the likes of upgrades, pre-paid seat selection and excess baggage, at a rate of between six and nine Avios per £1 spent.

Many airlines have made a similar shift from miles-based earning to revenue-based earning, and the happiest of high flyers are those who typically travel in business or first class.

Naturally, passengers who sit further towards the back of the plane and rely on discounted tickets stand to be worse off.

The number of Avios per £1 will be geared according to the traveller’s Tier status in the Executive Club:

  • Blue members will receive 6 Avios per qualifying £1 spent
  • Bronze members will receive 7 Avios per qualifying £1 spent
  • Silver members will receive 8 Avios per qualifying £1 spent
  • Gold members will receive 9 Avios per qualifying £1 spent
What won’t change, BA says, is “the way you spend your Avios or collect Tier Points.” 

An Avios analysis

As a practical example, British Airways’ Kangaroo Route from London to Sydney via Singapore is a trip of 10,672 miles, for which an Executive Club Gold member travelling on a flexible business class ticket which currently costs around £7700 today stands to earn 37,051 Avios.

As of 18 October, the same flight would earn 69,300 Avois – almost twice as many as before – based on that £7700 fare and a 9x Avios multiplier based on the passenger’s Gold status.

However, the Avios earn on shorter trips into Europe – which are more commonly done in economy, especially when top-tier frequent flyers already enjoy status perks such as lounge access and priority boarding – will take a hit.

The same Gold-grade BA frequent flyer making the 1h45m dash between London and Frankfurt would today earn 625 Avios on the lowest-priced economy ticket costing around £50. Under BA’s new revenue-based model, that fare would land just 450 Avios.

While that 175 Avios shortfall – or 350 Avios on a return trip – not going a large amount in itself, you can appreciate how frequent flyers reguarly doing these UK-EU hops stand to lose out in the long run.

Business class travellers on long-range international trips will come out ahead in the Avios overhaul.
Business class travellers on long-range international trips will come out ahead in the Avios overhaul.

The new Avios-earning scheme will ironically be of extra benefit to premium cabin travellers saddled with the ongoing slew of high airfares, while pushing down the Avios haul of anybody who snares a heavily-discounted sale fare, even in business class.

BA describes the Avios-per-pound model as “a more consistent and clearer approach” to earning points which can later be turned into upgrades or free flights.

“This is a simpler and more transparent system offering more opportunities to collect Avios than ever before and rewarding loyalty based on customers’ cash spend,” said Ian Romanis, British Airways’ Director of Retail and Customer Relationship Management.

The same approach was adopted by British Airways' sister airline Iberia in 2022.

British Airways notes that flights marketed by other airline partners – such as Oneworld members including Qatar Airways, which also uses Avios – will continue to collect Avios “based on how far you fly, the cabin you fly in and your Executive Club Tier level.”

BA has posted a more detailed explainer online at britishairways.com/en-gb/executive-club/faqs/collecting-avios-changes.

Aegean Airlines - Miles & Bonus

16 Jul 2019

Total posts 26

Thanks David - that's all clear but I'm wondering how the new policy will impact earning and retaining status in BA Exec Club. Will all Business fares still earn the same tier credits or will this also be impacted based on spend? 

Perhaps questions for another day - but would be good for readers to know in due course when that's released.  

Qantas - Qantas Frequent Flyer

11 Nov 2016

Total posts 42

"What won’t change, BA says, is “the way you spend your Avios or collect Tier Points.” 

Aegean Airlines - Miles & Bonus

16 Jul 2019

Total posts 26

UPDATE 

I see from the Q&A in the link that tier point collection remains unchanged. 

"No, we are changing the way members collect Avios when they fly. There is no change to the way you collect Tier Points or the number of Tier Points needed to reach the Executive Club membership levels".

Qantas - Qantas Frequent Flyer

11 Nov 2016

Total posts 42

How is a system that needs more calculation deemed to be "simpler" ?

05 Mar 2015

Total posts 398

Well, because nobody has any idea of the number of miles between Sydney and London for example, or between almost any two other points on the globe, so they have to look that up, and almost nobody knows about GCMap or similar, and THEN they have to apply Tier bonuses. Sure, most people just use the BA Avios & Tiers calculator, but my point is that it's a lot easier and more obvious for somebody to look at their airfare, which they know right away and up front, look at their Tier which they also know, and then do the maths or just put both numbers into their phone's calculator.

05 Mar 2015

Total posts 398

I have to say, I am in favour of revenue-based systems. I know that makes me the odd one out but I don't see why somebody who pays the higher fare for business or first or even premium economy shouldn't be earning a LOT more points and be recognised by the airline's loyalty program for their spend, compared to people on discount or sale fares in economy.

Points which use 'miles flown' as their baseline, and then a status or tier bonus of sorts, don't come close to properly rewarding the real loyalty to a business of people who spend big on the front cabins AND have high status to boot.

Cathay Pacific - Asia Miles

19 Jul 2023

Total posts 1

Airfare goes up (inflation), you pay higher fares and get more Avios. If the award chart stays the same, the reward you get will increase for taking the same flight as time goes by. Hence expect regular avios devaluation in the future.

19 Jul 2023

Total posts 1

Far be it from me to question your maths, but I think you have got the Avios comparison between the existing and the new systems a little wrong in relation to the Kangaroo route example you published. 

A Gold member travelling under the existing system on a flexible fare of £7700 would receive over 37000 Avios each way, so a total of over 74000 (350% of base mileage each way).

Under the new system he or she would receive 7700 minus government taxes etc (say £400) x9. So 7300 x 9 = 65700.

So, far from being better off, this loyal Gold member with an expensive ticket is in fact worse off. I wonder if you think a correction might be appropriate as we Gold members are mightily displeased with this change from BA?

Many thanks. 


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