American Airlines is making a rewards program change most people will hate

American Airlines

American Airlines is making a major switch to its frequent flyer program. The company will now focus on a revenue-based award system starting in August.

Instead of rewarding passengers for each mile flown, the airline will give miles based on the amount of money spent.

AAdvantage members will earn 5-miles for every dollar spent. Customers can earn up to 11 miles per dollar for “executive platinum” status.

“American Airlines is evolving AAdvantage to continue our tradition of having the best loyalty program in the world by rewarding our most loyal customers with the benefits they value the most,” American Airlines chief marketing officer Andrew Nocella said in a statement.

Both Delta and United switched their loyalty programs over to the revenue-based model in early 2015, a move that didn’t make most customers happy.

Corporate clients paying full price for tickets will benefit from the new scheme. People who have been buying bargain tickets, on the other hand, lose out.

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The new program also stops savvy customers from earning more free trips by creating elaborately-constructed long-distance, low priced routes called mileage runs.

Starting next month the airline will post the estimated frequent flyer miles the new model will generate for each itinerary on its website.

American Airlines is also rolling out new elite status category called Platinum Pro. It will live right between the Platinum and Executive Platinum positions while rewarding 9-miles per dollar spent.

Written by Peter Mondrose

Peter Mondrose

Peter Mondrose is the Editor-In-Chief at BusinessPundit. He received his degree in Economics in 1998 and a second degree in Journalism in 2004. He has served as a financial adviser, market trader, and freelance journalist for the last 11 years. When he's not investigating market conditions and reporting on workplace news, he can be found traveling with his wife, dog, and laptop. He can be reached at