Etihad Guest has revealed the details of some major program updates, with some changes kicking in effective immediately, and others kicking in as of June 2024. These updates are a mixed bag, both when it comes to elite status and redeeming miles.
In this post:
Etihad Guest elite status program changes
Etihad Guest will be making updates to its elite status program as of June 2024. Admittedly this only impacts those who want to earn elite status with the program, and not those who are just casually engaged in earning and redeeming Etihad Guest miles. Here’s a high-level look at what’s changing:
- Etihad Guest will eliminate Tier Segments as a way of qualifying for elite status; instead, Tier Miles will be the only metric by which one can qualify for status
- Etihad Guest will adjust how Tier Miles are earned; they’ll no longer exclusively be based on distance and class of service flown, but rather fare class will also factor into this
- Etihad Guest is introducing a new Diamond elite tier, above Platinum, which will require spending $150,000 on the airline in a year; the perks associated with this haven’t yet been revealed
- Etihad Guest Diamond and Platinum elite tier members will be able to select their own frequent flyer account number; this reflects the prestige associated with having a low license plate number in the UAE
- Etihad Guest will introduce Custom Benefits, whereby elite members can select customized perks as they earn status; Silver members will be able to choose two perks, Gold members will be able to choose four perks, Platinum members will be able to choose five perks, and Diamond members will be able to choose nine perks
- Etihad Guest will introduce Beyond Benefits, for those Gold and Platinum members who over qualify for their elite tier, but don’t quite reach the next tier
Etihad Guest award redemption changes
Etihad Guest is making some significant updates when it comes to redeeming miles, and these changes are very much a mixed bag:
- As of June 2024, Etihad Guest will introduce a stricter new mileage expiration policy, whereby miles can only be extended beyond 18 months in conjunction with a flight
- Effective immediately, Etihad Guest has introduced outrageously high new award cancelation fees, whereby you’ll pay 25-75% of your mileage cost if you need to cancel
- Effective immediately, Etihad Guest has adjusted its GuestSeat (saver) award pricing, and the cost of many redemptions has decreased considerably, including in premium cabins
So, what kind of award pricing changes are we seeing? Just to give some examples (all prices are one-way):
- An Abu Dhabi to New York first class award has decreased in cost from 220,000 miles to 160,000 miles
- An Abu Dhabi to London first class award has decreased in cost from 140,000 miles to 120,000 miles
- An Abu Dhabi to Male business class award has decreased in cost from 45,000 miles to 35,000 miles
Etihad Guest awards previously followed an award chart. It seems that Etihad Guest hasn’t changed that award chart, but rather has just lowered redemption rates in some markets to be more attractive.
My take on these Etihad Guest changes
Etihad is a pleasure to fly with, and the airline has improved very nicely in recent years, with new aircraft and a great premium experience, in both first class and business class. On top of that, Etihad’s hub at Abu Dhabi Airport is a game changer for the airline.
Historically I’ve felt like Etihad Guest had a lot of potential to improve, as the program didn’t offer all that much value to members, in terms of incentivizing engagement in the program, elite recognition, and mileage redemption opportunities. With that in mind, I have mixed feelings about these changes.
When it comes to the Etihad Guest elite program, I’m happy to see that the program is making some updates. There’s some cool stuff here that should help incentivize incremental business, though we’ll have to reserve our judgment until all the details are announced. I’m particularly curious to see what perks are associated with the Etihad Guest Diamond tier, as that might just be the most costly published elite tier in the world to earn. I can’t help but wonder how many people are actually spending $150K per year on Etihad?!
Then the Etihad Guest award redemption changes are a mixed bag. The new award cancelation fees are incredibly restrictive, and make me not even want to redeem Etihad Guest miles, because the cost to cancel a ticket is just so high. For that matter, more members might find their Etihad Guest mileage balance expired, given the stricter cancelation policy.
However, it is nice to see that Etihad Guest has lowered first class and business class redemption rates in many markets, and in some cases the price reduction is considerable. For example, Abu Dhabi to New York first class awards being reduced from 220,000 miles to 160,000 miles is significant, though you’re still on the hook for high fees and a strict cancelation policy. It’s a step in the right direction, though…
Bottom line
Etihad Guest is undergoing some major changes in 2024. The elite status program will be overhauled in June 2024, while we’ve already seen some changes to mileage redemptions implemented. These changes are a mixed bag, with some positives, and also some major negatives.
What do you make about these Etihad Guest changes, based on what we know so far?
The mileage reductions are very welcome, however the real issue this that these specific, low "Etihad Guest" rates are almost impossible to find and book unless you go 10-12 months ahead, which is for me quite impractical.. Not sure if i missed some trick on this (looking directly via Etihad.com)..
The reduction in redemption rates is significant, especially in first class to JFK.
Even with the changes, the rates are ridiculous. Even emirates has better redemption rates. Etihad's program with the cancellation and expiration policy is truly a joke stay away at all cost!
It actually does not. Seems like the new EY rates are all better than EK.
Ben, the 120k F ticket to London is only on the 787 services. No change on the A380.
All in all, EY has done quite well. The award redemption reductions are quite nice.
John, I don't see it. I see almost all areas of premium going down by 30%. Amazing to see the changes.
Redemption rates are going *up* from 110K to 120K for AUH to ORD in business. I'm skeptical that redemption rates going down in many markets, although I hope I'm wrong.
Don't know what the big deal around cancelation is. These are significant improvements to the program.
For people like us who are loyal EYG, our redemption rates on premium travel has gone down 30%. On top of that, they seem to have made changes to their availability as I see a lot more seats now available closer to departure. So, instead of holding bookings, they are saying, for those planning, get your ticket cheaper. And...
Don't know what the big deal around cancelation is. These are significant improvements to the program.
For people like us who are loyal EYG, our redemption rates on premium travel has gone down 30%. On top of that, they seem to have made changes to their availability as I see a lot more seats now available closer to departure. So, instead of holding bookings, they are saying, for those planning, get your ticket cheaper. And for those booking late, you will have seats. People losing out are those holding seats just for the sake of them. Makes total sense along with how they are offering partner rewards.
The big one for me personally is the ability as a Gold to book The Residence. It is the first time possible, and 300K for London for the Residence is a very good deal in my opinion.
Great win. Clearly the management has decided to lower First and Business Class redemptions is a better win than holding on to speculative bookers.
Love it. I am impressed that they are reducing miles by 30%. That needs to be a first.
And, Residence can now be booked with miles. That is a huge win.
I don't recall any program having made reduction in miles usage of late, let alone such significant reduction in pricing, and that too in premium cabins.
Hello There!
I think what they are trying to do is reward those people who are loyal to the brand, and the reduction in the seat pricing by 30% is a wonderful way to do this.
I think they figured this is the right direction at the expense...
I don't recall any program having made reduction in miles usage of late, let alone such significant reduction in pricing, and that too in premium cabins.
Hello There!
I think what they are trying to do is reward those people who are loyal to the brand, and the reduction in the seat pricing by 30% is a wonderful way to do this.
I think they figured this is the right direction at the expense of those who are speculatively holding bookings.
For me, these are great and balanced steps for the program, and allows real users to the program more benefits.
Another small detail they added was that Etihad Diamond members can now redeem EY miles for award tickets in the Residence, similar to how AF restricts La Premiere redemptions to their Platinum members
Well ... if they are spending $150K on Etihad, I guess they don't need to redeem miles for the Residence. Equally, the lower first class redemption rates is kind of a gimmick, given that eventually the A380 will be retired (again) and EY will likely drop First class altogether.
Haha. What is your beef? I don't see what you are seeing.
It is for Gold Tiers and above. Not just Diamonds. See here: https://www.etihad.com/en/guest/loyalty-relaunch
Also, the lower First class is actually great. If you read the management team, they say First will expand and not reduce. 380's staying for 7 years more. That is a long time to be bitter :).