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Avios bits: Club Iberia Plus renamed, tier points, NatWest BA cashback

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Three bits of BA and Avios related news:

Club Iberia Plus renamed after eight weeks

Of all the things I thought we may see backsliding on after the 1st April IAG loyalty changes, the one I didn’t expect was a rebranding at Iberia.

However, the powers that be have decided that Club Iberia Plus – the new name for Iberia Plus – made no sense.

The scheme has now been rebranded as ‘Iberia Club’.

Given how long rebrandings tend to take, this is quite an impressive turnaround given that its only eight weeks since Club Iberia Plus launched.

It’s goodbye to this:

Club Iberia Plus renamed

and hello to:

Club Iberia Plus renamed

The new British Airways tier point system in action

I saw this image on LinkedIn yesterday and thought it was worth sharing, for anyone who hasn’t taken a British Airways long haul economy flight recently.

This is from a start-up founder who travels between London and New York regularly – but only in discounted economy, because his company is still in start-up mode.

His trips used to get him to Gold, hence the Gold tint to the statement.

This is what he got from his last trip (click to enlarge):

British Airways tier points

Yes, 24 Avios and 3 tier points for this one way flight.

This means that he will need to fly between Heathrow and JFK over 3,300 times, return, this year in order to earn 20,000 tier points to retain his Gold card. That’s tricky.

You can argue whether BA should care if someone taking 12-15 return flights to New York in economy each year is worth keeping as a customer, but this particular one is – unsurprisingly – leaving in search of status elsewhere.

£100 British Airways cashback for NatWest cardholders

£100 British Airways cashback for NatWest cardholders

NatWest has been running a British Airways cashback deal for its Mastercard credit card holders (debit cards seem to be accepted too) for the last few weeks, although we’ve only just seen it.

There are two offers:

  • you will earn £100 cashback on £500 of BA flight spend to ‘a non-UK or EU destination’, booked by 30th June
  • you will receive an additional 5% cashback (up to £100) on ANY OVERSEAS SPEND in ‘a non-UK or EU destination’ by 31st October

There are a couple of quirks here:

  • the website is talking complete nonsense when it says ‘you get £100 cashback on flight bookings to non-EU destinations’. There are PLENTY of non-EU destinations excluded in the small print if you dig deep enough, for example Norway and Switzerland. Mastercard is going to be getting a lot of complaints ….
  • you qualify for the 5% cashback on general foreign spending even if you don’t trigger the British Airways element of the cashback

You can find out more on the Priceless website here.

Thanks to Zakir for this.

Comments (137)

  • Drdan says:

    Registered my Natwest DEBIT MasterCard.

    • Martin says:

      Thought i was onto a winner..
      However both mine are visa cards..

    • Robman says:

      I wonder whether debit cards will work. My registration has been accepted too but the T&Cs are pretty clear that you need to book on a NW Mastercard credit card.

  • Jonathan says:

    Funny thing, I remember seeing a TikTok video not too long ago about someone saying ‘how to get BA Golf status by spending just £2500 on flights’ I then posted in the comments this’s almost certainly the main reason this change came about, someone who spends literally pennies (in terms of the amount of profit BA makes) with the airline should get such a high status level.

    It’d be interesting to see BA’s booking systems now and see how well the favoured tier point run routes are selling these days in deep discount business class booking codes !

    • Paul says:

      You might be surprised! Tier point runs still a thing and emerald status for £4500 from standing start is entirely possible!

    • BA Flyer IHG Stayer says:

      The number of people getting gold off a £2.5k spend would be infinitesimally small in the totality of exec club members.

      And again in the scheme of things the numbers doing TP runs would also be very small.

      • BBbetter says:

        You’d be surprised. Most of those whining on the forums were BAH golds.

        • John33 says:

          By definition, all these hundreds of commentators on this site who moan and groan about these British Airways changes are people who knew how to game the system and have now had the privilege taps turned off so they’re upset as hell

    • Lady London says:

      As much as £2500 ?
      Amateur.

  • Paul says:

    I don’t know if the post was accurate but the idea that a LHR JFK Y ticket cost £2.63 is mental and demonstrates the stupidity of current fares and the rip off nature of BA surcharges. They should be banned!

    The other travesty is BA’s deliberate and ongoing efforts to frustrate customers who wish to use their earned benefits while crediting to a new programme. Between that and their repeated denial of missing tier point claims, in my case Club Europe flights to the AY programme, is pretty shocking. Any residual trust I had in BA has now gone.

    • JDB says:

      @Paul – as referenced by @Nick below, your comment suggests that you don’t understand what surcharges are or how they work within fare calculations within the framework of published fares.

      • Ken says:

        You can fully understand what surcharges are but still scratch your head at why BA charge £260 ‘carrier surcharges’ on a £520 transatlantic flight (on top of APD and 8 separate charges).
        The vast majority of this are normal business operational costs.

        • Nick says:

          Surcharges are to clobber corporates, as simple as that. As a retail customer they’re irrelevant. If BA wants to charge you £10 more they can put it on either fare or YQ, you’ll pay the same. If they want to charge a corporate, a higher fare will take up to 2 years to take effect, but YQ is payable immediately. But surcharges need to be transparent and apply equally to all channels – that’s the only reason you’ve heard of them.

          • Paul says:

            Well in one respect this is nonsense. There is absolutely no need to charge these fees on Avios redemptions flights. Those flights are paid for by the Avios you earned by paying the fare including surcharges. Several countries have banned them and if we had a consumer protection law that actually protected consumers we could to but this country is built on corporations rinsing consumers at every possible turn. Moreover there will be few corporates who use Avios to fly staff around in business class unless they have access to special secret availability the rest of us can simply dream of.

  • Nick says:

    It’s ridiculous isn’t it… you earn 300 Avios for spending £30 at Boots, but for the core activity of flying (and on a flagship route to New York as well!) a Gold card holder can earn just 24. I do love BA/IAG, but some decisions they make are idiotic. And you can see why HMRC think they have a case against AGL.

    That said, I do wonder if this booking had been changed somewhere along the line and something happened to remove YQ/YR in the database. There are O fares filed now at £6 each way, but with surcharges the total award should be higher.

    Fun fact, at the height of Norwegian-mania (2016-7ish) BA actually sold negative fares for a while, -£50 each way iirc. A quirk of how legacy airline charging works meant that was the only way to compete.

    • Redhand says:

      How does one get 300 Avios for spending £30 at Boots?

      • BlairWaldorfSalad says:

        A shopping portal?

      • Gustavo says:

        Yeah not sure how they came up with that figure of 10 avios or so per £. I regularly shop at Boots with the avios portal and have seen occasionally 5-8 avios per £, with the top 6-8 not being very common. Most of the the time it’s 2-4 avios per £. Even with a ba amex or barclaycard 1.5 avios per £ you still don’t get 300 for a £30 spend.

        • Nick says:

          The most recent promo had 10x points at Boots, that’s why I picked it.

          • Gustavo says:

            Fair enough. I must’ve missed it. I just purchased from boots and the rate was 5 avios per £.

  • Stef says:

    I still hold BA Gold status until next April, but I recently accepted Lufthansa’s status match offer and am now Gold with Star Alliance.

    Previously, I flew BA multiple times a month—always in Business or Premium Economy—consistently earning between 2,500 and 3,500 Tier Points annually under the old system.

    However, I haven’t taken a single BA flight since April. Instead, I’ve flown exclusively with Star Alliance carriers and have been very pleasantly surprised by the overall experience: excellent seating, attentive staff, quality lounges, and a much more rewarding system. I’m already well on track to requalify for Star Alliance Gold.

    Unless BA significantly reconsiders its loyalty structure, it’s goodbye from me.

    • BlairWaldorfSalad says:

      What’s your home airport Stef? If I still lived in MAN catchment area, a Star Gold status match would be great. But I’ve got used to the ease of the F Wing at LHR T5. By comparison T2 fast track is awful, with overflow crowds from main security sent into fast track. And as for Sky Team Elite Plus at LHR T4….suffers badly from the nature of the T4 airlines being carriers of the rarely-flown who haven’t got any security queue experience

  • Ben says:

    The Iberia email announcing the name change is terrible.

    “ Do you want to know how it feels to be part of a special Club?”, er, no thanks.

  • RC says:

    Clearly lots of McKinsey and BA stooges on here today, desperate to defend yet another of their firms snafus. Such a long list, and this one will add to it.

    • Erico1875 says:

      You don’t need to be a BA stooge to understand that the old scheme was too easy to earn status. If it’s costing too much giving out the elite level benefits, then all those who have spat out the dummy and moved their business elsewhere where will unlikely be missed.
      I mean £2.63 eligible fare and the guy gets lounge access, free seats selection etc etc.

      • The real Swiss Tony says:

        This is an interesting point. What’s the marginal cost of him having lounge access – £10. What’s the marginal cost of letting him assign a seat in economy – 1p. What do BA think they can sell that for? £50 and £100?

        But if the passenger walks away, BA are never seeing the £150 in ancillary sales the accountants said they were giving away. Instead they are left spending more than the £2.63 they claim to make marketing that same seat to a new customer.

        So it was too easy to earn status but certainly kept passengers sticky. Maybe it’s the JVs and Alliances that have been the undoing here?

        • memesweeper says:

          The marginal cost of a visit to a BA branded/operated lounge is probably less than a tenner, and let’s not forget BA need the lounges for Business/First ticket holders. A microscope will be required to discover the lounge cost savings from reduced status numbers in Heathrow and JFK.

          For third party or partner lounge visits status holders will cost BA “real” money.

          • Redhand says:

            Maybe hfp could do an article on the worst BA lounges. Is there anywhere worse than ATL?

      • memesweeper says:

        Too easy to earn status with cunningly assembled tier point runs? Perhaps

        But the example traveller is a genuine frequent flyer. Multiple transatlantic trips in economy isn’t fun at all and the perks of seat selection, fast track and lounge are extremely welcome. If BA doesn’t make any money on these tickets, as some have suggested, why on earth are they selling them?

        • Nico says:

          Or is it? Maybe with social media post about cheap status, the mix was changing.
          The worst part was to change with immediate effecr.

        • AJA says:

          @memesweeper We all know that the most profitable cabin is premium economy / WTP. Airlines can potentially economy at a loss and still make a profit on a particular flight if WTP and Club are full. In that case it makes sense to charge a low fare and fill the plane as that’s just additional profit or rather reducing the loss from the economy cabin.

          • memesweeper says:

            if they are reducing the loss then there is something in it for BA. They are not loosing money on selling more seats in economy. Ergo, there should be some margin to provide for status benefits for very frequent economy passengers.

            I get more back per pound spent in Sainsburys or Uber in rewards than I do with BA in economy … and groceries are not a high-margin business.

      • Paul says:

        But you didn’t and many of the BA apologists point out that the number of people doing Tier point run, and rinsing the scheme to get gold for £2500 was infinitesimally small but there were a useful stick with which to beat everyone else.

        Read recently, may even have been on here that Gold in the BA scheme now down to £13,000. Thats a 35% reduction on there headline figure. It’s still madness.

        The other point is that many are using other programmes not necessarily dumping BA.

    • AJA says:

      @RC I’m curious, since you clearly are not a fan of the BAC changes, which loyalty scheme have you switched to?

      • RC says:

        Wife is a prem and an HON so agnostic and no need to switch.
        BA’s offer this year is more expensive than competitors, schedules are worse and product weaker. So Swiss and Lufthansa seeing more of us. Also easyJet for short hops when BA is asking £450 in main cabin.
        As a household we maybe spend £50-90k a year on travel, but despite BA’s arrogance we do look for best value/best product. That isn’t BA since they decimated catering last year, stopped cleaning, and now seem to have willing but cluelessly inexperienced crews who can’t get a meal service done in under 3 hours.

        • Pat says:

          If you’ve found a home with LH Group. Do you admire the consultants who advised LH them to go revenue based on earning miles several years ago? And the same consultants advising them to go revenue based on redemptions from today.

        • AJA says:

          So in summary you personally have no status at all and you are getting the perks via your wife? And you’re complaining about the BAC changes despite claiming you spend £50k to £90k per year. How much of that is airline spend? Sounds like BA’s changes shouldn’t impact you in the slightest. But for that level of spend I’m surprised you aren’t flying in private jets.

          • RC says:

            Higher. The rest is none of your business.
            But it’s the arrogance of the way BA has made changes, the poor communication and total failure to deliver on premium product that has us elsewhere.
            That’s very relevant because BA has become Asda trying to sell like Gucci. That filters down even to the cabin service style which seems increasingly to be ‘you’re lucky to be allowed on board’ rather than ‘welcome on board hospitality ‘.
            BA has a customer culture problem from the top down and it shows in the bac changes, through to that rude ‘customer experience manager’ who seems to have no manners and a thin skin judging by his arrogant grumpiness and incapacity for criticism at GGL/Prem events.

          • memesweeper says:

            “BA has a customer culture problem from the top down”

            100% this

            Some companies are custom experience obsessed, and rarely make changes that customers don’t want.

            BA absolutely does not have this in its DNA. You can see it onboard, in the airport, in the product, on the website…

  • Tim W. says:

    My Natwest Mastercard charges 2.75% foreign transaction fee, which makes the 5% cashback not so attractive!

    • LD27 says:

      NatWest Black account credit card doesn’t charge a foreign currency transaction fee.

    • Yorkie Aid says:

      Where else can you get 2.25% cashback on foreign spend? I’d love to know.

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