Value of companion voucher if you have red tier status

[AFKAE]

I was planning a different trip which I’m probably not going to do now, but it led me into looking at the voucher value.

My conclusion with a few caveats was that it was worth nothing £0.

The reasoning I went through was:

Picked an Upper Class return to the caribbean in September (off peak) next year.

With Virgin 57,500 miles per person per leg. With the 50% discount on one leg (red tier status) that adds up to 172,500 miles. Surcharges etc are £1,080 outbound and EC1086.80 inbound. I converted that to £326.

So Virgin total 162,500 miles and £1,406.

Then looked at KLM to the carribean using Virgin points-round trip 194,000 miles and €1,238. I took the extra miles on KLM at the non sale price of 1.5p which means 194,000-172,500 x 1.5p =£322. Converted the Euros at 1.15 which gives £1,076.

So KLM total cost equivalent 162,500 miles and £1,398.

This makes KLM cheaper by £8 implying zero value for the companion voucher.

Caveats:
This is only correct for red tier
This is only a sample of 1 destination
This is Upper Class only (not tried the calcs on Premium or Economy.
This does not take into account the cost of getting to AMS. If you are SE England resident then this is all oncost. If you live elsewhere then the cost of getting to AMS is offset by the cost of getting to LHR (driving/parking/train fares/lift from friends or rellies etc etc.

Is there anything else I’ve missed or wrongly interpreted?

[MF176]

I have recently booked a redemption to SEA, using the voucher as an upgrade voucher for a red member in Upper. Cash cost £3,100, redemption cost £1,080 and 75k points. Bargain.

[ryaneberry]

MF176 wrote:

I have recently booked a redemption to SEA, using the voucher as an upgrade voucher for a red member in Upper. Cash cost £3,100, redemption cost £1,080 and 75k points. Bargain.

Similar here, flying solo LHR to SFO, PE was £65,000 miles, upgraded with voucher to UC and paid taxes of £1,001. For a return I think that’s a bargain (£3,997 cash price).

Voucher saved me 80,000 miles vs if I had booked just with miles (which is highly unlikely)

[ekposh]

I think it’s a bit simplistic. You’re not comparing apples with apples.

I’d agree though that in this case, you’d be getting poor value if you’re willing to travel to AMS but that’s not a reflection on the value of the voucher I don’t think.