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Lufthansa, SWISS and Austrian Airlines switch to dynamic pricing for award flights: a disguised MONSTRE devaluation

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Lufthansa, SWISS and Austrian Airlines switch to dynamic pricing for award flights: a disguised MONSTRE devaluation

It completes the Miles&More revolution that began last year, but a revolution that is also very important for frequent [...]

Lufthansa, SWISS and Austrian Airlines switch to dynamic pricing for award flights: a disguised MONSTRE devaluation
by theflyer
February 25, 2025
  • Swiss
  • Lufthansa
  • Austrian Airlines
  • Star Alliance

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The Miles&More revolution that began last year is completed, a revolution that is also very important, however, for Italian frequent flyers who will have to learn the rules of the M&M loyalty program by 2026.

In this article:

    Starting June 3, 2025, Lufthansa, SWISS, Austrian Airlines, and Lufthansa City will move from a fixed award schedule to a dynamic pricing system for award flights. This means that the number of miles required to redeem an award ticket will no longer be predetermined, but will vary based on various factors such as fare, travel class, route, departure date, and booking date.

    Miles&More devaluation: goodbye flexibility and goodbye monthly Mileage Bargains
    Miles&More devaluation: goodbye flexibility and goodbye monthly Mileage Bargains

    Goodbye fixed table, comes flexible mileage calculation

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    Under the new model, the number of miles required for an Award Flight will be directly related to the cash cost of the ticket. This could lead to greater availability of award seats on some routes, while on the most popular ones the cost in miles could increase significantly. A system that is already being used by Air France KLM and is "ramping up" in the FF world.

    Although the German group tries to sweeten the pot this is for all intents and purposes a really major devaluation also because apparently the fare rules for award tickets will follow those of cash fares. Light, Classic, and Flex for intra-European flights and Light, Basic, Basic Plus, and Flex for intercontinental flights. this means that seat choice and rebooking policies will vary depending on the fare chosen.

    It will also be interesting to see how Mileage Bargain will change., the monthly offerings as they have been made to date will disappear and Will be replaced with other promotions.

    Award Flight most expensive in Business and First Class

    While some routes in Economy may become more affordable, there is expected to be a significant increase in the number of miles required for higher travel classes. Specifically:

    • Business Class: increase in the number of miles required for long-haul flights, with increases varying by distance and destination.
    • First Class: redemption of award flights in First Class will be even more exclusive, with a substantial increase in the number of miles required.

    Updated Award Flight table for Star Alliance and other Miles & More companies

    For all other Miles & More partner airlines, including Brussels Airlines and Eurowings, A fixed table of miles will continue to apply, but with updated values for the first time since 2019. Again this is an increase in costs, thus a devaluation of miles.

    The main changes are:

    • Economy Class: reduction in the number of miles required for many routes, with discounts of up to 10,000 miles on long-haul flights.
    • Premium Economy: The requirements for some areas remain unchanged, while in others an additional 5,000 miles will be required.
    • Business and First Class: increase in miles requested for non-European routes, with more pronounced increases on long distances.

    What does it mean for frequent flyers?

    This transition to dynamic pricing marks an important change for Lufthansa Group's frequent travelers. While some may benefit from a lower cost in miles on certain routes, others will find themselves needing to accumulate more points to fly premium class. Abolishing the fixed schedule for Lufthansa, SWISS and Austrian could reduce the predictability of the Miles & More program, making it more difficult to plan in advance for the best use of miles. However, the system will offer greater flexibility in fare options and included services.

    If you are a Miles & More frequent flyer, now more than ever it becomes essential to monitor new fares and optimize the use of miles to get the most value from award flights.

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