Changes to Aeroplan: What they mean for program members, credit cardholders and Elite flyers
Air Canada has brought the Aeroplan loyalty program back in-house, with a much anticipated re-launch of the program. Here's what to expect.
Air Canada has brought the Aeroplan loyalty program back in-house, with a much anticipated re-launch of the program. Here's what to expect.
Photo by Gerrie van der Walt on Unsplash
One of Canada’s largest loyalty programs, Aeroplan announced changes that will affect Aeroplan-affiliated credit cardholders, everyday program members and Elite status flyers, as well as adding new features that aim to reinvigorate loyalty as Air Canada rebuilds Aeroplan from the ground up.
The new Aeroplan, launched November 8, 2020, sees every member’s existing miles converted one-to-one to the new Aeroplan points, and refreshed Aeroplan credit cards from issuers TD, CIBC and American Express will likely light a fire in an already competitive credit card market heading into 2021.
The notable changes for mid-range and premium Aeroplan credit cards include one free checked bag on flights booked on points or purchased outright on the card, as well as reward tickets (extended to the primary user, linked authorized users and up to eight travel companions on the same reservation); Status Qualifying Miles on everyday spends; and for the Elite flyers with premium cards, the ability to roll over status miles and eUpgrade credits into the following year if unused. These changes make having the credit card and Aeroplan status beneficial, as opposed to only rewarding on Aeroplan redemption travel bookings.
Part of the program refresh includes reimagining the credit card suite to work with the new Aeroplan Elite statuses. Existing users of all Aeroplan credit cards are being sent the new cards, while most annual fees are increasing ($120 will go up to $139, and $399 to $599).
Entry-level cards: TD Aeroplan Platium Visa, CIBC Aeroplan Visa | Mid-level cards: TD Aeroplan Visa Infinite, CIBC Aeroplan Visa Infinite, American Express Aeroplan Card | Premium cards: TD Aeroplan Visa Infinite Privilege, CIBC Aeroplan Visa Infinite Privilege, American Express Aeroplan Reserve Card |
---|---|---|
Preferred pricing when redeeming Aeroplan points | 1 checked bag free on a revenue or reward ticket (for primary user, authorized user, and up to 8 travel companions) | 1 checked bag free on a revenue or reward ticket (for primary user, authorized user, and up to 8 travel companions) |
1,000 Status Qualifying Miles + 1 Status Qualifying Segment per $10,000 eligible spend | 1,000 Status Qualifying Miles + 1 Status Qualifying Segment per $5,000 eligible spend | |
Preferred pricing when redeeming Aeroplan points | Maple Leaf Lounge access (for primary and authorized user) | |
Preferred pricing when redeeming Aeroplan points | ||
Priority airport services like priority check-in, security, boarding (for primary and authorized user) | ||
Annual companion fare ($99 in North America, offered when you spend a minimum of $25,000 annually) | ||
Rollover elite miles/eUpgrade credits | ||
Priority upgrades |
Air Canada is removing cash surcharges on reward redemptions. This significantly reduces the fee added on top of the points redemptions when booking a flight with Aeroplan. In turn, redeeming is much more attractive, combined with the added ability to redeem for virtually any seat on an Air Canada flight. The result is increased accessibility and added value.
The new Aeroplan Family Sharing feature makes it easy for family members (or trusted friends!) to combine separate pools of Aeroplan points into one family pool. The individual totals are still tallied, but points are shared by family members for future redemptions. Points are redeemed proportionately by each family member for that reward (so you can’t redeem for just one person from their pool). You can only be in one family at a time, and you are bound to that group for three months upon joining. Once you exit, you must remain as an individual for six months before associating to another family.
Points + Cash takes a page out of the Marriott Bonvoy program book in redeeming points, and it introduces the ability to redeem rewards for a combination of points with cash. Options of combinations will be made available to users to make the choice that enables better flexibility—ideal for when you might want to bank points for a future more valuable redemption.
While Aeroplan previously used a fixed-award chart, the new program introduces peak pricing for flights within North America, and between North American and outside regions operated by Air Canada. On a traditional economy class fare, what would have been 15,000 miles return (plus taxes and fees) would fall into the 6,000- to 10,000-point range, per direction, meaning it could cost 12,000 to 20,000 points round trip (plus taxes and reduced surcharges) in the new charts. Variables would include flight capacity, demand and times, and passengers can see price jumps on high-demand flights, even while seeing potential savings on earlier flights or low-demand periods. Partner flights remain on a fixed chart, as do flights within regions outside of North America.
In late 2021, Air Canada will be transitioning to revenue-based earn (points based on the amount spent), marking an official end to distance-based earn. With that, Economy Basic fares will become eligible to earn points, while they are ineligible towards Status Qualifying Miles (SQMs) and Status Qualifying Dollars (SQDs). Simpler calculation of points means greater transparency, with basic fares earning 2x base pre-tax fares, and all fares above earning 3x. Elite members earn more with additional multipliers, and 25/35K, 50K, 75K, and Super Elite will earn +1x, +2x, +3x, and +4x, respectively. In some cases, especially with sale fares, earn rates may see a decrease in the new revenue-based earn calculations compared to what’s currently in place.
Air Canada Altitude and Aeroplan Distinction statuses are unified, with the new currency being “points.” Points are collected through spend and travel, while AQMs and AQDs are SQMs and SQDs—Status Qualifying Miles and Status Qualifying Dollars, respectively. SQMs and SQDs still primarily come from air travel to be counted towards Elite status; however, spend accelerators are made available through co-branded credit cards.
For everyday spenders, 100,000 Aeroplan points qualify for 25K Aeroplan status. Elite tiers become 25K, 35K, 50K, 75K, and Super Elite (100K), and status qualification are instant and valid through next calendar year with digital lounge passes deposited into the member’s Aeroplan account for use.
Premium Aeroplan credit cards now include a unique feature that gives elite members the ability to roll over SQMs and eUpgrade credits for the following year. So, if you have unused SQMs from the previous tier you reached or unused eUpgrade credits, the difference in SQMs and eUpgrade credits will be moved to next year.
Air Canada’s decision to bring Aeroplan back in-house has many benefits for Aeroplan members. A tighter integration with their reservation systems and inventory means travellers can save on certain aspects like surcharges, while allowing Air Canada to open up inventory so redeeming is less restrictive. There are some sweet spots where travellers can find value on redeeming the new points, but there are also gaps where flyers will find less value in the new program.
Finally, credit cards have been overhauled with new benefits for both primary and secondary users on revenue and redemption bookings, plus added benefits for Elite members. The annual fee did go up across most cards, but users can find tremendous value, especially if you’re a frequent flyer or travel with a family.
If you want to apply for the card, you will want to check out welcome bonuses, which are quite hefty given the increased competition in the marketplace today.
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can i not use my points to purchase items-i do not travel so i don’t care of the new travel benefits you offer.
if i cannot use for merchandise, I will look for another credit card that offers points that suits my needs.
The New Aeroplan is actually stealing money from the pockets of plan members. They are NOT removing surcharges, this a blatant misrepresentation, or even an out and out lie – you decide. I priced two Aeroplan tickets YEG – YYT on November 5th = 25,000 miles plus $175. The same tickets today for the same flights 32,200 + $492. An additional 7,200 miles and an additional $317. You calculate how much your points are not worth. If you choose to pay for the entire tickets with points the taxes are waiced at .10 a point.. I’m done with Aeroplan and the TD credit card, which as you know has increased their fees as well. And don’t even talk about the cancelled flights that where paid in cash and refunded as Aeroplan points – you really got screwed bug time.
This new website absolutely sucks. In fact more than sucks. The website is difficult to navigate. Where is the merchandise, yes it is there but you have to click through so much. Where are my transactions? Is anybody else having the same issue? Terrible
The fact that you have no availability calendar is a disgrace. Booking a flight in the new program is a nightmare. If you want to change the date or check it is so time-consuming because you have to start your search all over again. I hate it!
I totally agree regarding the new website. I could not find my points anywhere. Something that was prevalent when you first logged in.
I was actually sent an email with my points right afterwards which was disconcerting.
They’ve also taken away benefits which for me were priority check-in and priority boarding. Also no Mapleleaf lounge. These now seem to be benefits only if you are in the top tier.
I’ve used Aeroplan for years and am totally turned off by the new program and will be cancelling my card. Hopefully I will be able to sift through the new website to at least redeem my points for merchandise.
In addition I’ve had so many problems with TD that I prefer not to deal with them at all anymore.