A few months ago, a little bird told me that CIMB was due to devalue their Air Miles conversion rates as the cost incurred continues to increase. This has now finally been announced, so I'm not too surprised by the devaluation.
For what it's worth, this devaluation hits hard in some areas, while other areas can be mitigated based on utilizing a proper credit card strategy. If you have read my previous blog posts, you will already have the knowledge on how to make use of the credit card system in Malaysia.
Anyway, let's get back to the topic at hand. CIMB has been on a roll of devaluations and removing excellent customer-focused features from its credit card recently. From dropping the E-Wallet top ups on its CIMB e Card to ending its 10X Local Spend Bonus Point promotion on its CIMB Travel World Elite credit card, one might think that CIMB is struggling to make ends meet.
If its Q4 results are indicative of anything, that's certainly not the case, and rather, the bank seems to be just more profit incentivised.
As you can see from the chart above, all the devaluations are targeted towards those conversions which allow you to redeem 1000 Airline Miles for 10,000 Bonus Points. Malaysia Airlines' Enrich Miles now grants you 1,000 Enrich Miles for 12,500 Bonus Points. This equates to an earning rate of RM1.25 = 1 Airline Mile.
Now, if you're a CIMB Travel World or CIMB Travel World Elite cardholder, you've probably earned a ton of Bonus Points in 2023, and as such, I'm sure you're struggling to decide on which airline frequent flyer program you should convert your Bonus Points to.
Convert Your Bonus Points Before 1st February 2024!
Now, before you get too pressured into converting your Bonus Points to Enrich Miles (which is what 99% of CIMB Cardholders will do), do your research on how many miles it would require for a certain journey that you have in mind.
Since I'm planning to travel to London in May, I'll compile some search results for you to see. Whenever I travel long-haul, I always have a number of preferences that strongly dictate which airline I choose to fly with. I'll list these preferences below and I'll explain why.
My Preferences:
A Oneworld airline member
Reasonable conversion rate (Japan Airlines is out)
Seat availability on airline
Next, I'll publish a few images that shows how many miles you would need to fly on these airlines above to London (One-Way) in Business Class. Keep in mind that these conversion rates are for my own itinerary to London, and if you wish to travel elsewhere, I strongly recommend that you research on the miles required for each frequent flyer program BEFORE converting your Bonus Points to airline miles.
So, so sum up the airline miles needed for a One-Way redemption ticket to London:
MAS Enrich Miles: 149,300 Enrich Miles + RM294
British Airways Avios: 130,000 Avios + RM1791
Cathay Pacific Asia Miles: 115,000 Miles + RM1441
Qatar Airways Avios: 75,000 Avios + RM1056
Based on the above findings, which option do you think I would go for? If you are someone that's tempted to go for MAS Enrich Miles just because you pay a lower fare surcharge of RM294, then it means that you definitely did not read my other blog posts clearly.
Remember, you should always take into account how much you have spent to earn those airline miles to see whether it's truly worth the exorbitant amount of miles. This is a common mistake that many people do, especially when redeeming airline miles for Economy class seats!
I tell you, don't trust anyone who says that they would rather pick Malaysia Airlines just because they don't wish to deplane and connect flights and would rather do a straight journey. Chances are, they probably haven't experienced a better product!
Qatar Airways' Business Class product is probably 10 Years ahead of Malaysia Airlines boring and old Business Class cabin.
Not to mention the brilliant Qatar Airways lounges at Hamad International Airport in Doha! And also, you don't need me to tell you how ridiculous it is to spend 149,300 Enrich Miles on a One-Way Business Class to London.
Even with a conversion rate of RM1 = 1 Airline Mile, you would need to swipe your card to at least RM150,000 before you can redeem the miles. At this point, I would just tell you to buy the business class ticket using cash directly 😂.
Final Thoughts
I realized I gone off topic a little bit talking about redeeming points, but its certainly important in your decision-making when choosing which airline miles you are going to convert your CIMB Bonus Points to before 1st February 2024.
Remember, the examples I have given above are merely to illustrate how to do your homework before you convert your Bonus Points to airline miles. Do tons of research and make your pick before it's too late. Of course, I am happy to assist in researching if need be.
Be sure to check out the Ultimate Guide for comparing which credit cards earn you the most Enrich Miles, or check out the KrisFlyer Ultimate Guide if you're into KrisFlyer miles instead.
