Does the relative value of Kris Flyer points vary depending on whether you pay for a flight in full versus mixing and matching with money and points?
I ask because we are flying as a family of 4 to Europe this August (economy), and I wonder whether it is worth using our KrisFlyer points to get a modest discount on the overall cost of the return flightsfor all 4 of us, or whether we should save them to pay for a single flight in full, if the overall monetary saving is greater.
If the flight costs $1000 in cash and costs 68,000 Krisflyer + $100 in taxes:
Value in redemption is: ($1000-100)x100/68000 = 90,000/68,000 = 1.32cents per point (cpp).
When redeeming points for something, you want this CPP value to be as high as possible.
E.g. if you can earn points for 1cpp and spend it for 2cpp, you are winning.
Everyone’s circumstances is different. You might be point rich and cash poor or point poor and cash rich. So everyone’s target cpp is different.
In this example, in my opinion, it is on the lower side of potential cpp value.
However, it is generally challenging to get 4 seats in premium cabin (where redemption value is usually higher-> more bang for buck for your points).
Generally, points + pay (or the Krisflyer equivalent) yield poor value for your points. You could consider using points fully for 1-2 passengers and paying the rest with cash?