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by Aboutplants 70 days ago
Spoiler alert, it’s basically a scam
2 comments

Agreed. Anyone interested should check out a report out of Vanderbilt, "The Loyalty Trap: How Loyalty Programs Hook Us with Deals, Hack our Brains, and Hike Our Prices."

https://consumerlaw.berkeley.edu/news/price-loyalty-how-rewa... https://cdn.vanderbilt.edu/vu-URL/wp-content/uploads/sites/4...

Small counterpoint: Working in a spot where I had visibility to various loyalty programs, several of them definitely rewarded loyalty. Big spenders would get better conversion rates than the regular consumer.

The difference here is that I’m already earning points. I’m not doing anything new to earn them; I mostly remember “restaurants on this card, online shopping on that one” and apps like CardPointers can assist if needed.

But this isn’t about selecting new loyalty programs or even being loyal; this is focused on more transferable credit card points, and airline miles you’re already earning.

It’s about using them at maximum benefit, not earning them maximally.

It most definitely isn't, but it takes significantly more effort than the bloggers want to make it seem like.
Yes it’s not technically a scam because it’s legal.

But it has scam smells: layering, misdirection, lock-in, very fine print, gamification, adjacent complex social media apparatuses.

I’d place it near MLMs, loot boxes, timeshares, robux, liquidity mining.

Yeah, flying my family of 5 to Hawaii using skymiles accrued on my Amex. Totally a scam.

They’re basically interchangeable with cash. I don’t get the issue. The main frustration I have is that I cant buy myself a ticket with cash and then pay skymiles for my child. If they weren’t of an age that they must be on the same reservation it wouldn’t matter. Feels more like a limitation of Delta’s abacus that sits behind their mobile app.

It’s not nearly as complicated as you make it out to be, and the literal point of what I posted is to try and simplify it.

An MLM or timeshare it is not.

Yes, it has gotten harder than it was a decade ago. But it is far from a “scam”