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Just saw this online. I wonder what it will be, other than just an expensive Mastercard...
I did a quick search, but did not see any threads mentioning it. What kind of "premium pricing"?
http://www.marketwatch.com/News/Story/Story.aspx?dist=newsfinder&siteid=mktw&guid=%7BC5C1685D%2DCEA2%2D4FAB%2D9C34%2DCD0177B424 AF%7D&link=&keyword=mastercard
NEW YORK (MarketWatch) -- MasterCard Inc. said Thursday it's teaming up with luxury travel consortium Virtuoso to launch the World Elite MasterCard, a new card platform aimed at affluent customers with more than $250,000 in income.
With the move, MasterCard is taking aim at a rival American Express, which has made inroads with its Platinum and other products.
World Elite MasterCard offers a mix of travel benefits, rewards, and global acceptance, including personalized travel agency benefits.
An advertising push behind the World Elite platform gets underway in October.
The program will have associated premium pricing expected to be announced the first quarter of 2007.
"MasterCard understands the importance of the affluent and high spend business segments to our customer financial institutions, and has made it a priority to understand (their) mindset," said Wendy Murdock, chief product officer, MasterCard Worldwide. "We believe that it will drive a higher level of spending on our cards by taking MasterCard from an 'in the wallet' to a 'top of wallet' position, and deliver greater value to our cardholders."
Soleil analyst Craig J. Maurer said he wasn't familiar with the specifics of the plan, but added that MasterCard appears to be "late to the party" in courting the affluent.
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fuzz
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http://www.saksfifthavenue.com/media/pdf/SF_Newsletter_Spring06_v1_m56577569831304108.pdf#s earch=%22%22World%20Elite%20Mastercard%22%22
- SR
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Hmm... The benefits are:
- 1% Cash back (more at Sacks)
- Companion airline tickets
- Concierge
- Airport lounge access
- NO ANNUAL FEE!!!!
Until the annual fee, I was thinking it sounded a bit like the Chairman card. No annual fee and Airport lounge access from the same card sounds hard to believe. I wonder if you have to pay at the lounge, as in some of the lower levels of PriorityPass membership.
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http://www.virtuoso.com/us/Company/Press/MasterCard+Virtuoso
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<<What kind of "premium pricing"?>>
I think this refers to merchant fees for accepting the new card class which would be set by Mastercard, not the cardholder annual fees which would be established by each issuer.
<<No annual fee and Airport lounge access from the same card sounds hard to believe.>>
I doubt that it costs much to provide this benefit. The $400 "retail" value of a Priority Pass is a fiction. Their own website tells you that discounts of "70%" are available for corporate accounts with "hundreds" of users. This makes the cost about $120, and I believe it would be less for a card issuer buying "thousands" of memberships, because the utilization rate is low.
dennis
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http://www.priceless.com/cards/cards.html
World Elite™ MasterCard®Your ticket to the most priceless places on earth.The World Elite MasterCard card redefines the way you pursue that which matters most to you. With world-class travel benefits, reservation programs, and premium offers, World Elite MasterCard serves as your trusted partner, providing exemplary service and assistance at a moment's notice.
Exceptional Travel BenefitsWorld Elite MasterCard cardholders enjoy exceptional travel consultant services, as well as valuable benefits, special upgrades, amenities, and truly priceless travel experiences from the Virtuoso international luxury travel network.
Concierge ServiceAn expert concierge staff is available to assist World Elite MasterCard cardholders with personalized recommendations and reservation assistance for dining, travel, entertainment, and a host of other services, 24 hours a day, every day of the year.
Preferred AccessCarrying the World Elite MasterCard card puts you at the front of the line when making reservations for a distinguished selection of dining, entertainment, shopping, and spa/salon experiences.
Premium Collection OffersThis portfolio of top quality lifestyle products and services from many of the world’s leading providers offers considerable savings and value-added amenities on a wide selection of retail, gift, dining, and personal services.
More details about the many benefits of the World Elite MasterCard card are coming soon.
- SR
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http://www.virtuoso.com/us/Company/Press/MasterCard+Virtuoso
MasterCard Unveils World Elite – Exceptional New Card for Elite Affluent Consumers and Businesses
Alliance with Virtuoso Will Cater to Luxury Travelers
Purchase, NY – September 7, 2006 – MasterCard Worldwide today announced the launch of the World Elite MasterCard, a new card platform for elite affluent consumers, small businesses and executives of large corporations. Unlike other super-premium payment products geared to these audiences, World Elite MasterCard offers a mix of travel benefits, rich rewards, and global acceptance, including personalized travel agency benefits provided through a strategic alliance with Virtuoso, the leading luxury travel network.
World Elite will create a distinct brand position for MasterCard within the elite affluent demographic, defined as those with annual household incomes greater than $250,000. Beyond targeting consumers, MasterCard will bring to market a World Elite card for small businesses and for executives of large corporations in 2007.
The affluent segment overall is a key growth target for MasterCard. According to data from the American Affluence Research Center, the wealthiest 10 percent of U.S. households earns 40 percent of all American income. The growth of the segment in recent years has fueled the expansion of the U.S. luxury category, which surpassed $1 trillion in 2005, according to a report from Research and Markets. Spending on experiential luxuries, which include travel, dining and entertainment, nearly doubled last year, according to the same report.
A MasterCard analysis of the demographic revealed a changing mindset among elite affluent consumers, marked by a strong desire for personal attention, best-in-class service, and memorable experiences. World Elite, built around these new segment demands, is a unique offering that is intended to resonate with today's consumers, deliver optimal value to customers, and drive increased spending to merchants.
“MasterCard understands the importance of the affluent and high spend business segments to our customer financial institutions, and has made it a priority to understand the mindset of the elite affluent consumer so that we can develop the most desirable payment solutions possible,” said Wendy Murdock, Chief Product Officer, MasterCard Worldwide. “The launch of World Elite is the culmination of that process, as it gives us one of the best card programs in the industry for affluent travelers. We believe that it will drive a higher level of spending on our cards by taking MasterCard from an ‘in the wallet’ to a ‘top of wallet’ position, and deliver greater value to our cardholders.”
Virtuoso will provide a wide range of travel benefits exclusively to World Elite cardholders:
• Travel Expertise – Unsurpassed global travel expertise provided by Virtuoso, a widely acclaimed network of more than 6,000 member travel consultants with over 300 member agencies that specializes in connecting the world’s most discerning travelers with the world’s finest vacation destinations. Through Virtuoso, cardholders will receive unparalleled service and counsel by a designated Virtuoso member consultant while enjoying the special travel benefits, value-added amenities and experiences listed below.
• Airline Benefits – Complimentary companion tickets with the purchase of full-fare Business Class tickets for international travel on specific airlines (space permitting with no blackout dates); one-category upgrades for international travel on select airlines.
• Cruise Benefits – Tailored shore excursions and private cocktail receptions on four premier cruise lines.
• Hotel Benefits – Preferred rates and availability at over 650 of the finest hotels, resorts, lodges and villas in the world. Value-added amenities including complimentary daily breakfast for two, room upgrades (based on availability at time of check-in), customized offerings that are unique to the destination and VIP status.
• Travel Publications – Complimentary subscriptions to dynamic, award-winning travel publications, Virtuoso Life and the Best of the Best hotel directory.
Other cardholder benefits include:
• Airport Lounge Access – Cardholders will receive airport lounge access to VIP lounges around the world.
• Privileged Access – Special event access and tickets to performing arts and theater events; restaurants; art galleries; and spas in ten major U.S. cities including: New York, Chicago, Miami, San Francisco, Atlanta, Dallas, Houston, Los Angeles, Seattle and Washington.
• Unsurpassed Acceptance – MasterCard-branded cards are accepted at more than 24 million merchant locations worldwide. The World Elite MasterCard will be accepted at more than triple the number of international locations that accept the American Express Platinum card, according to Nilson Report data. Moreover, the elite affluent cardholder tends to purchase higher ticket items, delivering considerable benefits to merchants.
• Rich Rewards – Cardholders will receive a variety of travel, merchandise, and entertainment rewards, access to special events, and no pre-set spending limit.
“Whereas the affluent segment used to value things like appearances, status, and privilege, they are now seeking life experiences and the professional expertise that a Virtuoso member consultant can provide,” said Kristi Jones, President of Virtuoso. “MasterCard and Virtuoso understand this and are capitalizing on the new definitions of luxury and aspiration that exist in the marketplace. Too many cards currently targeting the affluent consumer are marketed towards outmoded values. The personalized and tailored approach we take to travel is reflected in the World Elite benefits, making this card stand out from the competition.”
The Saks Fifth Avenue World Elite MasterCard, issued by HSBC, was unveiled today, and is the first product on the World Elite platform.
The launch of the World Elite platform will deploy integrated marketing programs that reinforce the value proposition of the card with consumers and customers while driving activation and usage. A print and online advertising campaign, beginning this October, will leverage unique insights of this newly identified elite affluent demographic especially around their passion for experiences and travel. World Elite will also be promoted on www.priceless.com.
The World Elite platform will have associated premium pricing expected to be announced the first quarter of 2007.
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You get basically the same benefits with the Citi Chairman Card.
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You get basically the same benefits with the Citi Chairman Card.No annual fee, unlike Chairman. (Besides, I understand Chairman is being converted to a new AMEX soon.)
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Are there any links to apply for any version of this card out there? (including the Saks version)
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Are there any links to apply for any version of this card out there? (including the Saks version)I asked Saks if their existing cards would be converted to World Elite MC later, or if I could apply somewhere. Response, "I sincerely apologize for any inconvenience. Unfortunately, we currently have not been updated with information regarding the new credit card."
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I asked Saks if their existing cards would be converted to World Elite MC later, or if I could apply somewhere. Response, "I sincerely apologize for any inconvenience. Unfortunately, we currently have not been updated with information regarding the new credit card."
This is my first post, so bear with me. It appears that the card will primarily be made available in store only on 13 Sep at select stores only.
The Saks Fifth Avenue World Elite MasterCard card, with no annual fee, debuts exclusively at Saks Fifth Avenue stores at a select number of locations around the country on September 13, 2006 in conjunction with the Saks Fifth Avenue Want It! campaign of the most coveted, must-have items of the fall 2006 season. Applications for the Saks Fifth Avenue World Elite MasterCard card will be available at all Saks Fifth Avenue locations in mid-October.
http://biz.yahoo.com/prnews/060907/nyth186.html?.v=35
The article subsequently mentions that the lounge access will be for "...a nominal fee." Probably on par with a previous post regarding the basic Priority Pass level.
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I just noticed that www.mastercard.com now has an official link for World Elite. Not much details on there, just the general "more information coming soon" type message.
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maybe this is what the Chairman Card is going to be co-branded with.....I doubt that it will be a new amex...since Chairman is competing with Amex platinum and this new card is supposed to go after the Centurion customers....
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Saks told me applications could be processed, starting today at www.saks.com/apply It doesn't seem to be working yet.
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maybe this is what the Chairman Card is going to be co-branded with.....I doubt that it will be a new amex...since Chairman is competing with Amex platinum and this new card is supposed to go after the Centurion customers....
Considering that the present Chairman card is a World Mastercard, it wouldn't be a big stretch to see Citi making into a World Elite.
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Saks told me applications could be processed, starting today at www.saks.com/apply It doesn't seem to be working yet.
It seems to be ready at this site:
https://www.saksfifthavenue.com/html/sakscc_app/elite_mastercard_apply.jsp?JSESSIONID=FFGCxVQQd1lJ 3J9JZxJQVfWL4C1h9JxNdXdGcrfMpGn62lnVD5D8!660318275&ASSORTMENT%3C%3East_id=1408474395222441&bmUID=1158006274908&prp13=b3
However, when you click on apply, a message comes up and says that it won't be ready till 14 Sep.
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Thank you!
That site also confirms that the airport club access is Priority Pass... although no mention of the fee if any.
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...That site also confirms that the airport club access is Priority Pass... although no mention of the fee if any.
Since there is no annual fee for World Elite MasterCard, the most likely membership tier for Priority Pass would be Standard. Then it would be $24 per person per visit. Priority Pass frequently gives out free Standard membership as promotions, but only reduced fee for Plus and Prestige.
Citibank Chairman Card comes with Prestige membership but with $400 annual fee. :eek:
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Citibank Chairman Card comes with Prestige membership but with $400 annual fee.
Actually, the Chairman Card's membership is even better than the standard Prestige membership as it includes 2 free guests (though there are a very few locations that limit guests, paid or not.) Not to mention the outstanding concierge and other benefits.
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Airline Benefits – Complimentary companion tickets with the purchase of full-fare Business Class tickets for international travel on specific airlines (space permitting with no blackout dates); one-category upgrades for international travel on select airlines.
It would be nice to know which airlines.
Can they really mean free upgrades? That could be a very valuable benefit.
Hotel Benefits – Preferred rates and availability at over 650 of the finest hotels, resorts, lodges and villas in the world. Value-added amenities including complimentary daily breakfast for two, room upgrades (based on availability at time of check-in), customized offerings that are unique to the destination and VIP status.
Who said there is no such thing as a free breakfast? :)
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<<Can they really mean free upgrades?>>
I expect this will also be with the purchase of full-fare ticket. This could still represent some value if one could obtain, say, an unrestricted domestic first class ticket for the price of full fare economy, but of course this will be more than the lowest restricted first class fares.
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<<Can they really mean free upgrades?>>
I expect this will also be with the purchase of full-fare ticket. This could still represent some value if one could obtain, say, an unrestricted domestic first class ticket for the price of full fare economy, but of course this will be more than the lowest restricted first class fares.On business I usually fly unrestricted fares. Sometimes my travel agent can get one class upgrades on our preferred airline, but not always. An upgrade from biz to first (or coach to biz) would be quite welcome. It's only for international, by the way.
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<< only for international>>
Missed that. It sounds quite similar to the American Express UK International Airline Programme...
http://www.americanexpress.com/uk/personal/cards/benefits/flightcompanionintro.shtml
...with companion fares on most carriers, upgrades on others. It is clear (to me!) that credit card issuers do not pay for these benefits, they are merely packaging concessions that the carriers are willing to make to fill otherwise vacant seats. This means availability will reflect supply versus demand for paid seats, and it's evident that carriers have much more pricing power than have had for several years.
dennis
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Since there is no annual fee for World Elite MasterCard...
There is no annual fee for the HSBC/Saks version, but I see nothing in the Mastercard or Virtuoso press releases to indicate that other issuers could not charge a fee.
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Response from Saks:The "Priority Pass Membership", which includes the access to more than 500 lounges in major airports, does require a "nominal fee" for access to select locations. The fee is $24.00 per person and it will be charged to your World Elite MasterCard.
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Sorry if this is mentioned elsewhere.
Wall Street Journal reports:
World Elite Mastercard is aimed at households with annual incomes of more than $250,000, but I assume Mastercard cannot require the issuing banks to enforce this requirement, because they also mention that Mastercard "World" and Visa "Signature" cards have been aimed at households with an annual income of at least $125,000. There are 4.9 million MasterCard World cards in circulation, compared with 7.9 million Visa Signature cards which constitute only 3.9% of Visa's consumer credit-card accounts, but 20% of Visa's sales volume; cardholders spend an average $28,000 a year on each card.
http://online.wsj.com/article_print/SB115765610466156611.html
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Response from Saks:..."nominal fee" for access to select locations. The fee is $24.00 per person and it will be charged to your World Elite MasterCard.
The Mastercard description is sufficiently broad to allow other card issuers to include a different version of Priority Pass.
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The Mastercard description is sufficiently broad to allow other card issuers to include a different version of Priority Pass.OK, but is there another issuer?
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Not today, but the press releases indicate that Mastercard will launch its advertising campaign for the World Elite "platform" in October and announce the associated merchant fees in the first quarter of 2007. I expect we will see versions from all major Mastercard issuers.
"The Saks Fifth Avenue World Elite MasterCard, issued by HSBC... is the first product on the World Elite platform."
"Beyond targeting consumers, MasterCard will bring to market a World Elite card for small businesses and for executives of large corporations in 2007."
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You get basically the same benefits with the Citi Chairman Card.
Really Does Chairman give free. comp no stringes attached BA executive Club Sillver AND confirmed at RESERVATION, not check in suites and club floor at Ritz carlton.
If you fly oneworld this is lounge access on al members.
Its actually a backdoor way for USA based advantage member to get a Admiral Club membership WITH FREE BOOZE. I wonder if this will be a recurring benefit or a one shot deal that needs to be earned afte first year.
http://www.oneworld.com/ow/ffp/oneworld-status/british-airways
In fact if you were creative then you could do 25,000 on this,
20,000 on mERRILL pLUS AND HAVE aa pLATNIUM, ba SIVER AND LOUNGE ACCESS.
THIS TOTAL $45,000 CALANDER YEAR SPEND AND THE MERRILL PLUS IS 50,000 FOR THE ADMIRIAL CLUB MEMBERSHIP ;)
Or stay at RItz Carlton's anyway, this is a great lifestyle card.
What is really really weak is the reward scheme.
1% at Saks is like maybe .6 of one penny per mile spent.
I look foward to higher fee cards with better rewards, but these benefits.
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The World Elite platform will have associated premium pricing expected to be announced the first quarter of 2007.
I read that MIA posted that he thought it meant merchants.
I respect his judgement, but do you think M.C. can intrduce a platform and then after the fact tell merchants a higher fee will apply?
I think that the saks version is "free" because you are giving up so much on the reward program.
For non sak's purchases , you get 1% good only at saks :(
I would not touch a 1%cash rebate card. And as I mentioned this is more like six- tenths of a penny.
I look for a MINIMUM OF two cents value per dollar.
Hence at 25,000 annual spend , it has a hidden annual fee of about $400-.
(can anyone say chairman, amex plat :p
Now if you are a clothes horse dropping 15K plus annually at Saks then this card is a great deal.
This intial card Is obviously designed fro high spending Saks customers.
You can't even apply if you are not an exsisting saks customer.
Future cards WILL carry hefty annual fees.
MIA- Do you still think that New Chairman will be an Amex platfom.
Will it be a $1000 centurion card??
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Do other cards offers status on an airline?
I only know of:
1) Saks World Elite Mastercard
2) Spending $1M on a Citi AA card
And maybe this counts:
3) Status match with Merrill card (a little
Thanks.
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<<Really Does Chairman give free. comp no stringes attached BA executive Club Sillver>>
No, these are the strings...
1."cardholder must be a SAKSFIRST Diamond member " = $25,000 annual spend at Saks
2. "Purchase and complete a round-trip transatlantic British Airways flight
in FIRST or Club World"
3. "Eligible travel must be completed by December 31, 2006."
4. "If member does not accrue enough Executive Club Tier Points to maintain his/her Silver Tier membership during the twelve-month complimentary Silver Tier period, he/she will be re-classified back to Blue Tier membership...Complimentary Silver Tier membership offer is valid for Executive Club Blue Tier level members only, and is not valid for existing Executive Club Silver Tier members"
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<<confirmed at RESERVATION, not check in suites and club floor at Ritz carlton.>>
"Upgrades are based on availability of room type at time of reservation" BUT "Offers are valid for stays February 1 through December 30, 2006"
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<< do you think M.C. can intrduce a platform and then after the fact tell merchants a higher fee will apply?>>
Absolutely, although there is litigation pending...
http://www.consumeraffairs.com/news04/2005/credit_card_fee_suits_wrap.html
"...started when he received a notice from MasterCard that his interchange fee for frequent-flyer card usage was going up...."
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<<confirmed at RESERVATION, not check in suites and club floor at Ritz carlton.>>
"Upgrades are based on availability of room type at time of reservation" BUT "Offers are valid for stays February 1 through December 30, 2006"
MIA,
Eveything on ML PlUS says through Dec 30,2006.
It's knid of like the Amex FHR not having a contract with certain hotels for next program year so they can't book you.
I did not notice this verbiage on Saks site with regard to Ritz Carlton.
However, the fact that the Card was even not awailable on Febuary lends credance to the point that this is boilerplate CYA legealese and WILL be available in new program year.
I don't fancy the Ritz myself. So for me its not a great beni.
But a suite confirmed at reservation is a heck of a lot diffrent that "upon availability at check in"
Essential you get a suite for a room. period.
Also it comes with $75 off for no spenders.
In so far as needing to buy a premum cabin tix for the silver, I missed that.
But, I said this was for saks customers. Non saks cutomer can apply for a saks store card. Once they spend $1000 at the store they can upgrade. Not a big deal. and you'd be surprised how many households have a saks card already. I don't.
But if someone uses the Ritz Carlton Benefit Only three times a year AND spends no more than 25,000 on card, than a lot of the poor reward on spending is made up by the Ritz and no annual fee.
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<< fact that the Card was even not awailable on Febuary lends credance to the point that this is boilerplate CYA legealese and WILL be available in new program year>>
These benefits were already available as part of SaksFirst, nothing to do with the Mastercard per se. Saks has merely welded the World Elite Mastercard benefits onto their pre-existing SaksFirst program.
<<needing to buy a premum cabin tix for the silver>>
You also must spend $25,000 at Saks to qualify because that is the requirement for SaksFirst Diamond. It also appears that the fasttrack to BA silver is a one time deal, because it does not apply to existing silver members.
dennis
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I could be wrong but I think a non saks card holde needs only spend $1000 at Saks now, not $25,000.
Saks Diamond is not required for the BA silver now.
The only requirement is that you are a holder of the new W.E. M.C.
There are two ways to do this:
1-Exsisting Saks Charge acct. holders can convert irrespective of their status or prior spending with Saks.
2- Those without a Saks acct (me!) would have to apply for a department store only card and spend ONE THOUSAND dollars before requestion a free conversion.
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Read the Saks BA offer here...
https://www.saksfifthavenue.com/SaksFirst/british_airways.jsp
"All Tiers" receive the Companion Ticket and $250 discount benefits, same offer available through Chase BA VISA, Diners Club, Carte Blanche and Merrill+
"Diamond Tier" members receive Upgrade to First with purchase of full fare Club and complimentary BA Silver status with purchase of Club.
See also the Terms and Conditions of the BA Silver offer...
https://www.saksfifthavenue.com/SaksFirst/rules_regulation.jsp
"Complimentary one-year Executive Club Silver Tier membership:To be eligible for upgrade, cardholder must be a SAKSFIRST Diamond member"
The SaksFIRST tiers are based on annual spending at Saks and have nothing whatsoever to do with holding or using the Mastercard except that they waive the $1000 annual spend requirement to enroll in the base level of SaksFirst if you apply for the Mastercard. "Those without a Saks World Elite Mastercard must spend $1000 in a calendar year on your Saks card to qualify for SaksFirst."
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and a current saksfirst member / cardholder CONFIRMED in the original thread that it was $25K AT saks.
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I could be wrong but I think a non saks card holder needs only spend the 25,000 a year ON tHE CARD, not exclusively at Saks
The only requirement is that you are a holder of the new W.E. M.C. and be diamond level ($25,000 annual spend??)
There are two ways to do this:
1-Exsisting Saks Charge acct. holders can convert irrespective of their status or prior spending with Saks.
2- Those without a Saks acct (me!) would have to apply for a department store only card and spend ONE THOUSAND dollars before requestion a free conversion.
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<<But now, you can make "diamond" with $25,000 total spend not just at Saks?>>
No, SaksFirst tier status is based only on purchases from Saks. The requirement is to spend $25,000 in calendar year at Saks, not merely to earn 25,000 SaksFirst points from any source.
See parallel discussion here...
http://flyertalk.com/forum/showthread.php?t=611933
...look in particular at most recent half dozen messages.
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I could be wrong but I think .......
Well MIA , I went to your link.
I read it V-e-r-y- c-a-r-e-f-u-l-l-y.
It turn out I was right.
About being wrong that is ;)
I stand corrected :)
I 'm SURE it won't be the last time :D