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"For example, there are different costs associated with cash redemption options than other types of rewards".
The key is offering the right choice of aspirational redemption options.
They are cash value, choice of redemption options, aspirational value, relevance, and convenience.
With True Rewards, customers have a choice of redemption options, including free minutes of calling, a 5% cash rebate, and airline miles.
"Our point conversion rates vary across different types of redemption options and partners," said Joshua Berwitz, vice president of Membership Rewards, in a statement sent to us by an American Express spokeswoman.
American Express is trying to address choice by converting Membership Miles into Membership Rewards and by adding more redemption options, such as hotels, resorts, entertainment, and discounts on automobiles.
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Would you prefer an automated redemption option for your OpenTable points?
Still, Virgin America is a decent redemption option for travelers aiming to redeem points for trans-continental flights, as the airline's markets include New York, Los Angeles and San Francisco.
But one proposal in particular, redemption option priority, allocates too much to secured creditors relative to our interpretation of current law.
Creation of the terms "reorganization value" and "redemption option value" to allow the possibility for adjustment of distributions to stakeholders, especially junior creditors in a plan context or senior creditors in a 363x sale of all or substantially all of a debtor's assets.
Award travel is the most valuable redemption option.
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