Airlines are increasingly expanding their offerings for frequent flier miles beyond the free trip, including one-of-a-kind experiences through online auctions or the latest electronics gadgets. "More options are good for frequent fliers," says Gary Leff, co-founder of the frequent-flier community Milepoint.com. "Not everyone wants to fly throughout the year for business and be rewarded with another flight. Sometimes they'd just like to stay home and use their miles for a retail treat."

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