A 12 month Xbox Live Membership is 29,000 Bing Rewards (Microsoft Rewards) points right now if you're Level 2 (which I assume anyone with 29,000 points would be).
I always look the deals in comparison to gift card exchange rates, so 29,000 reward points would be equivalent to about $27.50 in Amazon or Gamestop giftcards which would be a great deal for a year of Xbox Live.
This is equivalent to $31.18 in Windows Store gift cards (for Level 2 members) so any way I think it's a good deal.
Also on 'sale' this month are 1 month and 3 month xbox live memberships a 3 Month Xbox Live membership is 9,600 points, far worse deal than the 12 month membership but is the equivalent of $9.14 in Amazon/Gamestop gift cards or $10.32 in Windows Store gift cards.
I had been saving up my points trying to decide if I could find $40 worth of stuff to buy with Windows Store Giftcards when last month's deal was active but I never pulled the trigger, this deal is well worth it for me.