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Qantas Frequent Flyer

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Qantas Frequent Flyer
Company typeSubsidiary
IndustryLoyalty marketing and enterprise services
Headquarters
Sydney, New South Wales
,
Australia
Area served
Worldwide
Key people
Andrew Glance (CEO of Qantas Loyalty)
Services
  • Customer insight and strategy
  • Loyalty marketing and programs
  • Customer experience management
ParentQantas
Websitewww.qantas.com/au/en/frequent-flyer.html

Qantas Frequent Flyer is the frequent-flyer program of Australian flag carrier Qantas. Points are accrued based on distance flown, with bonuses that vary by travel class. Points are earned through members flying on Qantas, Oneworld and other partner airlines.[1] Points can be redeemed for flights or upgrades across these airlines. The program also offers options to earn and redeem points through non-airline partners across the hospitality, retail, banking, insurance, energy, wellbeing, technology, motoring and entertainment sectors in Australia, New Zealand and other countries.[2][3] As of 2024, It has over 15 million members worldwide, including about 50% of the Australian population, making it Australia’s largest loyalty program, around 20% of the New Zealand population, as well as members from other countries around the world.[4][5]

To join the program, customers living in Australia or New Zealand pay a one-off joining fee, and then become a Bronze Frequent Flyer (residents of other countries may join without a fee). All accounts remain active as long as there is points activity (earning and/or spending) once every eighteen months. Flights with Qantas and selected partner airlines earn Status Credits — and accumulation of these allows progression to Silver status (Oneworld Ruby), Gold status (Oneworld Sapphire), Platinum and Platinum One status (Oneworld Emerald).[6]

History

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Qantas Frequent Flyer was launched in 1987.[7]

Qantas has faced criticism regarding availability of seats for members redeeming points.[8] In 2004, the Australian Competition and Consumer Commission directed Qantas to provide greater disclosure to members regarding the availability of frequent flyer seats.[9]

In March 2008, an analyst at JPMorgan Chase suggested that the Qantas frequent-flyer program could be worth A$2 billion (US$1.9 billion), representing more than a quarter of the total market value of Qantas.[10]

On 1 July 2008 a major overhaul of the program was announced. The two key new features of the program were Any Seat rewards, in which members could now redeem any seat on an aircraft, rather than just selected seats — at a price. The second new feature was Points Plus Pay, which has enabled members to use a combination of cash and points to redeem an award. Additionally, the Frequent Flyer store was also expanded to include a greater range of products and services.[11] Announcing the revamp, Qantas confirmed it would be seeking to raise about A$1 billion in 2008 by selling up to 40% of the frequent flyer program.[12] However, in September 2008, it stated it would defer the float, citing volatile market conditions.[13]

In December 2008, Woolworths and Qantas entered into a six-year agreement to allow Everyday Rewards members to earn Qantas Frequent Flyer (QFF) points for purchases at Woolworths Supermarkets.[14] In June 2009, details of the arrangement were announced. Under the arrangement Everyday Rewards members would earn one Qantas Frequent Flyer point for each dollar over $30 spent in one transaction at Woolworths (or Safeway) supermarkets (excluding Tasmania) or Woolworths liquor stores. To earn these points Everyday Rewards members would need to also have and link a QFF account, and the QFF joining fees were waived for new QFF members.[15] Woolworths was to pay the QFF program for QFF points earned by members under the arrangement.[16]

The program was later expanded to include some of Woolworths Limited's other stores including Big W and BWS.[17] From October 2009, cardholders could collect one point per dollar for every dollar over $50 spent in one transaction at Dick Smith and Tandy,[18] however those stores' participation stopped in September 2012.[19]

In August 2009, of 3.8 million Everyday Rewards cards "registered", 1.2 million were linked to a QFF account,[20] which increased by August 2010, to 5.1 million cards registered, of which 2.7 million were linked to a QFF account.[21]

On 26 October 2015 Woolworths announced it is splitting with Qantas to revamp its Everyday Rewards Program. This will see many members of this reward card lose their unredeemed Qantas Frequent Flyer Points.[22][23]

On 15 December 2015, Woolworths Rewards announced a new partnership with Qantas Frequent Flyer giving customers the choice to convert their Woolworths Dollars, earned through buying orange ticket products, into Qantas Points at a conversion rate of 870 Qantas Points for every 10 Woolworths Dollars.[24]

On 22 August 2016, Woolworths Rewards announced that members would now have additional redemption options, including converting their savings to Qantas Points.[25]

On 1 October 2019, Woolworths Rewards increased the rate at which points are converted to Qantas Frequent Flyer points. Instead of 2,000 Woolworths Rewards points converting to 870 Qantas points, this increased to 1,000 Qantas points. Upon reaching 2,000 Woolworths Rewards points, those points would now be converted within 24 hours (rather than in blocks every 3 months).[26]

See also

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References

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  1. ^ Non-Oneworld airline partners of Qantas Frequent Flyer include Air France, Air New Zealand, Air Tahiti Nui, Aircalin, Airlink, Airnorth, Bangkok Airways, China Airlines, China Eastern Airlines, China Southern Airlines, El Al, Emirates, IndiGo, Jetstar, Jetstar Asia, Jetstar Japan, KLM, LATAM Airlines, Network Aviation and WestJet [1]
  2. ^ "Frequent Flyer - Earn Points".
  3. ^ "Cards". Earning Points. Qantas. Retrieved 17 May 2007.
  4. ^ Pedersen-McKinnon, Nicole (2024-04-05). "What we know so far about Qantas' frequent flyer overhaul". The Sydney Morning Herald. Retrieved 2024-09-17.
  5. ^ "Dropbox". www.dropbox.com. Retrieved 2024-11-15.
  6. ^ "Status Privileges". Benefits & Privileges. Qantas. Retrieved 22 September 2013.
  7. ^ Graham, Matt (8 October 2023). "A Brief History of Qantas Frequent Flyer". Australian Frequent Flyer. Retrieved 26 August 2024.
  8. ^ "Qantas frequent flyer program to be revamped". Australian Broadcasting Commission — The World Today. 25 May 2007. Retrieved 24 September 2007.
  9. ^ "ACCC finalises investigation of Qantas frequent flyer program". Australian Competition and Consumer Commission. 21 June 2004. Retrieved 24 September 2007.
  10. ^ "Qantas Program May Be Worth A$2 billion, Analyst Says". Bloomberg. 12 March 2008. Retrieved 17 March 2008.
  11. ^ "Qantas Frequent Flyer — now bigger and better" (Press release). Qantas. 1 July 2008. Retrieved 1 July 2008.[dead link‍]
  12. ^ John, Danny (2 July 2008). "Qantas to raise $1b from sale of frequent flyer stake". Sydney Morning Herald. Retrieved 14 July 2008.
  13. ^ Zappone, Chris (24 September 2008). "Qantas delays frequent flyer float". Sydney Morning Herald. Retrieved 24 September 2008.
  14. ^ "Qantas Frequent Flyer points for Woolworths". The Australian. 8 December 2008. Archived from the original on May 19, 2009. Retrieved 2009-06-07.
  15. ^ "Battle for loyalty intensifies". The Age, Melbourne. 2 June 2009. Retrieved 2009-06-07.
  16. ^ "Woolworths looks to cut ties with Qantas". 21 October 2015.
  17. ^ Kidman, Angus (7 October 2009). "Frequent Flyer Points From BWS, Dick Smith Soon". Lifehacker Australia. Retrieved 2009-10-18.
  18. ^ "About Everyday Rewards and Qantas Frequent Flyer". Woolworths Limited. 26 October 2009. Retrieved 2009-10-26.
  19. ^ "Important changes to earning points with Everyday Rewards". Woolworths Limited. 12 September 2012. Retrieved 2015-03-15.
  20. ^ "Full Year Results Presentation" (PDF). Woolworths Limited. Retrieved 2009-09-17.
  21. ^ "Woolworths reports solid profits". Australian Food News. 26 August 2010. Retrieved 27 August 2010.
  22. ^ "Woolworths faces protracted battle to maintain loyalty after ditching Qantas deal, says expert". mumbrella. 26 October 2015.
  23. ^ "Woolworths ditches Qantas rewards tie-up as shoppers complain of "points fatigue"". No. 26 October 2015. dailytelegraph. 26 October 2015.
  24. ^ "Woolworths and Qantas announce new Frequent Flyer partnership". Woolworths. Retrieved 2016-09-08.
  25. ^ "Everyday Rewards Boost". everydayrewards.com.au/boost. Archived from the original on 25 August 2016.
  26. ^ "Earning Qantas Points at Woolworths just got better". finder.com.au. 30 September 2019. Retrieved 17 May 2020.
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