Qantas Frequent Flyer

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The Qantas frequent flyer programme is aimed at rewarding customer loyalty. Points are accrued based on distance flown, with bonuses that vary by travel class. Points can also be earned on other Oneworld airlines as well as through other non-airline partners. Points can be redeemed for flights or upgrades on flights operated by Qantas, Oneworld airlines, and other partners. Other partners include credit cards,[1] car rental companies, hotels and many others. To join the programme, passengers 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 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).[2]

Qantas has faced criticism regarding availability of seats for members redeeming points.[3] In 2004, the Australian Competition and Consumer Commission directed Qantas to provide greater disclosure to members regarding the availability of frequent flyer seats.[4]

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.[5]

On 1 July 2008 a major overhaul of the programme was announced. The two key new features of the programme 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.[6] 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.[7] However, in September 2008, it stated it would defer the float, citing volatile market conditions.[8]

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.[9] 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.[10] Woolworths was to pay the QFF program for QFF points earned by members under the arrangement.[11]

The program was later expanded to include some of Woolworths Limited's other stores including Big W and BWS.[12] From October 2009, cardholders could collect one point per dollar for every dollar over $50 spent in one transaction at Dick Smith and Tandy,[13] however those stores' participation stopped in September 2012.[14]

In August 2009, of 3.8 million Everyday Rewards cards "registered", 1.2 million were linked to a QFF account,[15] which increased by August 2010, to 5.1 million cards registered, of which 2.7 million were linked to a QFF account.[16]

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.[17][18]

See also

References

  1. "Cards". Earning Points. Qantas. Retrieved 17 May 2007. 
  2. "Status Privileges". Benefits & Privileges. Qantas. Retrieved 22 September 2013. 
  3. "Qantas frequent flyer program to be revamped". Australian Broadcasting Commission — The World Today. 25 May 2007. Retrieved 24 September 2007. 
  4. "ACCC finalises investigation of Qantas frequent flyer program". Australian Competition and Consumer Commission. 21 June 2004. Retrieved 24 September 2007. 
  5. "Qantas Program May Be Worth A$2 billion, Analyst Says". Bloomberg. 12 March 2008. Retrieved 17 March 2008. 
  6. "Qantas Frequent Flyer — now bigger and better" (Press release). Qantas. 1 July 2008. Retrieved 1 July 2008. [dead link]
  7. John, Danny (2 July 2008). "Qantas to raise $1b from sale of frequent flyer stake". Sydney Morning Herald. Retrieved 14 July 2008. 
  8. Zappone, Chris (24 September 2008). "Qantas delays frequent flyer float". Sydney Morning Herald. Retrieved 24 September 2008. 
  9. "Qantas Frequent Flyer points for Woolworths". The Australian. 8 December 2008. Retrieved 2009-06-07. [dead link]
  10. "Battle for loyalty intensifies". The Age, Melbourne. 2 June 2009. Retrieved 2009-06-07. 
  11. http://www.theage.com.au/business/retail/woolworths-looks-to-cut-ties-with-qantas-20151021-gkf0ry.html
  12. Kidman, Angus (7 October 2009). "Frequent Flyer Points From BWS, Dick Smith Soon". Lifehacker Australia. Retrieved 2009-10-18. 
  13. "About Everyday Rewards and Qantas Frequent Flyer". Woolworths Limited. 26 October 2009. Retrieved 2009-10-26. 
  14. "Important changes to earning points with Everyday Rewards". Woolworths Limited. 12 September 2012. Retrieved 2015-03-15. 
  15. "Full Year Results Presentation" (PDF). Woolworths Limited. Retrieved 2009-09-17. 
  16. "Woolworths reports solid profits". Australian Food News. 26 August 2010. Retrieved 27 August 2010. 
  17. "Woolworths faces protracted battle to maintain loyalty after ditching Qantas deal, says expert". mumbrella. 26 October 2015. 
  18. "Woolworths ditches Qantas rewards tie-up as shoppers complain of “points fatigue”" (26 October 2015). dailytelegraph. 26 October 2015. 

External links