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Frequent flyer members can expect to book more flights with fewer points in the near future as Qantas makes changes to its loyalty program.
The airline’s biggest overhaul of the program is expected to be released in April, and it is rumored that a new membership level will be introduced.
It will allow members to convert Frequent Flyers points into cash at a rate of one point for one cent when booking an economy seat. Points are expected to be worth less for higher quality seats.
Members can currently pay for a seat with points through Classic Flight Rewards or have the points converted to 0.7c each under Points Pay Plus.
The new tier is expected to bring more customers to Australia’s most popular flight rewards program with over 15 million members by 2023 – up from just over 14 million the year before.
A new subscription tier to Qantas’ Frequent Flyers program is reportedly coming in April as the company looks for ways to improve relationships with customers (stock image)
A Qantas spokesperson told Daily Mail Australia that the new plan, rumored to be called Classic+, will be offered alongside the two current programs, which will remain unchanged.
“We are still working to finalize the frequent flyer improvements, which respond to what members tell us about the importance of redeeming points for flights at the times they most want to fly,” the spokesperson said.
‘It’s a significant investment that will deliver great value for members, but it also makes sense for the program and our partners.’
This was reported by sources close to the inspection Australian Financial Review that the points used through Classic+ will be worth a penny each when you book an economy seat.
This would mean that a $100 flight would cost 10,000 Frequent Flyers points.
Sources close to the loyalty program’s overhaul say the new tier will let members convert each point into a cent off an economy seat (stock image)
The revamp was hinted at by Qantas chief executive Vanessa Hudson during a financial update last month.
She noted that members had become frustrated with the availability of seats through the Classic Flight Rewards program since the covid-19 pandemic.
The loyalty program brought in about $1.27 billion in revenue and $270 million in earnings in the latter half of 2023, despite the frustration.
The airline recently invested $50 million of the $230 million set aside to spend on improving the customer experience into the program to unlock more reward seats.