The airline ‘‘ought to be very careful in how they tread in this area’’ because of increased competition from
Virgin Australia, the editor of AirlineRatings.com, Geoffrey Thomas, told Fairfax Media. [...] Mr Thomas said the change was ‘‘absolutely profit driven. ‘Doing something like this may look good to an accountant on paper, but in the cut and thrust of intense competition, this may be a frequent flyer point too far.’’ [...]
Consumer group Choice spokesman Tom Godfrey said the news did not bode well for consumers. ‘‘A lot of consumers who are looking for discounted airfares and seeking to get a benefit from signing up to a rewards program will have to think twice before looking at Qantas,’’ he said. ‘‘Maybe it’s time Frequent Flyers should change its name to Premium Purchases, because, at the end of the day, Qantas is not rewarding your loyalty or how far you fly, but rewarding the premium price you pay for tickets.’’ But Mr Thomas believes Qantas’ reputation is ‘‘good enough to withstand the backlash in the long run’’. [...] ‘‘Yes, they’ve taken a bit of a battering, but as long as they continue to deliver a valued product, they will survive,’’ he said.