How good is Velocity?

Discussion in 'Virgin Australia Velocity' started by turtlemichael, Feb 13, 2007.

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  1. turtlemichael

    turtlemichael Established Member

    May 24, 2006
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    #1 turtlemichael, Feb 13, 2007
    Last edited: Feb 13, 2007
    The perception I have had is that Velocity is a better program than QFF at least in a couple of respects:
    • It takes less flying to earn flight rewards
    • There is substantially better redemption opportunities.
    Having completed 12 months as a Velocity member I thought I’d analyse what I’d done.

    In the last 12 months I have taken 11 DJ flights. – 3 CNS-SYD and 3 return, a CNS-BNE and return, a CNS-MEL and return and SYD-BNE one way. I have also taken a number of QF domestic and international flights.

    From those DJ flights I’ve earned 9800 Velocity points. If I had flown QF I would have earned 200 status credits, and 24,908 points. If I had not been a WP, I would have earned 12,954 as a bronze, 15942 as a silver or 18931 as a gold.

    Several comments:

    In general, I am not bound by a strict timetable and can pick when I fly.

    On those 11 flights I reckon I saved about $700 in costs compared with flying QF.
    Of course I earned less Velocity points than I could have by picking cheap fares

    200 Status credits passed on could have made a large difference to status within the QF program.

    With my 9800 Velocity points I do not have enough for a CNS-SYD flight. It will take another near 7000 points unless I can find a special. I would have had enough QF points for CNS-SYD as 18,000 points will do if I pay the fines but 24,000 will cover the award flight and fines.

    My conclusion:

    Its borderline as to whether I have done the right thing in my case Significantly, I have saved $700 and have not, as yet at least, endangered my WP status with QF

    As a WP if I had flown QF I would have earned a relevant award. I have not earned the same flight on DJ.

    So I think my perceptions are a bit wrong. The first perception (that its takes less flying to get rewards on DJ) is clearly wrong in my case. It depends on what you pay for your ticket.

    The second perception is probably wrong at least for a WP as redemption opportunities for domestic flights on QF are ok.

    The benefit of DJ comes about because of lower opportunistic fares than when flying QF in my experience rather than anything to do with the Velocity program.

    In fact I also have 15,000 points from a Velocity Visa card but have left that out of this calculation. So overall I have done ok. However, if I was saving up for an award on one of the DJ international partners I would be very old by the time I got it.

    My advice to anyone is to check your perceptions.
     

  2. serfty

    Moderator

    Nov 16, 2004
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    I would guess that your summation is quite in line with any research DJ did be implementing "Velocity Rewards".

    They would have analyzed many factors and done substantial research to ensure that while what was being offered with the VR program would generally be "more rewarding" than QFF, it would not be significantly more.

    Kudos to the actuaries and the like who did the numbers ...
     
  3. dajop

    dajop Senior Member

    Jul 1, 2002
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    Interesting to see your calculations, sort of sums up what I think of the Velocity program, taking advantage of lower fares provides the main benefit.

    Where VR may work (in theory) better is on the flexi-saver short sector fares. Take MEL-SYD, at $239/flight = 1434 pts it takes 39 flights to get the 55,000 pt return fare to SIN or KUL from MEL/SYD/BNE. On QF you earn 1222 pts (1000 pts + 20 S/Cs which convert to 222 as loyalty bonus), and therefore need 49 flights to do the same (which is a 60,000 pt QF redemption).

    What I have also done is calculated what premium is the most to pay for flying DJ over JQ. Easy to assign value for domestic rewards - seems to be < 1 c per point. For international more difficult, but:
    - assuming a return to SIN is about $750 plus taxes
    - DJ points worth 750*100/55000 = 1.34 c per point.
    - If DJ fare costs $110 you get 660 pts = $8.80 in value, therefore if JQ fare is < $101 then it offers better value (unless connecting in which case there may be extra value in getting bags transferred on DJ)!
     
  4. alect

    alect Member

    Jun 20, 2006
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    MEL
    If you're comparing the points accrued on both programmes for an award, shouldn't you factor in the fact that although you did not have enough for a DJ award for a CNS-SYD flight, you could have easily bought one with the $700 you saved?

    I would value $700 higher than either 18k or 24k QFF points.
     
  5. Kiwi Flyer

    Kiwi Flyer Senior Member

    Sep 24, 2004
    5,453
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    Its funny but I have almost the same in reverse when comparing QF & NZ for domestic (within NZ) main trunk flights (since regional is only NZ). On the main routes, generally NZ more rewarding but higher fares. QF has the advantage of earning on all fares, thus cheaper, but less rewarding.

    In the end there isn't a lot between them so sales and schedule often decide which one I pick.
     
  6. pgriffin7

    pgriffin7 Junior Member

    Mar 31, 2009
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    Those same 9800 points can get you movie passes from Hoyts with points left over.I got points from a NAB Velocity Card which I use every so often for petrol a few flights with Virgin Blue ADL-SYD-ADL AND ADL-BNE-ADL plus Malaysia Airlines Economy Class ADL-KUL-ADL since I joined in late 2007 so for that reason alone I prefer Velocity and besides I am on a Hospitality Service Workers Income Not a Doctors Salary so I rely on Low Cost Carriers domestically but will treat myself to something better internationally though
     
  7. ANstar

    ANstar Active Member

    Sep 22, 2006
    679
    2
    Sydney
    I like the program... as you point out you usually get better fares from DJ than QF so you have the opportunity to save some $$$ as well as earn Velocity points.

    also re earning I have found it pretty easy to rack up points

    They tend to have lots of promos for earning and burning... They had VA J tickets for about 76k one way a month or so back...
     
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