Velocity Points Value against AirNZ Points

[firefox]

Hi everyone,
So trying to work out what to do with a heap of Air Points (Air NZ)..
Now that i can earn AirPoints flying VA instead of Velocity, i am thinking about earning points against my AirNZ GE account instead.

For a typical flight i take with VA i earn 10,000 points (return leg in J)
The same flight i could earn 50AUD AirPoints..

Whats the value of 10K roughly in Velocity terms, i know it jumps all over the place, but surely someone has worked out what the "best value for point" is worth in VA...

Thoughts?

Is there anyone else doing this??

 

[markis10]

One of the better value options with DJ is the PE or J points + pay classic award redemption, for around 6900 points and $150 you can get a trans con flight, and award flights dont need 24 hours notice. A sydneysider could be comfortably winging their way to PER for the weekend in a few hours time in J

 

[ric_melb]

Markis I am impressed! I knew you were the guru of Qantas JASA, but now you are showing your skills with VA also.

 

[markis10]

Markis I am impressed! I knew you were the guru of Qantas JASA, but now you are showing your skills with VA also.

When you keep low values of points you need to stretch them hard

 

[cove]

Once again markis10 you are leading the way in "points and cash stretching". I am zooming ahead with points making and I think I will use a family member as the guinea pig tester of the J product seeing it is being advertised as available.
Has anyone tried it??

 

[serfty]

...

Whats the value of 10K roughly in Velocity terms, i know it jumps all over the place, but surely someone has worked out what the "best value for point" is worth in VA...
...

I value an

at ~$5 - I redeem them almost solely for Upgrades.

I may¹ value a DJ point at ~4¢, so 10K velocity points is worth more to me than

50.

¹Still have not quite finalised this 'value' yet.

 

[cove]

Serfty that really makes the Velocity Platinum Amex card worthwhile with the 30,000 sign on and a point and a half per dollar.

 

[Moopere]

I may¹ value a DJ point at ~4¢

I'd be interested in what you come up with. I really need to re-do my calculations now that DJ have done most of their re-launch. Prior to that I couldn't make a Velocity point stretch further than 0.7c

 

[serfty]

Premium redemptions - see post #2 for example, it's an exception but the same fare to purchase is $1400 - that's a corresponding value of ~17.8¢ per point.

Factoring differences in relation to point burn [6900] and earn [7000 for red, 14000 plat] I get 5.9¢ for DJ WP and 8.8¢ for DJ red.


Let's try MEL-CBR.

PE Fare $500. P'nP redemption 6650 and $35 but DJ red don't earn 2500 points (DJ WP dont earn 5000) that 5¢-4¢ per point.

 

[mr_osborne]

Premium redemptions - see post #2 for example, it's an exception but the same fare to purchase is $1400 - that's a corresponding value of ~17.8¢ per point.

Factoring differences in relation to point burn [6900] and earn [7000 for red, 14000 plat] I get 5.9¢ for DJ WP and 8.8¢ for DJ red.


Let's try MEL-CBR.

PE Fare $500. P'nP redemption 6650 and $35 but DJ red don't earn 2500 points (DJ WP dont earn 5000) that 5¢-4¢ per point.

So ((1400-167.75)/6900)=17.8c


But I'm totally confused by the second line... could you (or someone else who gets it) please expand a little.

 

[serfty]

So ((1400-167.75)/6900)=17.8c


But I'm totally confused by the second line... could you (or someone else who gets it) please expand a little.

There is a points cost with award redemptions. It costs points (6900) and no points are earned, unlike buying the flight.

A Red Velocity member would 7,000 points travelling on a $1400 purchase, a Platinum would earn 14,000 for the same purchase.

So the other calculations are ((1400-167.75)/(6900+7000)) for a Red and ((1400-167.75)/(6900+14000)) for a platinum.

 

[mr_osborne]

There is a points cost with award redemptions. It costs points (6900) and no points are earned, unlike buying the flight.

A Red Velocity member would 7,000 points travelling on a $1400 purchase, a Platinum would earn 14,000 for the same purchase.

So the other calculations are ((1400-167.75)/(6900+7000)) for a Red and ((1400-167.75)/(6900+14000)) for a platinum.

Now it all makes sense.
Thanks for that.

 

[Moopere]

Thanks Serfty. I use an excel spreadsheet to do this stuff and have been meaning to do another measurement of VFF for a while. From your calcs it looks like redemptions close to (or even above!) QFF are now possible. The QFF 16K point upgrades from discount Y to J domestically have pushed points values past 6c for QFF for the right flights....

Its all really indicative of overcharging though. Competitively priced flights on almost any airline appear to redeem at about 0.7-1c

 

[mr_osborne]

Thanks Serfty. I use an excel spreadsheet to do this stuff and have been meaning to do another measurement of VFF for a while. From your calcs it looks like redemptions close to (or even above!) QFF are now possible. The QFF 16K point upgrades from discount Y to J domestically have pushed points values past 6c for QFF for the right flights....

Its all really indicative of overcharging though. Competitively priced flights on almost any airline appear to redeem at about 0.7-1c

1. It has been mentioned in other threads, that the fares have been artificially inflated due to the number of upgrade vouchers out there due to the status matching, and also corporates can get bigger % discounts if the have inflated prices... So it may change in a year.

2. I was under the impression qantas points could be redeemed at 1.5c-2.3c...? for flight bookings(based off an ausbt article I can't currently find).

 

[cove]

On QF going coast to coast from Perth on a 45,000 JAsA earns a bit over 4 or even 5 cents a point based on a high retail price for a J flight after allowing for some points crediting(depends on your status).

 

[serfty]

The best value for QFF points is normally gained from upgrades or premium cabin bookings.

Economy classic award seats are poor value - generally at less than 1¢ per point. (YASA are not that much better.)

JASA/FASA don't always have a relatively good value either - BUT they do give status credit earning a good kick along.

Since most of my QFF point are redeemed for upgrades, over time I have come to a 2½¢ per point minimum valuation, normally I get far greater value.

 

[pauly7]

1. It has been mentioned in other threads, that the fares have been artificially inflated due to the number of upgrade vouchers out there due to the status matching, and also corporates can get bigger % discounts if the have inflated prices... So it may change in a year.

2. I was under the impression qantas points could be redeemed at 1.5c-2.3c...? for flight bookings(based off an ausbt article I can't currently find).

Don't always believe what you see written there. I along with other members get far greater value than that from QF

 

[Moopere]

Don't always believe what you see written there. I along with other members get far greater value than that from QF

Yes, me to, often, however, one has to be careful. This so-called value is a weird thing. The highest value per point is only redeemable on those routes which are massively over priced. I've done this calculation a few times myself. On those high priced routes, calculate out what the cost _would_ be at the points you've paid if each point was worth 1c ... you'll get a figure, generally, which is a lot closer to that which one would expect to pay on a more competitive fare.

This is all fine and ponderous I'm sure, but whilst I love redeeming at high rates the nature of it makes me feel uncertain. We're not redeeming against inherent value, rather, some 'made-up' value which can and does change wildly. So, in the end, I've gone with 2-3c / point as a general rule, but of course, always keeping an eye out for higher 'spot' value. This helps to guide me when I'm in a situation of having to buy points (via a new CC for instance). I won't pay more than about 2c/point.