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 THE FREQUENT FLYER GAZETTE   ::   JANUARY 2002
 ISSN 1446-4292
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CONTENTS ::
 
1. Gold Subscriber
2. Ansett News
3. Reward Programs
4. In the News
5. Promotions
 

 

Editors Note :: 

Hello and Happy New Year everyone! Welcome to the January edition of the Australian Frequent Flyer Gazette.

It's the busiest time of the year for interstate travel down under but this time around it's also proving to be one of the most exciting with cheap ticket deals and high speculations within the Australian airline industry. And what will the new year bring? Will we still have three national air carriers this time next year?

Qantas has announced the launch of its new Asia-bound airline; Ansett's future hangs in the balance with thousands of creditors, including Global Reward point holders, eager to show their teeth at this month's creditors meeting; and Virgin has embarked on a ticket selling spree with $5 cheapies selling like there's no tomorrow...or is there? Virgin claims it's all good publicity and they're still making a profit.

Our bulletin board has seen some healthy discussions over the past few days and the two biggest issues are proving to be the Global Reward points and Westpac's new reward program Altitude. Read on for details.

And finally, "Reindeer Air" is bracing itself for one of the biggest frequent flyer point claims ever - thanks to Santa Claus. The bearded one has reportedly stacked up more than a billion reward points in just one night in late December...

Enjoy.

Adrian
Editor, Frequent Flyer Gazette

 
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1. BECOME A GOLD SUBSCRIBER
 

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For the last 3 years we have used the revenue received from banner advertising to fund our operation.  However, as you are probably aware, internet advertising has not lived up to expectations. We have therefore been actively seeking alternative income sources.

Ideally, we would prefer to keep all our services free and be supported by corporate sponsorship. We pride ourselves on our independence, and finding a sponsor which would not compromise this has proved challenging.

To ensure our financial survival and ongoing viability as an independent publisher, we are asking readers of this newsletter (and users of the website) to become GOLD subscribers. For a very small fee (approximately $1 a month!), GOLD subscribers can access many of the Frequent Flyer Club online tools such as calculators and Deal Watch as well as the points calculator included in this newsletter.

Important Note:  There is no need for Frequent Flyer Club members to become GOLD subscribers, as your membership includes all these features (+ much more).

Running a quality website is an expensive operation. If you have benefited from our services and enjoy receiving this newsletter in your mailbox each month, please consider becoming a GOLD subscriber and thereby contributing to our operation.

Read more about GOLD subscription at www.frequentflyer.com.au/gold/info.htm.

 


2. ANSETT NEWS
 

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New Frequent Flyer deal to be announced within 2 weeks

A deal between the administrators and Ansett's new owners is being finalised. Up to ten separate schemes are being discussed - one suggestion is that travellers could re-earn five of their old Global Reward points for each kilometre travelled with the new airline. A decision is expected within 2 weeks.

Ansett frequent flyers get credit rating

Christmas brought about some good news for Ansett Global Rewards point holders with the announcement they could take part in the failed airline's creditors meeting later this month. Almost four million members of the Global Rewards and Golden Wing Club members have been recognised as unsecured creditors. To participate (and vote!!) at the meeting you will need to register as a creditor. Details on how to register are available on our Bulletin Board (see www.frequentflyer.com.au/discus/messages/12/41.html?1010036518)

The bad news is that the sheer number of disgruntled frequent flyer members and the fact their demands come after those of secured creditors means they'll most likely reap little if anything from the remains of Ansett.

Legally this also means that frequent flyers will lose any legal rights to claim back their lost points once the Tesna group takes over from Ansett administrators on January 31. Perhaps this is why some inside the Tesna group have reportedly indicated the consortium is keen to put some sweetness back into the bitter saga of Global Reward points and lure some of its loyal customers back.

Westpac in hot water

Westpac credit card holders may have to be credited more than $5 million by the bank for Global Reward points accumulated between late August and September 12 last year. That's if it is established that the bank has not paid for loyalty points accrued in the weeks leading up to Ansett's demise.

Ansett administrators and Westpac can't agree on whether the bank has paid for the loyalty points racked up by its customers during that period. Under its new Altitude program, Westpac is not recognising points accrued by Global Reward point scorers prior to September 14. More than 500 million reward points accrued through a joint Westpac/Ansett reward program are missing in action, presumed lost after the airline's voluntary administration last September.

Diners clubs Ansett

 Diners Club has attacked Ansett administrators for not offering empty seats on the airline's flights to frequent flyer members. This follows a public statement by Ansett administrators that on average flights on the scaled-down airline where only half filled.

    


3. The Reward Programs' Low down
 
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Star Alliance cool over Ansett

The latest word from Star Alliance bosses is wait and see what happens to the new Ansett, post January 31. Speaking in a chat room discussion recently, the top wigs were asked what the future holds for Global Reward members when it comes to the Star Alliance family.  But the response was less than impressive: "Ansett's prospective new owners, the Tesna Group has publicly stated they want Ansett to remain in Star. Star and Tesna will be entering into discussions soon."  More talk, no action.

Point insurance

In the same chat session, Star Alliance poured cold water on reward point insurance, such as avenues for transferring points between Star Alliance member airlines should one go bust (sounds familiar?).  "This is a difficult question to answer, since it is an emotional one for many customers as we saw with Global Rewards," was the response from Star Alliance gurus. "It's something to consider for the future."

The official word is that each alliance member has a different program structure, making the cost and logistics of such transfers difficult.

Qantas waitlist

Qantas Frequent Flyer members now have the option of registering on a waiting list for international flight upgrades using their frequent flyer points or upgrade credits. You can upgrade one class only and the offer excludes "purely domestic" legs of international flights.

Chairman's Lounge members and Platinum and Gold Frequent Flyers can register for the waitlist between 90 days and 72 hours before departure but Silver and Bronze members only have a window of between 14 and 7 days before departure.

Take your number and fly

Don't forget to quote your rewards program number when buying your next flight. According to Star Alliance, half the reason reward points are not being automatically credited to customer accounts was because they haven't quoted their membership number at the time of making reservations. Naturally any problems should be reported to your frequent flyer program.

Global board talk

Our bulletin board has been running hot over Ansett's collapse and the future of the Global Reward points. Opinions are divided between those who want to see their points reinstated ASAP and those happy to see the new Tesna group's airline up and flying before the future of their points is decided. Some suggested a buy-one-get-one-reward-ticket-free scenario to get the ball rolling.

New Altitude in customer anger

Westpac has also copped a thrashing on our bulletin board for aligning itself with Air New Zealand. As one contributor wrote "They are the last airline that I would want to have any affiliation with given their key role in the collapse of Ansett." But at least one other praised the program as the best in Australia because of its flexibility.

    


4. THE PRESS ROUNDUP
 
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Phone tops net

A note to Ansett customers - some of the airline's "sold-out" internet fares seem to still be available if booked by phone. Reports indicate that some bookings which appear to have been sold out on Ansett's website can still be made if you telephone the airline. It costs an extra $5 to book over the phone.

New airline

Qantas has expanded its wings with the announcement of a new Asia-bound carrier, Australian Airlines. Qantas Frequent Flyer program members have been invited to come along for the ride on the new service, which is due to start later this year. They'll be able to earn and redeem points on the new carrier, which will also seek membership of the oneworld network. Australian Airlines will operate four planes between Cairns and Osaka, Nagoya, Singapore, Taipei, Hong Kong and Fukuoka.

Empty seats

United Airlines says its "revenue passenger miles" have dropped by almost a quarter last November, compared to the same time the previous year. Seat capacity was down 20.7 percent.

    


5. REWARDS AND SPECIALS FOR JANUARY
 
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Deal Watch (GOLD subscribers only)

Query our exclusive frequent flyer database to find all current frequent flyer specials.  See a demonstration.

Wheel deal

Qantas Frequent Flyers will get 10% off when renting from the Hertz Prestige Collection. The selection includes the luxury Volvo C70 convertible, Ford Mustang Cobra convertible, Ford Fairlane Ghia, BMW 525i, BMW 318i and the sporty BMW Z3.

Seat salvo

Qantas has fired a salvo of 2.5 million cheap seats into the airfare war being fought out over our skies. The airline says price as low as $66 one way will hopefully stimulate demand in the traditionally slow post-Christmas period. The offer applies to Adelaide, Melbourne, Sydney, Brisbane and Canberra. Sale ends on January 14.

Bonus points with Cathay

Business class travellers on Cathay Pacific can earn up to 10,000 bonus points on flights between Auckland and Hong Kong. Available on daily Cathay Pacific non-stop services CX108 (Auckland / Hong Kong) and CX107 (Hong Kong / Auckland). Valid until the end of February.

Blue specials

Blue specials Virgin Blue has fares starting from $69 on key routes, for travel from January 9 until March 27. The low-cost tickets will be on sale until January 13, or until seats are sold out. The offer is for travel from Sydney, Melbourne, Brisbane, Adelaide and Canberra but the airline says the fare may not be available on peak flights or peak days.

Card mileage

United is giving away 9,000,000 frequent flyer miles. There is a catch - the giveaway competition is for United Mileage Plus Visa cardholders who use their card before the end of January. Nine winners will be drawn.

    

 

� THE AUSTRALIAN FREQUENT FLYER, 2002