Qantas Frequent Flyer Changes Coming Early 2024

Qantas Boeing 737-800 in Brisbane
Qantas has flagged improvements to its loyalty program, which it will reveal in early 2024. Photo: Matt Graham.

Qantas CEO Vanessa Hudson has flagged upcoming changes to the Qantas Frequent Flyer program, to be implemented in early 2024.

Addressing shareholders at the 2023 Annual General Meeting (AGM), Hudson cited changes to the frequent flyer program as an example of an area where Qantas was investing in better value for customers. It’s in response to customer feedback and negative media attention over recent months and years, as well as a Senate inquiry that looked into the value of frequent flyer points.

Qantas already invested in several initiatives last month to offer more value to frequent flyers, including a large release of extra Classic Reward seats to Europe.

“Last month, we brought forward the release of 35,000 reward seats – seats you can secure with the least number of points – for members. On top of that, we added a further 6,000 rewards seats to Europe for the next summer peak,” Hudson said.

“At the same time, we offered a 50 per cent discount on the number of points required for any Premium international seat on any Qantas flight in our system.”

Those were initiatives that Qantas could implement in the short term. But the airline is also working on longer-term “improvements” to the program that should make it more sustainable and attractive to members.

“These [recent initiatives] are things we’ve been able to do quickly, but we’ve been working on more permanent improvements to Frequent Flyer for several months that we look forward to sharing early next year,” Hudson added.

What could Qantas Frequent Flyer be changing?

At this stage, Qantas hasn’t given any more specific details about the changes planned for early 2024. However, we expect that any changes will be designed to address some of the key current “pain points” for frequent flyers.

One of the most common complaints about the Qantas Frequent Flyer program has been a lack of Classic Flight Reward availability on routes and cabin classes that people want to fly. So, we wouldn’t be surprised if part of these changes involved making more reward seats available – albeit, perhaps, for a higher number of points.

Over recent years, the value of Qantas points being earned by members has exceeded the value of points being redeemed. As well as being a growing liability for Qantas, this dynamic can affect the loyalty program’s sustainability. Making it easier for members to redeem points would address this issue.

There have also been recent reports that Qantas is looking to improve its Points Club program, to make the benefits more attractive.

A Qantas spokesperson declined to comment further.

Qantas A380 Business Class
The upcoming changes could impact the way Qantas Frequent Flyers redeem points. Photo: Qantas.

Don’t panic!

There are probably a few AFF members who will look at today’s announcement and fear that “enhancements” (often a codeword in the loyalty industry for “devaluations”) are coming. However, we don’t think there’s much cause for concern at this point.

It’s unlikely that Qantas would do anything to exacerbate the current public sentiment towards the airline. Indeed, Qantas plans to invest actual money into the early 2024 changes – which is likely to mean a good overall outcome for members.

In any case, the Qantas Frequent Flyer program terms & conditions require the airline to provide at least three months’ notice of any changes that will limit any benefits provided by Qantas. Where a third party provides the benefit, Qantas must give at least 30 days of notice before any changes, where possible.

So, if the changes did result in a reduction in the value of points, it wouldn’t be immediate and you would have time to use your points before any negative changes took effect. If, indeed, there are any negative changes – and that’s not a given.

The last time Qantas Frequent Flyer made major changes to its frequent flyer program was in 2019. One of the key changes made then was an increase in the cost of points upgrades and Classic Flight Reward bookings in premium cabins. However, those changes were accompanied by a reduction in reward booking carrier charges and lower long-haul Economy Classic Reward pricing.

It has now been over four years since the last significant Qantas Frequent Flyer program changes. That’s quite a long time in the world of loyalty programs.

What would you like Qantas Frequent Flyer to change?

For now, we’re keeping an eye out for a big announcement in early 2024!

In the meantime, it’s over to you, AFF community…

What changes would you like to see Qantas make to its frequent flyer program? You can share your thoughts on the AFF forum!

The editor of Australian Frequent Flyer, Matt's passion for travel has taken him to over 70 countries… with the help of frequent flyer points, of course!
Matt's favourite destinations (so far) are Germany, Brazil & Kazakhstan. His interests include economics, aviation & foreign languages, and he has a soft spot for good food and red wine.

You can connect with Matt by posting on the Australian Frequent Flyer community forum and tagging @AFF Editor.
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Uh oh! I hope "improvements" does not mean the same as "enhancements" or "better and fairer".....

Edit - with credit to @Rangalad, of course I mean "simpler and fairer" 🤦‍♀️

Reply 13 Likes

Quotes are from Matt's article:

One of the most common complaints about the Qantas Frequent Flyer program in recent times has been a lack of Classic Flight Reward availability on routes and cabin classes that people want to fly. So, we wouldn’t be surprised if part of these changes involved making more reward seats available – albeit, perhaps, for a higher number of points.

When I heard all this, I wondered if they might (just to complicate things further) introduce a 'premium' classic reward seat which would take more points (but nothing like points+pay !!!) and would be released first, with any 'unsold' PCR seats then being thrown back into 'classic' classic reward pool. Or maybe like you say, some additional ones.

I'd not like the tiered system of reward seat points cost like VA has introduced.

On the downside, are they looking at dynamic pricing? That would be the total end for me (not that I carry many QFF points these days).

There are probably a few AFF members who will look at today’s announcement and fear that “enhancements” (often a codeword in the loyalty industry for “devaluations”) are coming. However, we don’t think there’s much cause for concern at this point.

I breathed a bit of a sigh of relief when the 'enhancement' word didn't appear!

You ask what changes would we'd like? I'd prefer to go back the predictable schedule of release of seats, timing priority to Plats & above (else its another diminution of high status (=money in the airlines' pocket) and guaranteed 2 Award seats in Biz cabins & below on every (yes, every) flight; 4 on an A380.

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Hopefully this doesn’t mean revenue based points earning

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You ask what changes would we'd like? I'd prefer to go back the predictable schedule of release of seats, timing priority to Plats & above (else its another diminution of high status

I would like this too. And I would like to see a much bigger number of seats available in premium cabins on popular routes - anywhere in Europe, anywhere in USA, Japan would hit the sweet spot for me.

I'd like them to convert the Platinum can ask for a FF seat to be released" to a guaranteed release when requested say once per membership year, or as a loyalty bonus when you are half way to LTP but will never make it or some other way to encourage those with LTG to stay flying with QF.

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Bear in mind the audience where VH used the term “improvement”. It was the shareholder group, not a customer group. Improvements for shareholders could very well mean “ways of extracting more from our customers whilst providing them less”.

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Uh oh...

Me too! But then I read to the bottom of the article and kind of do agree with @AFF Editor that they might not want to create any more anger right now. But hey after all it's Qantas, so who knows 🤷‍♀️

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Uh oh! I hope "improvements" does not mean the same as "enhancements" or "better and fairer".....

Simpler and fairer :-)

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Almost certainly a devaluation, but they won't be able to do a straight devaluation so early into the new CEO's brand reputation rebuild process.

So it will also need to have some sweeteners attached.

They could probably spin a full switch to dynamic pricing as being an 'improvement' if they initially set the redemption prices for the old classic reward seats at a lower point than is currently the case. Then tout all the other seats as being increased availability — 'now you can buy any spare seat on the plane with points' (even though points plus pay already offers that).

They could also fiddle with the award levels, improving economy again while devaluing premium cabins, but that won't do enough to address the main gripe, which is lack of availability.

My money is on dynamic pricing.

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Dynamic pricing would be a disgraceful move from a discredited airline with a despicable management culture.

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