Flyers advised to switch loyalties
Mon "The Australian"
Flyers advised to switch loyalties
Steve Creedy, Aviation writer
November 29, 2004
QANTAS frequent-flyers hit by a big rise in the number of points required to claim tickets on many long-haul flights may be better off joining a loyalty scheme run by an overseas airline, experts have advised.
The flying kangaroo's 4.1million frequent-flyers were told last week that changes due to be introduced on May 25 would make it harder to get sought-after upgrades and mean it would take an estimated 20 to 40per cent more points to redeem tickets on many longer routes.
Perth travellers will be particularly hard hit, with a return economy ticket to Sydney increasing 6000 points to 36,000 points and business-class redemptions rising from 45,000 points to 72,000 points.
A return economy-class redemption from Melbourne to London increases from 110,000 points to 128,000, while a business-class ticket rises from 220,000 points to 256,000.
Experts such as Clifford Reichlin, the principal of frequentflyer.com.au, say some frequent-flyers could benefit from joining schemes run by Qantas alliance partners that charge fewer points for an overseas ticket.
Members of frequent-flyer schemes run by partner airlines can redeem tickets on Qantas and vice versa. Points balances are not transferable.
"It's my gut feeling that it could well be better for Australians to join the American Airlines frequent-flyer program and redeem those points locally on Qantas," Mr Reichlin said.
He said joining the American scheme would not suit everyone and there would be restrictions on earning points through credit cards. Passengers would also have to look carefully at the way points were earned.
But people who travelled regularly to the US could benefit from switching schemes, he said.
Travel analyst Mayur Patel calculated that a return economy award to Hong Kong would cost 60,000 points on Qantas from May 25, but only 45,000 on Cathay Pacific. Mr Patel said Qantas members not receiving the big points-earning bonuses given to the airline's most-frequent flyers could benefit by joining the Cathay scheme.
Consumer groups have condemned the Qantas changes, which one described as a "spit in the face" to members. Qantas head of marketing Martin McKinnon said the May redemption changes corresponded with a 9 per cent average price increase over three years for economy travellers, and 14 per cent overall.
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