Qantas unveils new scheme to earn points and status credits on cheapest Jetstar fares
Qantas has unveiled an exclusive new points-earning scheme that allows budget travellers to collect premium rewards on Jetstar's cheapest seats. With just one catch.
Qantas is expanding its already mammoth frequent flyer scheme to deliver more points-earning opportunities for Jetstar passengers, including those travelling on the cheapest sale fares.
Under a new “offshoot” dubbed Qantas Frequent Flyer Extra, members of Club Jetstar can earn up to 75 bonus status credits a year and thousands of points on even the cheapest Jetstar fares.
The catch is that as well as forking out $65 for a Club Jetstar membership, or $55 for a renewal, a subscription to Qantas Frequent Flyer Extra will cost $199 a year.
Frequent flyer expert Adele Eliseo of the Champagne Mile said the $254 to $264 annual cost worked out to about $3.40 a status credit which was still “pretty good value”.
“I think this is actually a very clever move – effectively it’s allowing Jetstar to capture a more premium group of flyers, so even business flyers,” said Ms Eliseo.
“Where I see it being particularly appealing is where there’s a commercial reason to be looking for the cheapest flight of the day and suddenly you can get Jetstar with status credits which is quite attractive.”
She said it was unlikely to lure frequent flyers away from Qantas, but it could convince Virgin Australia customers to make the jump to Jetstar.
“When the reliability is there (with Jetstar) it’s quite a compelling option, particularly when Virgin isn’t offering a lot more for around the same price,” Ms Eliseo said.
Executive Traveller editor-in-chief David Flynn agreed the initiative seemed to be more about swaying travellers away from Virgin Australia’s cheapest fares.
He said the number of status credits able to be earned in a year, was barely 10 per cent of what was needed to get to gold.
“Jetstar’s starter fares and Virgin’s lite fares are comparable in price and features, so if you’re flying to a budget or have to observe the lowest fare of the day policy, the ability to pocket those extra Qantas points and status credits is likely to be very appealing,” said Mr Flynn.
By way of example, a bronze level frequent flyer travelling with Jetstar on Sydney to Melbourne currently earns no Qantas points or status credits on a starter fare.
However those signed up as Qantas Frequent Flyer Extra members, would score 800 points and 10 status credits on the most basic fare, and 2400 points and 30 status credits on a flex plus fare.
International flights would also deliver a points windfall to Jetstar customers participating in the new scheme, starting from 2400 points on a Brisbane Bali basic fare, and climbing to 18,400 for Cairns-Tokyo in business.
Jetstar chief executive officer Stephanie Tully said the new product would help members earn millions more Qantas points a year.
“We’re making flying with Jetstar even more rewarding by supercharging the earning power
of Qantas frequent flyers when they travel with us – so they can take off more for less,” she said.
Ms Eliseo said there was a risk more “traditional” Qantas frequent flyers could feel they are not getting the recognition they deserve as the airline increases opportunities to build up status credits.
In addition to the Jetstar scheme, Qantas has put in place ways to earn status credits on the ground, as well as more double status credits or points offers.
“It is a matter of balance and Qantas does need to be careful that they’re perhaps not fast-tracking other people to status too easily,” she said.
Status credits help unlock new tiers of the frequent flyer program, with gold, platinum and platinum one coming with a range of benefits including lounge access, priority boarding and earlier reward seat access.
The program has more than 17 million members who earned 222 billion points in the year to June 30, and burned 185 billion.
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