Frequent flyer points tips to deliver travellers more options

Frequent flyer programs offer more than just airline seats, and savvy travellers are using supermarket spending, bonus deals and credit cards to fund trips.

Points are an increasingly powerful tool for Australians to pay for their holidays, and the options to earn and use them are multiplying.

Frequent flyer programs have expanded beyond traditional airline seat offerings, and more members are using their reward points for accommodation, car rentals and rail journeys.

Reward program experts say a key to generating thousands of extra points each year is by double-dipping and triple-dipping on purchases.

For example, supermarket shopping can give you Everyday Rewards or Flybuys points, and if you pay with a rewards credit card you get extra points. People who book holidays through frequent flyer websites can get bonus points from the portal, more for using the credit card, plus points for the flight or stay.

Rewards credit cards should only be used by those who can afford to pay off the debt in the interest-free period. If you can, the sky’s the limit, with several cards offering tens of thousands of points for signing on.

Adele Eliseo uses reward points for flights and accommodation. Picture: supplied

The Champagne Mile founder Adele Eliseo says the points can be earned almost anywhere we spend.

“Those who leave points-earning opportunities on the table are effectively subsidising savvy shoppers who leverage loyalty and rewards programs to full advantage,” she says.

Eliseo says consumers can consider using free supermarket rewards programs when grocery shopping, points portals for online shopping and leveraging frequent flyer point offers on insurance.

Woolworths says millions of its Everyday Rewards customers save money by scanning their cards at the checkout, and boosting their points with partner offers.

“Everyday Reward members can choose to redeem $10 off their next shop each time they reach 2000 points, or automatically convert to 1000 Qantas points,” a spokesperson says.

“On average, Everyday Rewards members who regularly boost offers can earn 24,500 Qantas points a year, helping them visit a number of popular holiday destinations around the world.”

A one-way flight can cost just 8000 points plus taxes.

Qantas says people can earn extra frequent flyer points “without trying” by:

• Signing up to streaming service BINGE for 1000 points, plus 50 points for each month subscribed, or 1500 points for subscribing to Kayo Sports.

• Receiving one point per dollar spent on Airbnb, Uber, BP, Qantas Wine and elsewhere.

• Getting two points per dollar spent on some credit cards and energy bills.

• Logging your exercise to earn up to 1000 points on the Qantas Wellbeing App.

Velocity Frequent Flyer CEO Nick Rohrlach says shopping at 7-Eleven, Coles, Bunnings, Officeworks and Liquorland can deliver points to be transferred to Virgin’s frequent flyer program.

Balances can be built further by transferred bank, credit card and hotel rewards points to the program, he says.

Velocity Frequent Flyer CEO Nick Rohrlach and Luxury Escapes CEO Adam Schwab celebrate their new partnership. Picture: Supplied

“You could earn two lots of Velocity Points for a single eligible purchase, if you spend with our program partners, and pay using your Velocity Points earning credit card,” Rohrlach says.

He says Velocity offers 400,000 hotels around the world that can be booked using points to pay for all or part of the booking.

Velocity will enter into a partnership with Luxury Escapes mid-year. “Velocity’s more than 11 million members, and Luxury Escapes’ three million Australian customers will be able to earn and redeem Velocity Points on thousands of luxury holiday packages, hotels, cruises, tours and experiences,” Rohrlach says.

Travel options for spending points are expanding as more people vary their use.

“As demand for travel continues, we are seeing an increasing number of travellers opt to use frequent flyer points for luxury accommodation at a destination, rather than on the flights to get there,” Eliseo says.

“Using points for nights instead of flights holds strong appeal for families. After all, multiple people can enjoy the spoils of accommodation booked with points, as opposed to a single seat flight redemption.

“It’s worth bearing in mind that accommodation redemptions using frequent flyer points – as opposed to a hotel direct – are considered third party bookings. As a result, hotel benefits such as status perks like lounge access and room upgrades usually won’t apply.”

KNOW THE TRAVEL VALUE PER POINT

• Up to 5c or more when using points for business and first-class flights

• Up to 2c per point when used for economy flights.

• Around 0.6 Velocity points per cent when redeeming points outright for accommodation – Velocity redemption rates via Luxury Escapes have not yet been released.

• 0.8c per Qantas Point value for Qantas Points plus Pay, rising to slightly over 1c per Qantas Point for Qantas Classic Hotel Rewards.

Source: The Champagne Mile