For most frequent flyers, the strategy is a straight-up “earn then burn” play for points. Indeed, you may be purely focused on getting that number up – so you can get up in the air. And every time you do so in business class, it’s a sweeter win.
But I have to say, I’ve recently bought into all the fuss about so-called status, those gold, silver, and platinum-level benefits. If frequent flying is a game, and many aficionados treat it thus, status is like getting overpowered.
So, it seems precisely timed for this personal revelation that Qantas has changed the status game rules. Let’s see if you too should care.
Status achieves some nice-to-haves but also potentially need-to-haves. On the nice-to-haves side, there are lounge passes – so think free food and drinks, a comfy place to wait for your plane, priority boarding. You might also get higher discounts with Qantas partners and seat upgrades on flights.
But on the possible need-to-have side is something that addresses one of the biggest bugbears people have about the Qantas reward scheme (and indeed many): the availability of seats.
What many people don’t realise is that a high status gives you the ability to get a rewards seat that doesn’t exist unlocked (on Qantas aircraft, not partners) – either one that’s not being offered to lower-status members or even with a phone call.
You’ll get up to 140 additional status credits each year via spend across 10 difference categories with Qantas subsidiaries or affiliates.
The problem is that, traditionally, you get status in the air by paying for flights, which – for me and many – defeats the purpose of playing, as ‘winning’ at frequent flying is getting those flights free. But Qantas has now significantly moved the status goal posts.
Following the huge success of a promotion that let member earn status on the ground late last year, it’s making the change permanent.
How do you earn status on the ground? You’ll get up to 140 additional status credits each year via spend across 10 difference categories with Qantas subsidiaries or affiliates, such as credit cards, retail partners, and utility providers. Details are to be released later.
And while status credits used to expire at the end of a membership year, tiered members (the tiers are bronze, silver, gold, platinum and platinum one) will now get to roll over up to 50 per cent of their excess status credits. That sure beats them expiring.
However, there is a complication in all this because status ‘nice-to-haves’ weren’t really just earnable in the air … and these extra avenues look – for now – in jeopardy.
Sub-schemes of the Qantas program are Points Club and Points Club Plus, which give similar perks for 150,000 and 350,000 points earned in a membership year. You can already rack up these points with partners and Qantas products, with bulk credit card sign-up points a particularly fast avenue.
And here’s the real wrinkle: another big advantage was the ability for Points Club and Points Club Plus members to earn status credits on Classic flight reward bookings.
Both schemes at this stage are to be closed, although Qantas Loyalty and Customer CEO Andrew Glance said at the media announcement: “We are looking for a new home for that benefit, and that could look like something very different.”
The shutting of Points Club and Points Club Plus, and opening of status-on-the-ground, is loosely scheduled to take place in October or November. To me, that spells the chance for transitional plays – so I asked Point Hacks chief editor Brandon Loo the moves he would make to game the new system.
Before the changes (remember, we are told they may kick in from October or November) he says: “If Points Club is already on the radar, then I’d certainly suggest that members evaluate whether they can reach it and also make use of the benefits in the following year.
“It would at least guarantee one last year of lounge passes, hotel and wine vouchers, and of course, the ability to earn status credits on Qantas reward flights. If they reach Points Club Plus, another year of guaranteed Qantas Club access is quite valuable for some travellers as well.”
The thing is that while some of those benefits will be redistributed to other tiers, they won’t be as easy to earn – at just 150,000 points across multiple channels – as with Points Club. What about Loo’s recommended strategy to account for the imminent ability to rollover 50 per cent of your status credits?
“If your membership year is due to renew before the new rollover benefits kicks in [also pencilled in for October or November], then there’s probably not much point in overachieving your status goals, unless you’re mainly focused on Lifetime status.
“But for those members who have a renewal date after that period, then it could be a good idea to see if your travels enable you to take advantage of the new rollover feature. I just wouldn’t lock in a strategy this early, until we know more about the implementation from Qantas.”
Note that there is also, until midnight Monday (March 2), a temporary promotion where you can earn double Qantas status credits on flight bookings. Just watch this space for what may happen to those credits… and precisely where else you will soon be able to earn them.
Nicole Pedersen-McKinnon is the author of How to Get Mortgage-Free Like Me, available at www.nicolessmartmoney.com. Follow Nicole on Facebook, X and Instagram.
- Advice given in this article is general in nature and is not intended to influence readers’ decisions about investing or financial products. They should always seek their own professional advice that takes into account their own personal circumstances before making any financial decisions.
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