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In a strategic move on Monday, Qantas Airways announced a significant expansion of its frequent flyer program, a decision set to provide members with access to an additional 20 million reward seats. This expansion is part of the Australian flagship carrier's broader campaign to enhance customer satisfaction and repair its tarnished image.
According to US News, the initiative represents a considerable investment in customer engagement, with the company dedicating A$120 million ($78.74 million) towards the program's enrichment in fiscal 2025.
Navigating Through Turbulence
The past year has been particularly challenging for Qantas as the airline navigated through one of the most damaging periods in its history. The company faced a lawsuit from competition regulators for selling tickets on flights that were already canceled, alongside accusations and a subsequent court finding of unlawfully terminating 1,700 ground staff in 2020.
These events have significantly impacted the airline's reputation, prompting a reassessment of its approach to customer relations.
Innovative Pricing Structure
Reuters reported that the revamped loyalty program introduces the "Classic Plus" reward tier, offering a more flexible pricing model akin to standard airfares. While points required for these seats will surpass those needed for the existing "Classic" reward seats, the cost will vary, potentially decreasing during off-peak seasons or for those who book in advance. This introduces a novel means for members to leverage their points, aligning reward seat availability more closely with traditional ticketing practices.
Future Outlook
Qantas remains optimistic about the future, anticipating that the benefits derived from the rejuvenated frequent flyer program will surpass the initial financial outlay by the first half of fiscal 2026. This balanced approach encapsulates the airline's commitment to mending its relationship with customers and ensuring a brighter, more stable future.
Through this, Qantas aims to reposition itself as a leader in customer satisfaction and loyalty, a pivotal step in overcoming its recent challenges.
Photo: Josh Withers/Unsplash
