Qantas Group announcement of Classic Plus Flight Rewards

Qantas Airways Limited (ASX: $QAN) has announced a significant expansion of its frequent flyer program with the introduction of Classic Plus Flight Rewards. This expansion will provide Qantas Frequent Flyers with access to over 20 million more reward seats, marking one of the largest expansions in the program's 35-year history. The new Classic Plus Flight Rewards will offer members a new way to utilize their Qantas Points to book flights, including to popular destinations like London, Tokyo, New York, and Singapore.

Executive Commentary on Classic Plus Flight Rewards

Qantas Group CEO Vanessa Hudson expressed the significance of the expansion, stating, 'The Qantas Frequent Flyer program is an integral part of Qantas and has always been about recognizing our customers for their loyalty. We've spent a lot of time listening to members about how we can better reward them. We're adding over 20 million new flight rewards with the launch of a new type of reward seat called Classic Plus. It's one of the biggest expansions we've made to the Frequent Flyer program in its 35-year history.' Qantas Loyalty CEO Andrew Glance added, 'The widespread availability of Classic Plus means that frequent flyers have more options to fly where they want, when they want and more often, using their points.'

Summary of Qantas Frequent Flyer Program Expansion

The announcement of Classic Plus Flight Rewards by Qantas represents a significant investment in customer engagement and loyalty. The expansion is expected to provide substantial improvement in member engagement and drive long-term growth for Qantas Loyalty, targeting an Underlying EBIT of $800 million - $1 billion by FY30. The introduction of Classic Plus Flight Rewards will offer members more ways to utilize their points and access a new flight reward option, providing enhanced value for frequent flyers. Qantas will continue to offer over 5 million existing Classic rewards seats across Qantas, Jetstar, and partner airlines, with no change to the points required to book these seats since 2019. The company's commitment to investing $60 million in more flight rewards for frequent flyers this financial year demonstrates its dedication to enhancing the customer experience. Furthermore, the expected growth in Underlying Loyalty EBIT in FY25 and the commencement of the on-market share buy-back demonstrate Qantas' confidence in the positive impact of the program expansion on its financial performance and member engagement.