Qantas credit card falls short of expectations
Recent research shows the new Qantas Mastercard delivers $300 less ‘net’ rewards value than the market leading credit card.
The Qantas branded credit card has been criticised for failing to deliver on its ‘Premier’ name, ranking 26 for net value in a market-wide comparison by Mozo.com.au of 43 rewards cards earning Qantas Points.
Mozo evaluated the QFF rewards credit card market using the average annual credit card spend of $18,000, and found the new Qantas Premium Mastercard could deliver just $70 in net annual rewards value once the annual fee is taken into account.
The Qantas Premier Mastercard, issued, by Citi was designed to reward Qantas Frequent Flyer members with an earn rate of up to two Qantas Points per dollar spent. Features included bonus Qantas points and travel benefits, such as the following:
- 60,000 bonus Qantas Points upon sign up when you spend $3,000 within 90 days of card approval – which is enough for an Economy Classic Flight Reward from Sydney to London
- 2 Qantas Points per $1 spent on Qantas, such as flights, Qantas Club membership, and purchases through the Qantas Store
- 1.5 Qantas Points per $1 spent on eligible purchases overseas
- 1 Qantas Point per $1 spent on eligible purchases in Australia
- uncapped points earning potential
- up to 20 per cent discount on selected domestic companion fares once a year when booking with the Qantas Premier credit card through the Qantas Premier Concierge (which also provides services like restaurant recommendations and reservations and booking tickets to special events)
- two complimentary lounge invitations each anniversary year
- complimentary travel insurance
However, Mozo Director, Kirsty Lamont said the credit card is not living up to its expectations.
“Qantas’ new Premier Mastercard fails to take off for cardholders,” Lamont said.
“Ranking just 26th in our comparison of Qantas Frequent Flyer rewards cards and earning up to $300 less rewards value each year than the top-ranked American Express Qantas Discovery Card.
“There’s better news for big spenders with Qantas’ new card at least making the top 10 for those swiping $60,000 a year, however the so-called ‘Premier’ Mastercard is still far from first place with Qantas delivering $464 less value than the top-ranked American Express Qantas Ultimate Card.
“Loyal Qantas travellers will get the best value out of the card, with Qantas offering two points per dollar spent with the airline and 1.5 points per $1 spent on eligible overseas purchases, compared with the standard earn rate of one point per $1.”
Mozo calculations show that the average cardholder spending $18,000 a year on the Qantas Premier Mastercard would earn 1.13 Sydney to Melbourne return flights.
“The new card comes at an interesting time in the rewards card landscape with many banks slashing the value of rewards programs as regulations kick in around interchange fees and increase the cost of funding rewards cards,” Lamont said.
“A number of rewards cards providers have turned to perks like airport lounge visits and free flights to lure in customers as the value of rewards points drops, however Qantas has taken a somewhat miserly approach merely matching competitors offering 2 lounge invitations each year and offering a discount on selected domestic fares.”
The new Qantas Premier Mastercard has an annual fee of $299 ($149 in the first year) and a 19.99 per cent interest rate.
Qantas Loyalty CEO Lesley Grant said, “We know the option to earn Qantas Points influences consumer behaviour and so we expect the high earn rate attached to this card to make it very popular.
“The card has extra appeal for those who fly regularly, because of its ability to access fare discounts and lounge passes.
“From our perspective, this is an important next step in evolving the Qantas Loyalty business. It’s an expansion of the financial products we offer and opens the opportunity for us to share directly in the card economics.”
Email the Travel Weekly team at traveldesk@travelweekly.com.au
-
Latest comments
Latest News
Australia fails to make top 10 destination list for American travellers
Australia's top cities have failed to make the grade with American travellers this northern summer, with no local city in the top.
APT Launches 2025 Asia Adventures
APT has launched its Asia Adventures for 2025, including new luxury holidays in India, Sri Lanka and Japan. Five new tours lead guests to the highlights of India, including a seven-night cruise along the rarely travelled Lower Ganges aboard the Ganges Voyager. Further south, Sri Lanka’s greatest destinations are revealed on a new 15-day Land […]
ANZAC Battlefield travel on the 2025 bucketlist
As Anzac Day dawns, agents prepare for a surge in bookings for the 110th anniversary of the Anzac Cove landings.
Former Channel 9 Getaway host and founder of TRIBE Jules Lund to speak at Travel DAZE
From blond-tipped travel reporter to Travel DAZE speaker, Jules Lund cuts through the BS.
HX’s Roald Amundsen finds aliens in the Antarctic
Forget whales, HX's MS Roald Amundsen captures aliens in the Antarctic - and they're not pretty.
Mayhem in France as 70% of flights face cancellation
I mean it wouldn't be France if there wasn't at least one strike.
Etihad Airways launches double-decker service with world’s only in-air three-room suite
We imagine falling asleep in the three-room suite is superior to falling asleep on your neighbour's shoulder.
Norwegian Cruise Line launches 2024 Europe travel season
Europe certainly has a lot of ports. Its time for Australia to up its game.
“The power of travel for positive change” – Intrepid’s Jenny Gray hails controversial all-women Saudi Arabia trip
There is an awful lot to love about this tour from Intrepid. Where do we sign up?
Princess names the Sun, unveils Sanctuary Collection + Star Princess to Alaska in ’26
A huge bottle of Veuve was smashed into the side of the ship to make things official. So no, we couldn't snag a glass.
Collette special offers across peak northern summer season
If you are craving a trip to Europe then grab this deal with both of your grubby hands.
Air India and All Nippon codeshare between the two countries
Here at TW we agreed that the photo would have worked better if they had swapped planes.
A&K offers minimum 18 weeks paid parental leave
Contrary to what the photo suggests this benefit is only applicable for humans. Back to work Mrs Jumbo.
NH Hotel Group rebrands as Minor Hotels Europe & Americas
Hang around the bends of the hotels. We imagine they will be full of a lot of branded content.
Scenic Eclipse II – the business of creating unforgettable life-changing memories
These cruise brothers from another mother offer a view of cruising on Scenic Eclipse II that is poles apart.
MSC builds new hospital ship with Mercy Ships
If you want to read a story that puts a smile on your face then this is the one for you.
“I peed on myself watching this” – Social media users squirm at Royal Caribbean’s Harmony of The Seas 55ft dive video
TW is not responsible for any involuntary actions your body might have after watching this video.
FLIGHT REVIEW: Qantas Boeing 787 Dreamliner business class
The real bonus is you're unlikely to be around screaming children. Hoorah!
Traveltek offers travel agents new rapid deploy cruise website
As always, if you have any issue with the platform, just turn it off and on again.
Experience whale watching & classical music at the Australian Festival of Chamber Music in Townsville
Disappointedly, the whales do not start singing in tune with the orchestra. Opportunity missed.
Fond, very Fond. London hotel famed for James Bond link adds ‘Classic Comforts’ lunch menu
James Bond author Ian Fleming was so fond if this hotel, it inspired the legendary phrase ‘shaken, not stirred’.
What sets Eclipse Travel apart with Africa expert Hilary Dubyk: Travel Weekly TV
If you want to know more about Africa, then Hilary Dubyk is your person.
Surge in Australians visiting Japan
Feel like all of your friends have just returned from Europe? Now it's Japan.
Seabourn announces Western Kimberley Traditional Owners as Godparents of Seabourn Pursuit
Seabourn has named Western Kimberley Traditional Owners, the Wunambal Gaambera, as Godparents of the ultra-luxury purpose-built Seabourn Pursuit. It is the first cruise line to appoint Traditional Owners as godparents of a ship. Seabourn Pursuit embarks on its inaugural season in the Kimberley region this June. The naming ceremony will take place on Seabourn Pursuit’s […]
Sydney named 17th best place to work remotely
If you struggle to get a seat within Sydney's coffee shops, you now know why.
W Melbourne grows sales team
We appreciate the thought that has gone into this team photo.
Cunard welcomes new ship Queen Anne
This might be the most impressive ship handover in ship handover history.
Intrepid Travel appoints Yvette Thompson as general manager sales & marketing ANZ
It isn't end-of-day Monday and Yvette Thompson has already nabbed herself an impressive promotion.
Anna Fawcett re-joins Global Touring in newly-created APAC role
With such an impressive CV, Global Touring is no doubt thrilled to have Fawcett back.
“We know our response has been far from perfect” – Emirates’ open letter following Dubai flooding
If you also need to write an apology letter, then this is a pretty good template.
Malolo Island Resort opens brand new Spa
Fiji’s Malolo Island has added another string to its bow – opening its $1.3 million day spa on Thursday, 18th April 2024. (Lead Image: matriarch Rosie Whitton with spa staff) Located at the edge of the resort’s luscious patch of tropical rainforest, the new “Leilani’s Spa” adds another level of elevated experiences to Malolo’s already […]
Virgin Australia’s HILARIOUS second instalment of the ‘Bring on Wonderful’ campaign
We don't use the word 'hilarious' lightly, but this is worthy of the title.
Visit Sunshine Coast reveals new brand identity
If you were looking for another reason to visit the Sunshine Coast then this is it.
Sofitel launches brand campaign starring Sex Education’s Gillian Anderson
We can confirm the content of this video is less spicy than Sex Education.
Holland America Line gives agents the chance to visit Alaska on 11-day Famil
If you've ever wanted to see a Polar Bear (and who doesn't?), now is your time.
More than 65 luxury agents gather in Sydney for Best of the Best dinner
This looks like a fabulous do. We imagine there may be a few (or maybe 65) sore heads this morning!
Hi
I have tried to get lounge invitation but was told I can get them till after the first year as this is different to was is advertised, not sure if they really understood as I have been with Qantas CC premium for almost 12 months and have received an email in regards to lounge invitations.
They did tell me I would receive another invitation after the 17/1/18 after my 12 month anniversary as I tried to explain I wanted to use these lounge invitation on the 18/7/18 as this is when my family and I are flying out to Hawaii on Qantas.
I found them not to be understanding and really wasn’t concerned even if I cancelled my cc. Shame that Qantas put there name to the card as this in not the spirit of Australia as least I did not think so …until now.