Aviation

Qantas’ frequent flyer deal with BP to get the go-ahead

The proposed frequent flyer tie-up between Qantas and petrol giant BP looks likely to become a reality, with the Australian Competition & Consumer Commission (ACCC) all but approving the deal.

In a draft determination on Friday, the ACCC said it was proposing to grant authorisation allowing Qantas, BP Australia and independent BP petrol stations to collectively participate in the BP Rewards, Qantas Frequent Flyer and Qantas Business Reward programs.

The ACCC is looking to grant a five-year authorisation for these arrangements, which include allowing BP to require BP-branded petrol stations to take part in the Qantas rewards programs.

This would be a condition of new BP petrol station franchise agreements and when existing agreements are renewed.

“We consider that these arrangements will provide public benefits – for example, by giving consumers more opportunity to earn and use rewards program points,” ACCC commissioner Stephen Ridgeway said.

“The arrangements are also likely to provide cost savings to the parties by allowing BP to negotiate with Qantas on behalf of BP petrol station owners, rather than each station owner needing to negotiate individually.

Ridgeway said the ACCC doesn’t think the planned arrangements will have any significant negative impact on competition.

“Qantas has the biggest loyalty reward scheme in Australia in terms of member numbers, and BP is a major petrol retailer. However, there are many retailers, petrol and non-petrol, that could participate as partners in other loyalty programs,” he said.

“We do have some concerns about the potential for consumer harm arising from BP sharing consumer data with Qantas as a result of the arrangements, and we encourage BP and Qantas to adopt the recommendations regarding the collection and use of customer data in the ACCC’s final report into customer loyalty schemes when it is published.”

The ACCC is welcoming submissions in response to the draft determination. It is expected to release its final determination in February 2020.

The ACCC has also granted interim authorisation in relation to BP’s participation in the Qantas Business Rewards program, so that BP’s participation can commence on 1 February 2020.

Qantas announced its plans to partner with BP in September. In the meantime, the petrol giant’s partnership with Virgin Australia’s Velocity Frequent Flyer remains in place.

SEE WHAT PEOPLE ARE SAYING

Leave a Reply

Cruise

Viking ups its marketing tools for Aussie agents

Looking to impress your friends and colleagues with some very specific cruise ship fun facts? You’ve come to the right place.

Share

CommentComments

Destinations

Giant 2,000-year-old cat mural found in Peru

A huge drawing of a cat relaxing has been uncovered in Peru’s Nazca Desert, and now we know where we’re headed the second international borders open.

Share

CommentComments

Destinations

Queensland to reopen borders to NSW (except for Sydney)

Sydneysiders were seen kicking cans down the street this morning while shaking their fists in Queensland’s general direction following the announcement.

Share

CommentComments

Travel Agents

Helloworld’s retail network “largely intact”, as company lays out border and travel ‘bubble’ forecasts

by Huntley Mitchell

Travel Weekly has poured over Helloworld’s quarterly update to bring you this package of highlights.

Share

CommentComments

Technology

Emirates unveils new NDC-powered gateway for travel agents

Have you always found Emirates’ online trade platform to be a little clunky and lacking in capabilities? Relieve your tech-induced pain here.

Share

CommentComments

Road & Rail

Velocity Frequent Flyer partners with Hertz-owned car share company

Are you seeking other ways to boost your Velocity points than by buying a case of Virgin Wines or signing up for another credit card? Look no further.

Share

CommentComments

Hotels

NSW introduces strict new laws to regulate short-term rental market

The new laws include a ‘three strikes and you’re out’ approach for irresponsible hosts. However, that’s not to say they will be forced to wield baseball bats or chew tobacco.

Share

CommentComments

Cruise

Royal Caribbean updates 2021/22 Aussie sailings

The cruise line has also launched a new agent-focused campaign to help you get clients booking early.

Share

CommentComments

Wholesalers

Intrepid slashes prices for NT trips

Show your clients that they don’t need to leave the country to experience epic scenery with this banger deal from Intrepid.

Share

CommentComments

Aviation

Qatar Airways entangled in online recruitment scam

Adding to its already horrendous news week, the airline has become embroiled in an online recruitment scam.

Share

CommentComments

Wholesalers

“It’s good business to have”: Contiki boss talks pivoting to domestic and why agents should target youth travellers

Adam Armstrong began his stint at Contiki at an interesting time, to say the least. Here’s his game plan for the brand and his advice for agents.

Share

CommentComments

Travel Agents

Flight Centre boss demands proof of Queensland’s border closure advice

Skroo’s patience with the Queensland government is wearing thin, after making yet another request to see the medical advice that influenced the state’s border closure.

Share

CommentComments