‘Most people don't know': Points guru Steve Hui reveals best frequent flyer programs after Qantas devaluation
On Tuesday, Qantas officially updated the 'value' of its Frequent Flyer points, which saw the number of points required to redeem flight rewards increase by up to 20 per cent.
These changes represent the first increase to Classic reward seat pricing in six years and second time since 2004.
Steve Hui is the founder iFLYflat, a business which helps companies and individuals strategise and maximise their points-earning potential.
'We're about earning points on the ground then using the points to pay for the flight,' he told SkyNews.com.au.
Often called Australia's 'points whisperer', Mr Hui is the go-to guy for securing business class travel for rock bottom prices by utilising points.
Mr Hui said the Qantas move was a 'wake up call' for Aussies looking to get more value out of their airline rewards points.
'It's a wake up call not to have all your eggs in one basket,' he said.
'If all you had is Qantas, then your points are now worth 20 per cent less today.'
However, the expert also credited the flying kangaroo for their transparency and pointed out airlines often devalue points leaving most flyers 'none the wiser'.
'Most people don't know how many points it takes to fly so in that way, Qantas were generous in giving people notice,' he said.
Ahead of the devaluation, Qantas pre-emptively boosted the number of points members will earn on Qantas domestic flights by up to 25 per cent, delivering around 4 billion additional points for members each year.
Beginning later this year, members will have access to up to 1 million additional international Classic Reward seats with flagship partners Finnair, Air France, KLM, and Hawaiian Airlines.
Meanwhile, Virgin Velocity made a series of changes to its program in January, making reward seats more expensive across its international and partner network.
When it comes to airline rewards programs, Mr Hui says three international players are nearly unbeatable for value, especially redeeming business class flights with points.
'Singapore Airlines (KrisFlyer), Cathay Pacific (Asia Miles) and Qatar Airways (Avios) offer most bang for buck,' he said.
'But unlike Qantas and Virgin you couldn't just go to the corner shop and earn points for other airlines.'
Earning points from foreign airlines is set to get a whole lot easier with the launch of the app Passport Rewards on Wednesday.
Points earned through purchases made via the Passport Rewards app can then be transferred to a range of airline reward programs, including Cathay Pacific, Etihad and Qatar Airways.
From Sydney to London to New York, members earn rewards simply by linking their debit or credit card and shopping as they normally would.
Over 300 retail partners including Woolworths, BWS, Myer, Bing Lee, Big W, Virgin Australia, Guess, Breville, Puma, and Lenovo have already signed on.
Once you start building a points stash, Mr Hui urged travellers to resist the temptation to pay half cash, half points for an economy flight, which effectively dilutes the value of the points.
'The 'half half' flights are terrible value, you just don't want to pay part with cash,' he said.
'The airlines want to give you lots of options (but) you've got to know the right option to choose.'
Instead, try to store up points for bigger ticket items, like an international business class flight.
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Sydney Morning Herald
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