Loyalty partnership between airline and grocer set to launch

Posted by Janice Wong on 1st June 2009

Qantas, Australia’s largest airline today announced the launch of its loyalty program with Woolworths, beginning 22 June. Customers who participate in the Everyday Rewards program at Woolworths stores will now have the opportunity to earn Qantas Frequent Flyer points.

The loyalty alliance, which was announced in December 2008, would give Qantas Frequent Flyer’s 5.6 million members another way to speed-up their accumulation of points. Of the Woolworths group, Woolworths Supermarket and Liquor will be the first to launch the initiative, followed by Big W in July, while BWS, Dick Smith Electronics and selected Caltex Woolworths fuel outlets are to follow in the next coming months.

Richard Umbers, General Manager of Customer Engagement for Woolworths, believes customers will be in favour of the partnership because they will earn rewards through day-to-day shopping habits.

“Their points will quickly add up from their weekly shop at Woolworths Supermarkets, their regular trips to BIG W, BWS, participating Caltex Woolworths co-branded fuel outlets and their visits to Dick Smith,” Mr Umbers said.

“In this current economic environment it is now more important than ever that customers know they are getting value for money every time they shop,” Simon Hickey, Chief Executive Officer of Qantas Frequent Flyer added.

Supermarket aisle - shopping trolley

Research conducted for Woolworths Everyday Rewards by Galaxy has confirmed that customers are increasingly attracted to rewards schemes that offer a choice of rewards as a means of getting additional value from their everyday shopping.

Sixty one per cent (61%) of Australians surveyed stated that in the current economic environment, the availability of rewards has an impact on their decision about where to shop.

Sixty four per cent (64%) of consumers also stated they wanted to have a choice of rewards, rather than be restricted to just cash, just flights or just products.

“No other loyalty partnership operating in Australia currently offers customers the same opportunity to earn rewards, without the need to change their shopping habits or increase their spend,” Mr Umbers concluded.