LTP - the $1,500,000 reality

[Mattmunn]

I fly Malaysia Airlines between BKK and MNL fairly regularly and can get 260 SC for about 650 USD (450 for the occasional sale)
4 trips a year maintains my Platinum for about 3000 AUD per year spend (a little more for the 4 Jetstar legs)

289 return trips would get you to Lifetime platinum for less than 200k usd/300k AUD.
If you did it once a week a bit over 5 and a half years would get you there.

 

[juddles]

I fly Malaysia Airlines between BKK and MNL fairly regularly and can get 260 SC for about 650 USD (450 for the occasional sale)
4 trips a year maintains my Platinum for about 3000 AUD per year spend (a little more for the 4 Jetstar legs)

289 return trips would get you to Lifetime platinum for less than 200k usd/300k AUD.
If you did it once a week a bit over 5 and a half years would get you there.

So you could also just do those 4 trips a year, which with the same 300k AUD would get you 100 years of WP, with the added benefit of also getting all those "free" trips!

 

[funkyr]

Here are my 2 cents.

The cost to Qantas:
There is definitely a cost associated with giving someone LT platinum. All the premium benefits are not free to Qantas. I'm sure Qantas has done the predictions to see how many would eventually reach LTP.

What's interesting is that if someone reached LTP then presumably most of the time they'd be flying in J/F so the cost of all these added benefits are usually factored into the ticket cost.

Qantas probably knows that eventually some (or I'm going out on a limb here, most) LTP will stop flying premium cabins once they retire (eg corporate travellers, or even self funded travellers becoming retirees) so the LTP then becomes a liability for Qantas. If that person decides to change to economy flights, Qantas bears the cost of the lounge access (that's not factored into the ticket cost) and all the other costs associated with OWE eg. priority check in, priority luggage tagging, priority boarding, one world on costs, administrative costs etc.

Same theory applies with LTG. I'm LTG and most of my flights are F/J and I'm an P1 so actually LTG to me (at this point of time) is worthless. The day I stop flying premium cabins will be the day that I become 'liability' to Qantas.

It seems that the only people that are realistically capable of reaching LTP are generally the P1 group. I remember hearing that the highest SC earn by a P1 last year was something like 9k. Even for them LTP is roughly a 8 year game play. Take someone who just qualifies for P1 every year at 3600SC/year and that's 20 years of P1 to reach LTP.

It'll be interesting to compare LTG with BA (which is lifetime OWE). That requires 35000SC off memory. I wonder if the OP would be interested in costing up lifetime emerald on BA vs QF? AT 210 per F flight that's approx 167 F flights LHR-JFK.



I'm guessing Qantas are being super conservative in offering LTP, history has been told of airlines offering 'life-time' benefits, eg google 'American airlines unlimited first class flights' and you'll see the massive financial disaster AA created by selling 'unlimited lifetime first class travel' in the early 80s that they are still paying for! Dont forget Qantas offered lifetime Qantas club memberships until not long ago, that is probably a big expense for them!

 

[trippin_the_rift]

<snip>

It'll be interesting to compare LTG with BA (which is lifetime OWE). That requires 35000SC off memory. I wonder if the OP would be interested in costing up lifetime emerald on BA vs QF? AT 210 per F flight that's approx 167 F flights LHR-JFK.


I'm guessing Qantas are being super conservative in offering LTP, history has been told of airlines offering 'life-time' benefits, eg google 'American airlines unlimited first class flights' and you'll see the massive financial disaster AA created by selling 'unlimited lifetime first class travel' in the early 80s that they are still paying for!

BA tier points earn at basically the same rate as QF status credits.
And BA doesn't discriminate as QF does with earning on MH and some discount fare classes.

Unless QF has a coughty internal deal where QF pays QF Loyalty to maintain the status - there is almost no cost to give someone LTP who has hit 75,000 status credits.
A membership pack.......and........ no other costs unless that person buys a ticket with Qantas, in which case the airline has the lounge/priority costs covered as part of built-in ticket costs.

 

[juddles]

I strongly suspect the cost will be absolutely negligible. I doubt too many decade-long P1 travellers will be doing too many Y trips afterwards.

 

[sjk]

I remember hearing that the highest SC earn by a P1 last year was something like 9k.

I’d be stunned if that were true, and also a little worried. Unless that’s pure QF metal SCs.

I also think the “get LTP and fly Y” masochis_ demographic probably factors little into QF/QFF thinking.

 

[Andz]

I see it like this!!!

LTG and P1's complaint that there's no LTP. Qantas introduces one so ridiculously difficult to obtain and shows us the finger. F lounge access obtained through a credit card shows what level QF will go to increase their revenue.

 

[mviy]

LTG and P1's complaint that there's no LTP. Qantas introduces one so ridiculously difficult to obtain and shows us the finger. F lounge access obtained through a credit card shows what level QF will go to increase their revenue.

For a traveller near retirement with LTG if that CC suits them that CC + LTG would be close enough to having Platinum.

Sure worse seat selection, lower upgrade priority, longer call wait times etc. but getting to visit the FLounge once or twice a year without needing to maintain WP would be nice. When retired I reckon most wouldn’t do many trips overseas a year, and if they are doing many trips they probably can easily afford to maintain WP in retirement.

 

[mviy]

I also think the “get LTP and fly Y” masochis_ demographic probably factors little into QF/QFF thinking.

If I had LTP I’d probably still mostly fly Y domestic and be less incljned to try for F upgrades for long haul international

 

[opusman]

I really think Qantas have missed the boat on this one. 75000 SCs for LTP makes 14000 for LTG seem "small" but in reality, for most people, even 14000 is practically unobtainable. The only people who are ever going to be shooting for LTP are already very frequent flyers. If LTP had been set at a realistic level for the majority of those who make LTG it would encourage them to keep going with the program. As it is, once you have LTG locked away, there's literally nothing keeping you with Qantas unless you're in the .01% who have a chance of making LTP.

 

[equus]

I doubt too many decade-long P1 travellers will be doing too many Y trips afterwards

Qantas probably knows that eventually some (or I'm going out on a limb here, most) LTP will stop flying premium cabins once they retire (eg corporate travellers, or even self funded travellers becoming retirees) so the LTP then becomes a liability for Qantas. If that person decides to change to economy flights, Qantas bears the cost of the lounge access (that's not factored into the ticket cost) and all the other costs associated with OWE eg. priority check in, priority luggage tagging, priority boarding, one world on costs, administrative costs etc.

I am with Juddles on this one. Most people who have flown that much as they get older are more likely to want the comfort than less - so more likely to fly less in better cabins than keep pushing Y.

The real liability comes when flying lesser cabins on non QF - with lounge access etc. being charged back to QF. And this only comes into play if not flying enough to maintain the status - so a self limiting exposure. Expect to see QF being more aggressive about only allowing the use of the status if crediting to QF - so no using your LTP privilege and crediting elsewhere. Once this is done, they are only exposed for the number of your Y flights that don't push you back to WP.

As far as the incremental cost of all those other things, you have to remember it is only the incremental cost of OWE over OWS - anyone who makes LTP would be LTG if LTP didn't exist - so still entitled to lounger, priority luggage and all those other costs. It is only the F lounge, slightly more baggage etc. that is coming in to play, so far less than you are thinking.

 

[eagleflyer]

I certainly hope this isn’t the start of changing ltg from 14000 sc. I agree the ltp is meaningless for most people, and I am not surprised by it. But I would be far more disappointed if they increased their ltg targets!

 

[ALH]

Upon further reflection, as a LT Gold, I'm now sort of glad that Qf made the threshhold so ridiculously high....if they had made it say 40K, I may have wasted money and time trying to achieve it....so I'm not shackled to Qf anymore and can continue flying other better, cheaper premium products! Thanks Qf for the own goal....so great at marketing and spin but totally don't get it!

Exactly. It’s a huge relief to me and validates my decision to jump ship as well.

 

[Ade]

Once at LTG I’d probably stick with QF domestically but consider flying other airlines more for international.

I'd suggest using QF for international flights and using VA for domestic. QF has got better international connections and being part of the OW, one would get access to other OW partners and their products. VA is also less expensive that QF in domestic game

 

[Ade]

I fly Malaysia Airlines between BKK and MNL fairly regularly and can get 260 SC for about 650 USD (450 for the occasional sale)
4 trips a year maintains my Platinum for about 3000 AUD per year spend (a little more for the 4 Jetstar legs)

289 return trips would get you to Lifetime platinum for less than 200k usd/300k AUD.
If you did it once a week a bit over 5 and a half years would get you there.

Hey @Mattmunn , I tried using the Qantas calculator to find the SC's earned in the route BKK-MNL. But I couldn't find MNL listed as an option when departing BKK.

I understand that you knew it's 260 SC because you fly that route often, but any idea how I could use the calculator in QF website to find the SC earned info?

 

[Vic]

And who on Earth in these scenarios would still be flying after that that needed to actually utilize a level that just gives them vanilla WP??

I don't think this is a valid assumption. I expect something more like platinum one benefits. Why because lifetime silver and gold are 20x silver (original) and gold qualification. lifetime platinum is about 22x platinum one.

 

[juddles]

I don't think this is a valid assumption. I expect something more like platinum one benefits. Why because lifetime silver and gold are 20x silver (original) and gold qualification. lifetime platinum is about 22x platinum one.

Vic, I don't think I am assuming anything. Qantas makes it very clear that the level is simply Platinum:

75,000 Status CreditsΩ

Lifetime Platinum status

Platinum membership benefits for life include: Access to Qantas International First Lounges and Domestic Business Lounges 100% Status Bonus on Qantas and Jetstar.

 

[Matt_01]

So less than a week from the introduction of LTP, 3 days from myself imposed exile from QF and had to book another short notice domestic trip. The VA timings did not work out so back to QF and another 30 SCs. Only another 50K odd more to go - LTP here I come.

 

[Matt_01]

......lifetime platinum is about 22x platinum one.

To be pedantic 21 years of minimum P1 will get you there with 600 SC to spare but who is counting. I am about to roll into my 5 year as a P1 and do more than the 3600 on an annual basis, even at base level for 21 years QF can keep their LTP.

 

[Kiwi_Flyer]

Hey @Mattmunn , I tried using the Qantas calculator to find the SC's earned in the route BKK-MNL. But I couldn't find MNL listed as an option when departing BKK.

I understand that you knew it's 260 SC because you fly that route often, but any idea how I could use the calculator in QF website to find the SC earned info?

You need to input each leg separately, ie BKK-KUL-MNL.