Major changes to Velocity Frequent Flyer announced 17/10/24

[jase05]

One thing that is unclear is how DSCs will work. Will they simply lower the number dollar amount required to earn a status credit (i.e. from $12 per SC to $6 per SC), or do something else?

Well the easy thing to do is simply give 2 SC’s per $12. Seems a pretty simple solution I’d think

 

[MooTime]

I wouldn't say that. The US has less competition than Australia with there being only a couple of airlines serving a market which is much larger geographically and population wise than Australia.

US has less competition than Aus, ok, & only a couple airlines serving the market ok, same in Aus, just a couple airlines serving the market.

righteo!

 

[stm1sydney]

It’s the 50% SC on VA marketed that’s the “ouch”.

You can requalify WP on QF with 3.3% on QF.

Damn straight.

That's a massive ouch for me and, I suspect, many others. I comfortably retain WP each year with SC earn (mainly international travel with partner airlines and some VA domestic) but struggle to make the 8 eligible sectors on VA. That requirement is now replaced by the 50% rule, which is much harder to meet.

I have no interest in going to Bali or Fiji for a holiday.

 

[BrianQQ]

VA lounges are IMHO far better than Qantas Club for domestic.

Hard pass on this.

Qantas Club in Sydney is significantly better than Virgin Sydney lounge.

 

[MooTime]

That's a massive ouch for me and, I suspect, many others. I comfortably retain WP each year with SC earn (mainly international travel with partner airlines and some VA domestic) but struggle to make the 8 eligible sectors on VA. That requirement is now replaced by the 50% rule, which is much harder to meet.

I have no interest in going to Bali or Fiji for a holiday.

But every current WP still takes 8 sectors to qualify.

I suspect many including myself won't manage with the upto 50% reduction in SC's.

They no doubt will lose x number of WP's, quite possibly the aim to reduce number of elites, but in turn losing passengers paying for VA flights, not sure that's the aim.

I'm thinking I only need 4 flights now for Gold & my further flying can be done by QF &/or Sh%$star & use my PC+ QF lounge access. Is this good for VA? (domestically speaking)

VA would want to hit the IPO as if the bottom line numbers fall in times ahead, that can't be good for IPO roadshow number 15.

I shared my views with VA Plat team to this response below:

Thank you for taking the time to write and we're sorry to hear of your disappointment.

We are grateful for your continued support as our member and sincerely sorry to hear that the new Velocity modifications in 2025 have disappointed you. We work hard to provide our members with exceptional service, so we're sorry if we didn't meet your expectations in this particular instance.

We sincerely apologise and assure you that your discontent was never our intention.

We appreciate your patience, and if you have any questions about Velocity membership, please visit www.velocityfrequentflyer.com or call the Membership Contact Center at the number listed below.

Kind Regards,

 

[simmomelb]

That's a massive ouch for me and, I suspect, many others. I comfortably retain WP each year with SC earn (mainly international travel with partner airlines and some VA domestic) but struggle to make the 8 eligible sectors on VA. That requirement is now replaced by the 50% rule, which is much harder to meet.

I don't mean to be harsh, as I understand you would have enjoyed it, but these changes are clearly made to remove these types of passengers from their current status levels, you don't fit the FF criteria of gold or plat, of most airlines around the world I would argue.
You need to be personally flying a reasonable amount for that, the 50% rule is still quite generous compared with Qantas.
That's not to say I agree with all the changes, such as the massive reduction in status on international partners, but I won't bang on about that again

 

[SYD]

I don't mean to be harsh, as I understand you would have enjoyed it, but these changes are clearly made to remove these types of passengers from their current status levels, you don't fit the FF criteria of gold or plat, of most airlines around the world I would argue.
You need to be personally flying a reasonable amount for that.

But not if those international partner flights are VA coded. They’ll count towards annual status, eligible sectors and FG.

And that’s still a lot of flying as far as VFF is concerned. You’re just not crowding out the domestic lounges nor getting other VA WP benefits (fly ahead etc).

 

[knagelli]

I don't mean to be harsh, as I understand you would have enjoyed it, but these changes are clearly made to remove these types of passengers from their current status levels,

There always ways and means to get through this requirement.

I fly with virgin domestically because it gives reciprocal benefits with intl partner airlines because of it's status levels. However if that stream is cut off , pax would find a different avenue. I am sure we are not at loss by taking the status away, inface it is the airlines losing business from some of the non frequently flyers who fly virgin to maintain their non-frequent flyer status.

 

[simmomelb]

There always ways and means to get through this requirement.

I fly with virgin domestically because it gives reciprocal benefits with intl partner airlines because of it's status levels. However if that stream is cut off , pax would find a different avenue. I am sure we are not at loss by taking the status away, inface it is the airlines losing business from some of the non frequently flyers who fly virgin to maintain their non-frequent flyer status.

Of course, there are always ways to boost status, but this will undoubtedly flick a lot of infrequent flyers off their current status level, which is inevitable.
There will also be some that will fly more frequently, which is what every airline hopes to achieve.

 

[knagelli]

but this will undoubtedly flick a lot of infrequent flyers off their current status level

What do you think will be VA's benefit by this ?

 

[simmomelb]

What do you think will be VA's benefit by this ?

Added, see above

 

[knagelli]

Let's wait for Oct 2025 to see the drop in numbers for VA or may be better experience for those frequent flyers who actually fly in lieu of reduced numbers.

 

[MooTime]

I'd say someone who flies 8+ sectors a year, hitting 800SC minimum would be considered a frequent flyer & to ditch them & that requirement is playing a tight rope game of the long term benefits.

I attain ~1200 per year including couple family trips (family pooling a contributor) + couple business related trips.

One who flyers 25+ times & amasses 2000+ is an elite & deserves WP+ or P1 or whatever with LTG eventually.

IMO they should've just increased the bar,
Gold 600/700 - 6 sectors
Platinum 1000/1200 - 10 sectors
Platinum+ yeah 2000

Isn't it all about bums on seats, dollars in the door?

 

[knagelli]

Isn't it all about bums on seats, dollars in the door?

Well the brains trust says no , may be they want to cut down the status holders.

 

[ozstamps]

I have seen it typed 100 times by 100 different folks here, before and after these crazy new changes, and many times on this very thread, that to achieve eight (8) Virgin metal segments a year is too difficult, and too onerous, to stay a PLATINUM frequent flyer.

I can never get that. Never.

It is a VELOCITY PLATINUM top tier FREQUENT FLYER status being obtained here. Not Red, not Silver.

To be honest, if they wanted to thin lounge crowds, and make money, they only needed to change that ONE ingredient to achieve that - make it 20 sectors or ten or less domestic flights a year.

EIGHT sectors is a return SYD-ADL via MEL, or MEL-OOL via SYD etc or 100 other low cost combos - TWICE a year. That is hardly a 'frequent flier'. It is not being elitist -- it is just bog basic common sense.

And as for the regular whines about Virgin Domestic lounges being 'substandard', I suggest some of those folks fly around the USA for a week and come and report back with a reality check. For goodness sakes.

United Clubs generally offer only that dishwater weak BUD LIGHT free - anything stronger you'll PAY for - same with any brand name spirits. That is the REAL world. For many years, ALL booze was at guest cost, at all RCC. ALL of it.

 

[Sprucegoose]

ONCE per lifetime s

You could have multiple lifetimes, ...it remains an undefined term. .

I had no intention of maintaining any sratus with Va, and these new changes have validated my decision.

I will inform the board.

I agree that the lounges are very average, but I can get a cold beer on a hot day!

 

[simmomelb]

Well the brains trust says no , may be they want to cut down the status holders.

What is odd is how easily they were allowing flyers to become higher status/status holders not so long ago, how the tables have turned in the last 6 to 12 months.

 

[Sprucegoose]

What is odd is how easily they were allowing flyers to become higher status/status holders not so long ago, how the tables have turned in the last 6 to 12 months.

I may have dealt with this at post #290 - the maturation of Viragin as a business.

 

[justinbrett]

I agree that the lounges are very average, but I can get a cold beer on a hot day!

Though might be cheaper just to pay the $450 for lounge membership.

 

[odysseus]

Under the current model, their loyalty program had worked as a loyalty program was meant to - it encouraged me to shift discretionary spending to Virgin. From a purely financial transaction model, I made decisions that were not always optimal as e.g. sometimes QF were cheaper (across the day, not just a flight) but I chose a VA flight to help accrue status, and other times purchased upgrades that were not by definition necessary. I similarly disregarded JQ and Rex even though obviously cheaper. I was willing to do this for the perceived extra benefits, even though not a big traveller at the moment, VA treated me well, and who knows what the future holds. My travel patterns don't align with a major alliance either, so my bookings tend to be mix and match, just like VAs program. And the increased revenue from my purchases towards them outweighed the few extra visits/costs for lounge usage.

Basically, just like some pay for a drinks package or an all-inclusive holiday even though they don't get the financial return, but just appreciate the convenience, or paying for insurance as protection about what may happen, I was comfortable with the extra cost for those 'soft' benefits.

However, looking at this raft of changes, with the 20% cut in FF point earnings, the ~10%+ increase in preferred redemptions meaning a total ~1/3 devaluation in points, plus the increased costs of earning status, at this stage my assessment is the value is no longer there. As others have mentioned, post covid, the lounge food offering is now ok, but basic.

I just chose to maintain status because it was value as it stood, but not because the bundle they offer is top shelf, especially with the lack of lounge for any international travel with them, limited domestic lounges, and restrictions on international lounge availability. They also have nowhere near the number of partners of competing groups to bring them up to a comparable standard, even if they somehow addressed the limitations within the network. It is/was a 'value' FF program, aligned with their market position. Now, that will no longer be the case with the FF program - but there's no commensurate uplift in their market offering or positioning.

So once this goes through, I expect I'll let my status drop, and just purchase whatever suits me from whoever, without worrying about 'loyalty' too much. Obviously my individual decision won't bother Virgin, but the question for them is how big this market is that they've dropped.