Program Update: Virgin Australia’s Fares For You

[PDog]

Hi VFF,

i have booked last month for travel in February 2017, my booking class is 'S' under the current conditions that I booked this would earn me 10 status credits from tomorrow under the changes this will only earn 5. Can you confirm I will still be eligible for the higher rate as per the below copy of my email received tonight.


Status Credits
From 30 January 2017, new Status Credit earn tables will come into effect. For your existing bookings, the higher Status Credit earn rate will be honoured. For new bookings, you will earn more Status Credits in most fare classes when travelling domestically with Virgin Australia.

Thank you

Thanks for sharing, I would like clarity here too as my email has different wording. It's missing honouring the earn rate of current bookings:


Status Credits
For all travel from 30 January 2017, new Status Credit earn tables will apply. You will earn more Status Credits in most fare classes when travelling domestically with Virgin Australia.

 

[dfcatch]

That's Trippin'

I presume you're referring to this article....

https://www.linkedin.com/pulse/how-success-frequent-flyer-programs-driving-away-david-feldman-gaicd

Summed up best by:

"The focus on chasing partnerships and ancillary ventures risks forgetting that the foundations of any frequent flyer program is the aspirational (and achievable) nature of the airline offering.

The most profitable partnership is only useful if customers perceive value in the airline product offering.

People don’t sign up for a co-brand credit card because it comes with 75,000 points — they sign up because they want to realize their aspirations for a vacation, honeymoon, exotic adventure, first class luxury experience or other travel desire.

The products that are profitable for the modern frequent flyer program are only profitable because people perceive value, and desirability, in the underlying airline product."

There were also a couple of articles focusing on the AA changes but highlight the globally important themes of benefit delivery.

The reduction in SC earn on Getaway fares in smart. The reduction in benefits is not.

VA is making a strategic mistake and will lose business.

Of course - perhaps TT is going the way of Ansett and VA is pre-positioning.

Given the lack of investment/expansion into making TT a true competitor to JQ..... Well - draw your own conc

 

[Pleb Status]

The new 'fares for you' have now been rolled out and for ex-PER routes at least, pricing has remained static at the lower end with the lowest two Saver fare classes ($199/$299) moving into the Gateway group and the remaining Saver fare classes into the Elevate group ($355+). Freedom pricing is the same as Flexi ($639+).

It is very disappointing that VA have not budged a cent on price at the lower end to compensate for the reduction in benefits on Gateway fares.

Hopefully the full extent of the damage has now be revealed. The SC earning reductions on Gateway fares is by far the biggest negative for SG/WP. The 25% SC cut ex-PER (20 to 15) is not as bad as the 50% SC cut (10 to 5) for shorter east coast flights at least. The 800SC retain for WP on VA is also still far lower than the 1200SC retain for WP on QF.

 

[coco50]

Re: New VA Fare Structure

We're now less than a week away from the launch of the new fares. Any updates that can be shared with us on how this affects Velocity earn/redemptions?

Received at 0217 this morning:

Dear Mr coco
​

I am pleased to let you know that on 7 September 2016 Virgin Australia is launching new fare options to offer you more choice during the booking process and greater control over product inclusions in your fare.​

'Fares For You' offers a greater range of fares across all Domestic and International routes, replacing the existing fare structure.​

You will now have access to new base fares that have fewer inclusions, but represent great value. Velocity Points will still be earned on all fares.​

In line with the new fare options, we have made adjustments to some member benefits.​

Status Credits
For all travel from 30 January 2017, new Status Credit earn tables will apply. You will earn more Status Credits in most fare classes when travelling domestically with Virgin Australia.

Upgrade on even more fares
UpgradeMe Points is now available on even more Trans Tasman and International Short Haul flights.

Membership Contact Centre fees
>From 7 October 2016, there will be a small increase to some fees collected via the Membership Contact Centre.

Reward Seat bookings
Reward Seat fare inclusions will remain unchanged. Members who book a Reward Seat will continue to enjoy complimentary seat selection, food and checked baggage. Platinum and Gold members will be still able to Fly Ahead when travelling on a Reward Seat.

For more information on these changes please refer to our Program Update.

I look forward to keeping you up to date in the coming months as we introduce exciting new features and benefits.

Yours sincerely,

Karl Schuster
CEO, Velocity Frequent Flyer​

 

[Muppet501st]

Just booked next weeks work flights, and looks like i'll be in front SC's wise from next year.
Im just dirty that WPs are worse off with the new enhancements, then any other with a 33% reduction in baggage allowance, which I frequently need to utilise a third bag for work.
So the only difference between a WP and SG is guesting in 2 extra people, ( which I think ive used only once in the last 12months) and 4 upgrades a year ?
What did SG loose ?
I think im better off pooling to my partner to keep her SG then retaining WP.

 

[HeavyElectricity]

The new 'fares for you' have now been rolled out and for ex-PER routes at least, pricing has remained static at the lower end with the lowest two Saver fare classes ($199/$299) moving into the Gateway group and the remaining Saver fare classes into the Elevate group ($355+). Freedom pricing is the same as Flexi ($639+).

I just did the same thing, and was pretty surprised that the Getaway fares are the same price as the old savers. This was promoted/sold as being able to provide cheaper fares, and now it appears not to be true.

 

[UP4014]

I just did the same thing, and was pretty surprised that the Getaway fares are the same price as the old savers. This was promoted/sold as being able to provide cheaper fares, and now it appears not to be true.

A simple way for a business to make more money is to put up the price, in this case by removing cost and value add.

 

[pauly7]

Re: Program Update: Virgin Australia’s Fares For Y

I just did the same thing, and was pretty surprised that the Getaway fares are the same price as the old savers. This was promoted/sold as being able to provide cheaper fares, and now it appears not to be true.

Maybe the Getaway fares are more designed for sales.

But agree, if Getaway become a swap in for Savers then it is a definite downgrade. The cynic in me suspects VA is targeting the poor souls who have to fly BFOD - nab them with a lower price but drastically cut their benefits to make more money. I feel sorry for those in that situation.

 

[MH_fan]

I just did the same thing, and was pretty surprised that the Getaway fares are the same price as the old savers. This was promoted/sold as being able to provide cheaper fares, and now it appears not to be true.

Are any of us really surprised by this? This simply means less domestic flying with VA for me. I will aim to just fly enough for the required flight segments to maintain WP and the rest of my SC earn will be with their partners.

 

[Deleted member 29185]

This was promoted/sold as being able to provide cheaper fares, and now it appears not to be true.

I can't ever recall VA being accused of being absolutely truthful! No surprises.

Has anyone considered that VA may be deliberately trying to push the lower fare traveller over onto TT? Most VA flights I've flown recently have been fairly full and the lounges are regularly packed these days so perhaps they see a benefit in stripping benefits and making status requal harder for those lower fare travellers and hope they may see a flow across to TT.

Watch for upcoming little enticements from TT I'd say.

 

[Mattg]

Well, the only route I really fly VA (and even then it's only when QF is being uncompetitive) is SYD-CBR.

I just had a look at the new fares, and Getaway prices are exactly the same ($145) as the old Saver prices. So, I'll soon get fewer SCs and no tier bonus points on this fare but pay the same price. Not happy.

 

[Deleted member 29185]

Well, the only route I really fly VA (and even then it's only when QF is being uncompetitive) is SYD-CBR.

I just had a look at the new fares, and Getaway prices are exactly the same ($145) as the old Saver prices. So, I'll soon get fewer SCs and no tier bonus points on this fare but pay the same price. Not happy.

I guess fares can change at the drop of a hat, but I just looked at my most frequent route and it it does appear that saver is getaway and flexi is now freedom (no fare differences apparant). The elevate fare appears to be a new in-between fare, so effectively a price rise for those who wish to keep an illusion of what they previously had. Smoke and mirrors?

On the upside, business is business and business saver appears to be a genuine reduction in fare by a bit more than 6%. I'm assuming the code discounts will still be applicable so on business saver at least, some normality has returned since their last abominable price hike of some months back..

PS ... I note that 6% reduction was based on a "book early" reduced fare for business saver, which it looks like is not being applied to business, so two more points, that 6% will not be so great once the "book early" discount is removed and secondly, they're not offering a "book early" discount to business fares!

 

[Edge]

Do you have to book a Freedom fare to use the Platinum upgrades?

 

[serfty]

Do you have to book a Freedom fare to use the Platinum upgrades?

Yes - www.velocityfrequentflyer.com/content/Status/PlatinumMembership/

Platinum members are entitled to four complimentary fare upgrades per year from a Freedom fare (fare classes Y, B, H, K, L) to a Business Class seat on Domestic, Trans Tasman or International Short Haul flights marketed and operated by Virgin Australia.

 

[Jousams]

Re: New VA Fare Structure

To be honest, I was really worried sc earning would be made a lot worse than this. I think this new structure will benefit me.

I do feel that VA has handled the Comms for this process very poorly.

 

[Pleb Status]

The way VA have structured the changes, with both significant cuts on Gateway and improvements on Elevate (actually increasing SC earn above Gateway, reduced change fees for Elevate etc}, QF may be forced to respond in the future.

I would say QF may look to copy most of the cuts and improvements. So if you buy low margin fares most of the time (myself included), you will most likely be needing to fly (and pay) alot more in general in the future to earn SG/WP.

 

[Deleted member 29185]

I've noticed business saver is apparantly all sold out throughout October (all dates I've seached on my usual journey) whilst there is still plenty of business class availability (738). Looks to me like VA may have set the business saver bucket at just 1 or perhaps 2 seats.

I guess it will take a while to see if this also effects Upgrademe, comp upgrades, or ODUs.

 

[Shudai1]

So, as far as I can see:

The new lower-level fares are precisely the same as the old lower-level fares, but we are to receive fewer status credits.

So, it's a substantial devaluation of the program for self-funded travellers, and at this point I can't see any advantage for that group in remaining with Velocity over QANTAS.

 

[pauly7]

So, it's a substantial devaluation of the program for self-funded travellers, and at this point I can't see any advantage for that group in remaining with Velocity over QANTAS.

Self funded and BFOD flyers where VA wins the ticket...

 

[Dannyism]

Having a look at a few different flights, my best guess is that as far as price goes: getaway = saver, elevate = saver +30 dollars, freedom = flexi.

I'm feeling like now I have to pay for my status credits and fly ahead and bonus points.... Not happy about this, but I guess in a few month it will be the new normal and I will have forgotten all about it.. Sigh...