What is your QFF points strategy post-grounding?

[yohy?!]

It's sad to see that the industrial disputes have led to the grounding of the red Roo, hopefully there will be a resolution in the works today that protects both people's jobs and the long term viability of QF. I think it's also prudent to have in mind our own 'assets' in terms of points, most people here would place a monetary value on their points and save them for various goals as one would with cash.

The way I see it is that while it's incredibly unlikely the group will fold due to the amount of cash in the bank, if the grounding carries on for days or weeks though there might be a need for QFF to provide a greater level of cross subsidization for the group to maintain profitability this year.

I foresee that this could theoretically translate to reduced redemption availability, reduced partner award capability, increased redemption rates, increased taxes and charges or other restrictions on award travel to cut costs.

So I'm wondering what is your strategy, are you happy to hold your balance or do you have something in mind to protect the value of your hard earned points? For me I'm thinking that a partner award or one world award might be the way to go depending on the outcome of the grounding (as long as it can be booked without need to call QFF!).

 

[Limewood]

Sitting on my QF points, have many more sitting at Amex, not transferring any more over ATM, recently joined VA for free as gold, might be using VA more, however, with the massive damage done to the Q brand and so many not flying with them due to the on/off strikes uncertainty, maybe after this war is over I think there might be many more Q seats available and better deals for QFF flyers than before.

 

[eastwest101]

My QP membership is also due for renewal today....bummer. Anyone have any suggestions to keep my options open? Was wavering a bit before the grounding as I struggled to get a lot of benefits from my last membership year. Thankfully not booked on any significant QF travel for the next few weeks.

 

[Boris spatsky]

Seriously considering two classic awards to the US to burn points, but on OW carriers (JAL or CX). Problem is my dates are not fixed yet for leave so it is a gamble...

 

[Princess Fiona]

Sitting tight on mine, I love a gamble

 

[QF029]

I foresee that this could theoretically translate to reduced redemption availability, reduced partner award capability, increased redemption rates, increased taxes and charges or other restrictions on award travel to cut costs.

So you think that this action will put more bums on seats in the short to medium term thereby reducing award availability? If anything there will be increased award availability in the next 6 months. None of those things you have listed above are likely to happen.

 

[PineappleSkip]

Ever since AF went belly up - and GR with it - I've always had a strategy of not having a large points balance. So not too many points to lose at the moment.

Don't really think my points are in jeopardy in the same way that the QF brand is. The qantas group has many parts, one of which is their loyalty points arm. IIRC they deferred spinning that off because the price they were going to get (post GFC?) wasn't attractive, so the spinoff got deferred. Happy to be corrected on that by those with better memories

Cheers skip

 

[justinbrett]

Take a chill pill. Qantas is too big to fail, at least in the short term. (it may gradually lose market share over the next 10 or so years). The government cant let it happen - it would be political suicide. This will be sorted out one way or another in the coming dates, and your points will be safe.

 

[Groundfeeder]

My QP membership is also due for renewal today....bummer.

You and me both, baby:evil:

I'm retiring at the end of the week but have decided to renew to use up QFF points in a more comfortable style.

 

[bat21]

Take a chill pill. Qantas is too big to fail, at least in the short term. (it may gradually lose market share over the next 10 or so years). The government cant let it happen - it would be political suicide. This will be sorted out one way or another in the coming dates, and your points will be safe.

Without being a panic merchant, they can fail and in the short term today. I had a bit to do with the banking structure of Ansett and saw how quickly they folded and Qantas could just as easily follow suit. I have spent 30 years in the Finance game looking after higher end corporate clients and although not having any direct contact with the big Q, there are massive financial concerns amongst a knowledgeable few. I also dont have any faith in the current government in being able to sort out this mess and I am not sure they have the will to do so. They are more intent in self preservation.

 

[eastwest101]

You and me both, baby:evil:

I'm retiring at the end of the week but have decided to renew to use up QFF points in a more comfortable style.

Oh yeah - I forgot about the option to use points instead of $$ to renew QP membership - although if you value your QFF points its a dubious proposition

As Princes Fiona says - its all about whether you feel like a punt or not isn't it?

 

[JohnK]

I have close to 500,000 QFF points and my strategy is to continue accumulating QFF points until I am ready to redeem them for Oneworld awards....

 

[drewbles]

Take a chill pill. Qantas is too big to fail, at least in the short term. (it may gradually lose market share over the next 10 or so years). The government cant let it happen - it would be political suicide. This will be sorted out one way or another in the coming dates, and your points will be safe.

That's what people thought about AN and look what happened there. Admittedly, QF has cash in the bank and appears to be run better than AN was.

The government has already pretty much committed suicide on various other issues and it's highly unlikely they'll get back in at the next election.

Whilst I wished I shared your optimism as the stability of my points, the pessimist in me is leaning to 'worst case scenario'. I'm sure things will be ok, but this is far from a good situation.

 

[tuapekastar]

The Qantas Group (including QFF) is making a profit, it's mainly QFi that is the issue, according to AJ. So in that respect, I can't see QFF points being at risk in the short to medium term. Of course if the grounding and industrial action continues for any substantial length of time (I don't think this will happen BTW), then the story could change.

My points strategy is that I don't have many uncommitted at the moment - balance is around 37K, of which 25K are reserved for an upgrade request made for January. I do however have ~270K tied up in yet-to-be-flown J/F ASAs. Hence I would really like to see QF continue to operate years into the future. Even without my own points interests I still hope for this.

 

[DCKR]

Since the ansett disaster, I have never accumulated more than 250k. I use mine for upgrades to business or for visits to the grandchildren!

 

[justinbrett]

You can't compare Qantas with Ansett.
1. Qantas is the flag carrier, AN wasn't.
2. Qantas is the parent company. AN was set loose by ANZ. It has been said that ANZ was fueling its planes and charging to AN in the final days.
3. AN was not operating a sustainable business. QF is.
4. QF has significant cash reserves, AN didn't.
5. The Qantas Sale act will prevent a takeover by an overseas airline or company. The ACCC will prevent a takeover by an Australian airline. At worst it will be taken over by another Australian company with minimal changes to its operations.
6. I'm predicting the ASX will suspend trading on QF tomorrow.

 

[tuapekastar]

You can't compare Qantas with Ansett.
1. Qantas is the flag carrier, AN wasn't.
2. Qantas is the parent company. AN was set loose by ANZ. It has been said that ANZ was fueling its planes and charging to AN in the final days.
3. AN was not operating a sustainable business. QF is.
4. QF has significant cash reserves, AN didn't.
5. The Qantas Sale act will prevent a takeover by an overseas airline or company. The ACCC will prevent a takeover by an Australian airline. At worst it will be taken over by another Australian company with minimal changes to its operations.
6. I'm predicting the ASX will suspend trading on QF tomorrow.

I concur that QF is not going to fall over anytime soon, and probably with points 2 through 6.

But I do think QF ceased to be the 'flag' carrier the day it was privatised. It's just another privately owned airline, albeit the one most readily associated with Australia.

 

[el_rooto]

6. I'm predicting the ASX will suspend trading on QF tomorrow.

This will only happen if QF requests it.

 

[Katie]

At the moment, holding 'em. Also hoping QF starts flying again by my flights to LAX on 11/11. If so, I've got a request to blow 90k or so on upgrades.

 

[sumthinfornuthin]

I'm not blowing mine.

If QANTAS is being set up for a buyout then I reckon QANTAS management will want to reduce the contingent liabilty of all the zillions of QFF points on their books.

Once the planes are back in the air the yields will be down for sure as the public react adversly and in all reality it would make sense for QANTAS to open up more seats to try and keep the bottoms on seats ratios up and get the QFF liabilities down.

Hope I'm right, I've got heaps sitting there !!!