Will you still earn/retain Velocity status beyond 2025?

[simmomelb]

Virgin have bungled this big time.

We'll, as much as I'd usually agree, as this will likely impact me also, that's only from an outsiders view, it's likely that this is exactly what they wanted.
This wasn't a last minute rushed through idea by one genius, it would have involved many in management and marketing with an end goal and projections that would give them an idea of what the likely outcome will be.
Highly unlikely anything has been bungled as such, but it will be interesting as to what transpires with real world outcomes over the coming months.

 

[Lemon_Party]

I fly a couple of times a month domestically and at short notice as projects require things. Often fares are high particularly as returns a normally flex. I don’t think I’ll be any different - platinum should be fine to maintain. There’ll still surely be an occasional status credit boost and an international trip with a partner to top things up.
I reckon another couple of years will lock in lifetime gold which is a good safety net if my travel amounts change in the future.
A lot of my colleagues are in the same position. I think the changes suit regular business travellers but make it a lot harder for people to be savvy and fly a few times a year but amass a lot of SCs.
The lounges are often full and VA probably did need to re look at just how many members have status.
Personally I found I couldn’t get to platinum with QF with my travel (mainly domestic economy) and while QF gold had some value it was just impossible to book family business class rewards internationally.
If VA sever ties with SQ and the ability to move points to krisflyer is removed I would reconsider whether velocity offers enough value…

 

[simmomelb]

Personally I found I couldn’t get to platinum with QF with my travel (mainly domestic economy) and while QF gold had some value it was just impossible to book family business class rewards internationally.
If VA sever ties with SQ and the ability to move points to krisflyer is removed I would reconsider whether velocity offers enough value…

This is part of the issue, international won't help anywhere near as much with maintaining status under the new earn rates and how it qualifies.

Forget booking direct via international partner airline sites as in many circumstances you'll be penalised for it.

Book a codeshare partner via VA and you'll pay a lot more for those flights or the routes just won't appear, when they should.

Singapore will only be useful for Asia after this (no earn or redemption outside of this).

 

[HS-TQE]

As mentioned in another thread, those changes may (or may not) have been done under the influence of the incoming part-owners and may be purposely done to "remove" those that use VA mostly for flying their International Partners and rarely (if at all) fly actual VA domestic (and Short Int'l) metal.

Although I'd be tipping VA in a post-QR part ownership may be 'denigrated' as "Qatar Australia" by critics similar to how Virgin Atlantic is denigrated as "Delta UK" since VS refocused most of their services on their "Core" Trans-Atlantic UK-USA services, especially to DL hubs.

 

[eastwest101]

As mentioned in another thread, those changes may (or may not) have been done under the influence of the incoming part-owners and may be purposely done to "remove" those that use VA mostly for flying their International Partners and rarely (if at all) fly actual VA domestic (and Short Int'l) metal.

Although I'd be tipping VA in a post-QR part ownership may be 'denigrated' as "Qatar Australia" by critics similar to how Virgin Atlantic is denigrated as "Delta UK" since VS refocused most of their services on their "Core" Trans-Atlantic UK-USA services, especially to DL hubs.

I can sort of see your logic there if these changes are from QR, but from what I see, if these changes have negatives and are targeted at people who fly VA international partners a lot—say people flying SQ EY or DL internationally a lot—and thus qualifying for Velocity status, then these people are, by definition, flying a lot internationally and are not the people cluttering up the Velocity domestic lounges. I mean sure they might also fly domestically and be in the lounges occasionally but arent they overseas a lot, and thus not cluttering up the domestic Velocity lounges?

I can definitely see you point about QR trying to disincentivize people flying SQ worldwide and particularly to Europe and drive customers towards booking QR flights instead though.

It would be interesting to see what Bain's raison-d'etre would be, obviously, they want to pump up the profitability of VA as much as possible for the IPO but I can't see how handing over frequent domestic high-value customers and/or high-frequency flyers over to Qantas is going to improve their bottom line?

 

[elanshin]

It would be interesting to see what Bain's raison-d'etre would be, obviously, they want to pump up the profitability of VA as much as possible for the IPO but I can't see how handing over frequent domestic high-value customers and/or high-frequency flyers over to Qantas is going to improve their bottom line?

Bain doesn't really care about how the airline will do in the medium or long term which this sort of change will cause. As long as they can set it up so they can offload the majority of their stake, they're done for themselves.

In part with the Qatar deal they more or less have done that. That deal has to have been favourable for Bain with QR's eagerness to use the loophole and snap up the other major Australian domestic airline.

 

[ozstamps]

It would be interesting to see what Bain's raison-d'etre would be, obviously, they want to pump up the profitability of VA as much as possible for the IPO but I can't see how handing over frequent domestic high-value customers and/or high-frequency flyers over to Qantas is going to improve their bottom line?

IMHO their timing was dumber than dirt.

Qantas on the back foot all year meant changing NOTHING was savvy policy.

Retain a bunch of happy Velocity campers, AND steal a bit of market share off QF as some folks there were disaffected.

Revenues strong all year 2024 for Virgin.

Revenues will decline next year, when masses of folks chose not to chase Status. We will simply buy Biz class tickets to Europe with carriers that suit US and not be chained to EY or QR. And will not be alone.

And many will choose to fly Qantas domestically who never bothered before. See posts upthread.

A market float works best when your revenues are going UP not DOWN. Basic Business fundamentals.

Qatar will not be pleased either with their 25% share, if revenues drop.

 

[JohnK]

We will more than likely go from 2 of us earning VA Platinum in alternate years to both of us earning VA Gold in alternate years but the 50% requirement would mean that possibly just me earning VA Gold each year.

That would also depend on any further changes to SQ partnership but if only one of us earns VA Gold each year there are 3 of us travelling internationally which will be hit and miss on lounge access for all 3.

In my opinion this is the extreme for any expected changes to Velocity. It really takes away a lot of the attractiveness of earning status.

 

[odysseus]

As mentioned in another thread, those changes may (or may not) have been done under the influence of the incoming part-owners and may be purposely done to "remove" those that use VA mostly for flying their International Partners and rarely (if at all) fly actual VA domestic (and Short Int'l) metal.

They won't have been done due to QR. Any change like this needs top approvals, and they're not going to approve on what may, or they want to happen (if they even want to make these changes for QR), given it's only an application at this point and may not get approved, or may need modification. In either of those latter cases, they'd then be stuck with a program that didn't suit the reality.

If it was for QR, what they'd do is plan it out, then when approval came through release the changes at that time. Internally, QR could still make it conditional on this, but equally VA wouldn't have lost anything if the QR deal was modified or fell through.

So these changes are purely for VA's, or Bain's, expected benefit.

 

[MH_fan]

The changes to Velocity are disappointing but they're a business and it's their right to do what they want. Status is a benefit of flying and my flying habits are reasonably consistent with a few changes as needed to maximise my earnings if I can retain/earn status. My primary programme is with QF. I'm LTG with them and had considered changing to another OW programme to aim for LTP, as QF's is way too high. Then COVID came and then my health issues, which will see me flying much less in the distant future, so that wasn't going to be feasible any more. Hence, I've stuck with QFF.

I travel to Europe at least twice a year and always in paid J on OW carriers, so that usually means I requalify for WP each year on QFF. Given that QF is often more expensive than VA domestically, I get work to pay for my work domestic flights and those flights then give me the requirements I need to ensure I retain WP with QF.

As for my travel habits with VA, I rarely credit international travel to VA unless it's on SQ to Asia. I don't fly UA, QR or EY. I fly VA domestically for leisure and occasionally for work. VA is cheaper than QF most of the time so it's better for me to fly VA when it's out of my pocket. I wouldn't go out of my way to chase status with VA the same way I would with QF. The current VA system let's me earn/retain WP with them reasonably easily. The new system will make it much harder to retain WP, so I foresee that I'll eventually drop to SG with them in the future. However, I will be very close to earning their LTG by then, so there will be even less incentive to fly with them once I reach that point.

In the future, I will be flying less, so my flying will primarily be directed to QF. Why chase VA when I now have to spend more and not get anywhere near as many benefits locally and worldwide compared to QF and OW? It feels like an "own goal" for VA and they'll lose out on my spend with them. I'm sure it's not a big deal for them in the big scheme of things but I think their bottom dollar will suffer when many people like me have to decide where to direct their spend (however much it might be) and, given the choice, the majority most likely will choose QF over VA. VA making it easier to earn status with them meant that lots of people could have a foot in both camps but if they force people to choose, they're likely the ones who will lose out.

 

[RooFlyer]

You appear to have missed my, and I think OzStamps’ point.

You can chase QF status and use that status while not being handcuffed. A good chunk of the major carriers recognise QF status even though they are QF competitors.

VA status is only good on VA, and its ever shrinking network of partners (most of which require VA fares for status recognition). So good for the company but not the customers. That is handcuffed. Previously there was at least a few choices.

Chasing status is not a bad thing if you can get value from it. Going cold turkey from loyalty programs, unless you only fly J, is equally a bad idea.

My bolding - holding VA or QF status does not handcuff you - its only if you choose it to be so. Per my post above, and self evidently (I would have thought) you can book and fly any airline, at any time (price and scheduling dependent). It is only if you want to slavishly use the status perks that you self-apply the 'handcuffs'.

I practice what I preach - I hold QF and VA Plat, but no Star Alliance status yet I am flying Air NZ in Y across the dutch next year, because its convenient. No lounge, no priority, no better seat selection. . So, as VA & QF Plat, no handcuffs for me and anyone with VA or QF status can do similarly

 

[MH_fan]

Totally agree with you, RooFlyer. I book what's best for me. Despite my WP status with QF and VA, I've decided to fly MU (in J) to Madrid next year because I'm only paying 2/3 of what the others are charging!

 

[justinbrett]

My bolding - holding VA or QF status does not handcuff you - its only if you choose it to be so. Per my post above, and self evidently (I would have thought) you can book and fly any airline, at any time (price and scheduling dependent). It is only if you want to slavishly use the status perks that you self-apply the 'handcuffs'.

I practice what I preach - I hold QF and VA Plat, but no Star Alliance status yet I am flying Air NZ in Y across the dutch next year, because its convenient. No lounge, no priority, no better seat selection. . So, as VA & QF Plat, no handcuffs for me and anyone with VA or QF status can do similarly

So you’re advocating for flying without status which I addressed in my final paragraph. That’s fine but not for everyone.

You can do both. Have/use status while not being handcuffed. Just choose your loyalty program wisely. In the context of this thread, VA’s changes significantly degrade the programs value.

 

[levelnine]

The article and the comments to this thread give a good indication of why Virgin made the changes, even if people don't like it.

Many people being culled were attaining status for next to nothing — using Coles shops, family pooling & discounted J upgrades.

Many people are considering options that make Virgin more, not less, money — people who continue to fly Virgin and access lounges through paid lounge memberships, partner alliances and credit cards are more financially attractive than people accessing the lounge through cheaply-attained status.

Most people in this thread are not looking to trade up to Qantas given the increased cost of acquiring equivalent status for most people.

Most people in this thread are not looking to trade down to Jetstar, which makes sense as it would be even harder to get status by flying them.

 

[AIRwin]

I've decided to fly MU (in J) to Madrid next year because I'm only paying 2/3 of what the others are charging!

You can still earn QF points

 

[RooFlyer]

So you’re advocating for flying without status which I addressed in my final paragraph. That’s fine but not for everyone.

I'm not so much advocating it (hence the ) , but saying that you can do it quite easily, notwithstanding that you hold status on other airlines that one could choose.

You can do both. Have/use status while not being handcuffed. Just choose your loyalty program wisely.

Again, that's exactly what I'm saying! You can construct a disagreement if you like, but I'm happy to leave it there, in agreement.

As for choosing loyalty programs wisely - again, I agree. I belong to about 8 active loyalty programs - QF, VA, AS, SQ, QR, AA, AC, LH. Several I buy points in, several I credit to when flying revenue, some I credit to while flying other airlines. Others I belong to I haven't used for a while (Royal Air Maroc Safar Flyer, Oman Air Sinbad) but with their entry into OW their time may come and Virgin Atlantic I'm grooming for some SkyTeam flights I'm looking at and to buy their points.

 

[MH_fan]

You can still earn QF points

I know, but not status credits. I'll get more value crediting to AF.

 

[NZflygirl]

Doesn't matter. I've already dropped from Platinum to Silver since VA stopped flying the ditch around Covid times. I haven't read much of the new changes although I'm sure it's all bad news. Basically VA has generally better prices for fares and I feel like they're more comfortable in economy than Qantas. Those 2 factors alone are enough for me to book with VA occasionally. I've eye balled the VA lounge membership but not sure it's enough for me at the moment. I mean airports generally have better food options than lounges. I guess my other option is just to pay for additional luggage when needed. I think I'm going to retain silver even though I barely fly VA. Meh, if VA get it wrong which it kinda feels like it has then I'm sure they'll do something to win people back. They're not planning on going out of business anytime soon so, they'll balance the books somehow.

 

[trippin_the_rift]

The first thing about Platinum listed as something of value the Etihad First Class lounge is due to be scrapped. Assuming VA get their way with the QR agreement the partnership with EY will be dropped.

Etihad have also removed First Lounge access for their own Platinum's instead making it a choice benefit meaning the EY F lounge is going to be a very quite place!

I plan to get enough VA SCs to retain Platinum for another year which means I'll lock in Plat status to July 2026 and Gold through to July 2027.

Etihad also removed F check-in for their Plat members, in addition to selecting free economy seats.
It might be a good thing that VA is moving to QR...as I doubt EY would give more benefits to partner FFPs over their own members...

One observation is that Velocity's status pegging $$ to it more closely aligns with international counterparts, although still short.
For example...You will struggle to earn QR/EY/EK Gold for under $10K.

 

[henrus]

Etihad also removed F check-in for their Plat members, in addition to selecting free economy seats.

EY F checkin has return for their own Plat status holders and selecting standard seats has also returned.

It might be a good thing that VA is moving to QR...as I doubt EY would give more benefits to partner FFPs over their own members...

Well right now a VA plat gets access to the EY F lounge whereas an EY Plat doesn't unless they use one of their 5 choice benefits to get access.