Qantas has announced the most significant overhaul to its loyalty program since it began nearly 40 years ago - but it isn't all good news for flyers.
The airline will allow members to earn status credits on the ground through everyday spending, including on Qantas credit cards and transactions with hundreds of program partners.
This is a major shift since, historically, status credits were earned almost exclusively through flying.
Qantas is also introducing status credit rollover, which will allow members to carry forward up to 50 per cent of their unused credits into the following membership year.
Previously, excess credits were reset to zero, regardless of how far members exceeded their tier threshold.
Qantas Loyalty and Customer chief executive Andrew Glance said the national carrier was "giving value back, ensuring hard-earned status credits in one year give members a head start in the next".
"Traditionally, Status Credits have been a benefit earned exclusively through flying. However last year's trial broke member engagement records, proving they want more ways to fast-track their status," Glance said.
"Making this a permanent fixture is great news for our members and also our partners, who will benefit from the increased activity this creates."
Additional perks will be introduced across all tiers, including an extra lounge invitation each year for Silver members, and new vouchers and discounts for higher-tier members.
The airline is also expanding lifetime status benefits, with Lifetime Gold members able to earn and bank up to five complimentary years of Platinum status.
Mixed bag for travellers
Mark Trim, founder and managing director of frequent flyer consultancy QFlyer and Flat Beds, said the overhaul would deliver mixed outcomes for travellers.
"It's some gain, but also some pain," he told Explore.
They're announcing positive benefits for people who exceed their targets, but it's going to be harder to actually attain and retain those targets, particularly in subsequent years."
Mr Trim said Qantas has removed lower retention thresholds for Gold and Platinum members, along with the loyalty bonuses previously awarded for every 500 status credits.
"If you already have Platinum with Qantas, you're now going to need to earn around 300 additional status credits each year to retain it," he said.
Under the previous system, Platinum status could be retained with 1200 status credits, and members could receive loyalty bonuses - including an extra 50 status credits for every 500 earned - helping to offset the requirement.
Now, with 1400 status credits needed and fewer bonus pathways available, the hurdle has effectively risen.
"That extra 300 status credits is significant," he said.
"For many travellers, retaining Platinum could mean spending an additional $4000 to $7000 a year."
Qantas has also increased the price of staying Platinum One by removing 250 free bonus credits and replacing them with only 140 from everyday spending - leaving you 110 credits short compared to last year.
Mr Trim said the changes reshape incentives at the top end of the program.
"There used to be a huge jump between Platinum and Platinum One," he said.
"Qantas is now encouraging people to travel more by allowing them to roll over up to 50 per cent of unused status credits into the following year."
While he described the rollover benefit as valuable, he said the removal of lower retention thresholds had permanently raised the bar.
"It will penalise people who just scrape into their membership tier, while rewarding those who comfortably exceed it."
Mr Trim said the changes would influence traveller behaviour, particularly among frequent flyers seeking premium perks.
"This is a huge deal," he said.
"People absolutely change their travel decisions based on status," he said.
"Access to first-class international lounges and business lounges is what everyone wants.
"When you walk into the First Lounge in Sydney and have Neil Perry dining, it creates a sense of exclusivity and luxury that really elevates the flying experience.
"In the corporate world, status is a badge of honour."