Qantas’ loyalty program revenues up, with airline flagging growth of Red Planet agency
Qantas saw a 6% jump in members of its Frequent Flyer loyalty program in the past six months, with 11.2m people now signed up to it.
The figures were revealed in Qantas’ half-year financial results, which showed the turnaround of the airline is in full effect with profits before tax rising to $921m from $554m for the same period the year before.
Overview of Qantas loyalty chain (click to enlarge)
Qantas’ loyalty program saw 10% revenue growth to record earnings before interest, tax, depreciation and amortisation (EBITDA) of $176m for the six months.
Marketing and advertising activity was listed among factors for an increase in ‘other expenditures’ of 7%.
The results also flagged growth in revenues from the company’s fledgling Red Planet division, set up in 2014 to handle digital creative and media buying for the airline and other clients utilising the Frequent Flyer data.
No specific revenue results were broken out for that part of the business, but slides suggest ‘Frequent Flyer redemption, marketing, store and other revenue up 18%’, noting ‘growth of Loyalty adjacent businesses, including Red Planet’.
Qantas: Investing in drivers of revenue growth (click to enlarge)
Alex Hayes
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