Loyalty programs, including frequent flyer schemes and supermarket rewards, promise savings and perks, but do they really deliver?
On Thursday morning’s episode of The Briefing, we sat down with Steven Hui, known as the “points whisperer” and founder of I Fly Flat, to discuss the truth behind these programs.
Are frequent flyer programs a scam?
Hui said these loyalty rewards programs are not a scam, but using them effectively requires strategy.
Hui explained that the key to maximising loyalty rewards lies in planning ahead and choosing the right programs.
“If you completely rely on earning points from flying, it’s going to take you forever. But if you’re combining your points from, say, supermarkets or credit cards, then all the points act together or get you enough for a free flight,” Hui said.
He also highlighted that although some flights or grocery purchases may seem like a bargain with rewards, it is important to assess the real cost, as extra fees might not always translate into significant rewards.
“It’s a game that they’ve designed that we play in, and we hope that we can have good strategies that we win too,” Hui added.
When speaking about how to maximise frequent flyer points, Hui recommends three simple steps, starting with a clear destination in mind.
“I think always number one is to have a think about where you want to go and see how many points Qantas charges to fly there, Virgin flies there or not.”
Another crucial tip is to align your shopping habits with points partners.
“See where you shop and see which programs they link to,” Hui suggested.
Lastly, Hui advises using a credit card that earns points for the program you’re targeting—provided you can pay off the balance in full each month.
“Most people just get a card, earn the points, and then see what happens later. In that case, then you’re hoping for the best. That never produces great results.”
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