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Qantas Frequent Flyer & Velocity Frequent Flyer – First-party valuation | July 2026 edition | Flight redemptions only
CCAU Valuation Results (July 2026)
Qantas Frequent Flyer: 2.47¢ per point (flight redemptions only)
Velocity Frequent Flyer: 2.90¢ per point (flight redemptions only)
Methodology: 7-route basket, trimmed mean (removes highest & lowest), flight redemptions only. Compare: Our higher figure reflects exclusion of low-value gift card and merchandise redemptions.
1. Purpose and Scope
This document establishes CreditCard.com.au’s first-party methodology for valuing Qantas Frequent Flyer (QFF) and Velocity Frequent Flyer (VFF) points. It is designed to:
- Produce a repeatable, updatable valuation each quarter
- Be clearly differentiated from third-party sources (AFF, Point Hacks) in scope and transparency
- Reflect the value of points to credit card customers — people accumulating points specifically to redeem for flights
- Serve as the data backbone for the frequent-flyer-credit-cards page on creditcard.com.au
Scope: This methodology covers flight redemptions only (economy and business class). It explicitly excludes gift cards, merchandise, hotel bookings, car hire, and Points Plus Pay, which consistently return the lowest value in both programs. This is the primary difference from AFF’s basket, which includes all redemption types.
2. How AFF and Point Hacks Calculate Their Figures
Understanding the existing methodologies is necessary context for why CCAU’s figures differ.
Australian Frequent Flyer (AFF) basket methodology
AFF calculates a “trimmed mean” valuation across 16 redemption scenarios. Their basket deliberately includes both high-value redemptions (long-haul business class) and low-value ones (gift cards, merchandise). The trim removes the highest and lowest values before averaging.
Their reported figures (as of December 2025): Qantas 1.6¢, Velocity 1.7¢. These are blended averages across all redemption types. The gift card floor (approx. 0.46¢ for QFF, 0.4¢ for VFF) significantly anchors the average downward.
AFF applies a ±20% qualitative weighting adjustment for factors like seat availability, program stability, and customer experience. This is subjective and not independently verifiable.
Point Hacks methodology
Point Hacks publishes valuations based on a selection of real redemptions. Their approach is less formally documented than AFF’s but similarly blended across economy, business, and merchandise. They also consider opportunity cost (what the points would earn in other programs) and seat availability.
Their figures align closely with AFF’s, which suggests convergence on a broadly similar basket composition. Neither organisation publishes the specific redemptions in their basket.
Why CCAU’s figures are higher
Key difference: CCAU excludes gift cards and merchandise.
AFF’s basket includes redemptions returning 0.4–0.5¢ per point. Including these redemptions is legitimate for an ‘average across all uses’ metric, but it underrepresents the value of points to someone who will only redeem for flights. Our methodology answers a different question: “If you earn these points on a credit card and redeem them for flights, what are they worth?” That figure is meaningfully higher.
3. Basket Construction
We selected 7 routes based on three criteria:
- Routes Australians actually book (domestic, Asia, Europe being the top three international destinations by volume)
- Coverage across both economy and business class (premium redemptions are where both programs deliver their best value, and many credit card customers aspire to business class redemptions)
- Routes where both Qantas and Velocity offer redemptions (enabling like-for-like comparison)
| # | Route | Category | Distance | QF Zone | VA Zone | Cash Fare |
|---|---|---|---|---|---|---|
| 1 | SYD → MEL (Economy) | Domestic | 437 mi | Zone 1 (0–600 mi) | Zone 1 domestic | $179 |
| 2 | SYD → AKL (Economy) | Trans-Tasman | 1,341 mi | Zone 3 (1,201–2,400 mi) | Zone 3 Trans-Tasman (1,201–2,400 mi) | $380 |
| 3 | MEL → DPS (Economy) | SE Asia | 2,038 mi | Zone 3 (1,201–2,400 mi) | Zone 3 short-haul intl (1,201–2,400 mi) | $560 |
| 4 | SYD → SIN (Business) | Asia (Business) | 3,927 mi | Zone 5 (3,601–4,800 mi) | Zone 5 SQ/EY/QR (3,601–4,200 mi) | $4,200 |
| 5 | SYD → HND (Economy) | Asia (Economy) | 4,860 mi | Zone 6 (4,801–5,800 mi) | Zone 6 SQ/EY/QR (4,801–5,800 mi) | $1,100 |
| 6 | SYD → LHR (Economy) | Europe (Economy) | 10,561 mi | Zone 10 (9,601–15,000 mi) | Zone 10 SQ/EY/QR (9,501–15,000 mi) | $1,580 |
| 7 | SYD → LHR (Business) | Europe (Business) | 10,561 mi | Zone 10 (9,601–15,000 mi) | Zone 10 SQ/EY/QR (9,501–15,000 mi) | $9,500 |
Cash fares: median non-peak mid-week one-way economy (or business where noted), checked on Google Flights approximately 6 weeks in advance, early July 2026. Carrier charges sourced from program booking flows on the same date.
4. Formula
Carrier charges are subtracted because you pay these regardless of whether you use points or cash. Only the ‘points value’ component of the redemption is counted.
Final valuation = Trimmed mean of all 7 routes (removes the single highest and single lowest cpp before averaging). The trimmed mean approach is consistent with AFF’s methodology and reduces the influence of outlier routes.
5. Worked Calculations
5a. Qantas Frequent Flyer
| Route | Category | QF Zone | Points | Cash | CC ($) | Net value | cpp |
|---|---|---|---|---|---|---|---|
| SYD → MEL | Domestic | Zone 1 (0–600 mi) | 9,200 | $179 | $8 | $171 | 1.86¢ |
| SYD → AKL | Trans-Tasman | Zone 3 (1,201–2,400 mi) | 20,700 | $380 | $70 | $310 | 1.50¢ |
| MEL → DPS | SE Asia | Zone 3 (1,201–2,400 mi) | 20,700 | $560 | $150 | $410 | 1.98¢ |
| SYD → SIN | Asia (Business) | Zone 5 (3,601–4,800 mi) | 82,100 | $4,200 | $280 | $3,920 | 4.77¢ |
| SYD → HND | Asia (Economy) | Zone 6 (4,801–5,800 mi) | 36,200 | $1,100 | $320 | $780 | 2.15¢ |
| SYD → LHR | Europe (Economy) | Zone 10 (9,601–15,000 mi) | 63,500 | $1,580 | $580 | $1,000 | 1.57¢ |
| SYD → LHR | Europe (Business) | Zone 10 (9,601–15,000 mi) | 166,300 | $9,500 | $580 | $8,920 | 5.36¢ |
| Simple average | 2.74¢ | ||||||
| Trimmed mean (removes highest & lowest) | 2.47¢ | ||||||
Sorted cpp values (QFF): 1.5¢, 1.57¢, 1.86¢, 1.98¢, 2.15¢, 4.77¢, 5.36¢. Trimmed mean removes 1.50¢ (lowest) and 5.36¢ (highest).
5b. Velocity Frequent Flyer
| Route | Category | Partner / Zone | Points | Cash | CC ($) | Net value | cpp |
|---|---|---|---|---|---|---|---|
| SYD → MEL | Domestic | Virgin Australia Zone 1 domestic | 8,900 | $179 | $10 | $169 | 1.90¢ |
| SYD → AKL | Trans-Tasman | Virgin Australia Zone 3 Trans-Tasman (1,201–2,400 mi) | 17,900 | $380 | $10 | $370 | 2.07¢ |
| MEL → DPS | SE Asia | Virgin Australia Zone 3 short-haul intl (1,201–2,400 mi) | 17,900 | $560 | $35 | $525 | 2.93¢ |
| SYD → SIN | Asia (Business) | Singapore Airlines Zone 5 SQ/EY/QR (3,601–4,200 mi) | 74,000 | $4,200 | $200 | $4,000 | 5.41¢ |
| SYD → HND | Asia (Economy) | Singapore Airlines Zone 6 SQ/EY/QR (4,801–5,800 mi) | 42,000 | $1,100 | $185 | $915 | 2.18¢ |
| SYD → LHR | Europe (Economy) | Singapore Airlines Zone 10 SQ/EY/QR (9,501–15,000 mi) | 80,000 | $1,580 | $310 | $1,270 | 1.59¢ |
| SYD → LHR | Europe (Business) | Singapore Airlines Zone 10 SQ/EY/QR (9,501–15,000 mi) | 158,500 | $9,500 | $435 | $9,065 | 5.72¢ |
| Simple average | 3.11¢ | ||||||
| Trimmed mean (removes highest & lowest) | 2.90¢ | ||||||
Sorted cpp values (VFF): 1.59¢, 1.9¢, 2.07¢, 2.18¢, 2.93¢, 5.41¢, 5.72¢. Trimmed mean removes 1.59¢ (lowest) and 5.72¢ (highest).
6. Notes and Assumptions by Route
- Route 1: SYD → MEL (Economy)
- VA uses dynamic pricing; 8,900 pts is a representative mid-range (published minimum: 5,900)
- Route 2: SYD → AKL (Economy)
- QF carrier charges ~$70 one-way; VA charges flat $10 carrier fee on VA-operated international
- Route 3: MEL → DPS (Economy)
- QF MEL-DPS carrier charges ~$150; VA carrier charge $35 for VA short-haul international
- Route 4: SYD → SIN (Business)
- VA via Singapore Airlines; carrier charges ~$130 USD ≈ $200 AUD for SQ business
- Route 5: SYD → HND (Economy)
- VA via Singapore Airlines SYD-SIN-HND; carrier charges ~$120 USD ≈ $185 AUD
- Route 6: SYD → LHR (Economy)
- QF carrier charges ~$580 one-way to LHR (significant); VA via SQ ~$200 USD ≈ $310 AUD
- Route 7: SYD → LHR (Business)
- Business cash fare median; QF carrier charges same as economy (cabin-independent); VA via SQ ~$280 USD ≈ $435 AUD
7. Results and Comparison
| QFF valuation | VFF valuation | Scope | |
|---|---|---|---|
| CCAU (this methodology) | 2.47¢ per point | 2.90¢ per point | Flight redemptions only |
| Australian Frequent Flyer (AFF) | 1.6¢ per point | 1.7¢ per point | All redemption types (blended) |
| Point Hacks | ~1.6¢ per point | ~1.7¢ per point | All redemption types (blended) |
The CCAU figure is higher than AFF and Point Hacks because we exclude gift card, merchandise, hotel, and Points Plus Pay redemptions from our basket. This is intentional: our audience is credit card customers who accumulate points to redeem for flights. Including gift card redemptions (which return 0.4–0.5¢ per point) in an average used to evaluate a frequent flyer credit card creates a misleading picture of the value proposition.
“CreditCard.com.au’s flight-only valuation: Qantas 2.47¢, Velocity 2.90¢. This figure covers flight redemptions only — the redemption type most credit card customers target. AFF’s blended valuation (1.6¢ / 1.7¢) includes gift cards and merchandise, which pull the average down significantly.”
8. Award Chart Sources
Points requirements sourced from official program charts.
Qantas Classic Flight Rewards (effective 5 August 2025)
| Zone | Miles range | Eco pts | Prem Eco pts | Business pts | First pts |
|---|---|---|---|---|---|
| 1 | 0–600 | 9,200 | 13,800 | 19,300 | 29,000 |
| 2 | 601–1,200 | 13,800 | 20,700 | 29,000 | 43,600 |
| 3 | 1,201–2,400 | 20,700 | 31,100 | 43,600 | 65,500 |
| 4 | 2,401–3,600 | 23,300 | 34,900 | 68,400 | 102,600 |
| 5 | 3,601–4,800 | 29,000 | 43,600 | 82,100 | 123,200 |
| 6 | 4,801–5,800 | 36,200 | 54,300 | 98,400 | 147,700 |
| 7 | 5,801–7,000 | 43,200 | 64,800 | 113,900 | 170,900 |
| 8 | 7,001–8,400 | 48,200 | 72,200 | 130,100 | 195,100 |
| 9 | 8,401–9,600 | 58,900 | 88,300 | 151,800 | 227,800 |
| 10 | 9,601–15,000 | 63,500 | 95,200 | 166,300 | 249,400 |
Source: qantas.com/classic-flight-rewards/tables.html (effective 5 August 2025). Zones based on one-way statute miles.
Velocity Award Pricing — selected relevant zones
| Chart / Zone | Miles | Eco min | Eco max | Prem Eco | Business | CC ($) |
|---|---|---|---|---|---|---|
| VA Domestic Z1 | 0–600 | 5,900 | 12,900 | 9,900 | 15,500 | $10 |
| VA Domestic Z2 | 601–1,200 | 8,900 | 18,900 | 14,900 | 23,500 | $10 |
| VA Domestic Z3 | 1,201–2,400 | 13,500 | 26,900 | 20,900 | 35,500 | $10 |
| VA Intl Short Z1 | 0–600 | 7,900 | — | — | 15,500 | $10 |
| VA Intl Short Z3 | 1,201–2,400 | 17,900 | — | — | 35,500 | $35 |
| VA Intl Z5 Trans-Pac | 3,601–4,800 | 27,900 | — | — | 59,500 | $35 |
| SQ/EY/QR Z5 | 3,601–4,200 | 29,000 | — | — | 74,000 | ~$200 |
| SQ/EY/QR Z6 | 4,801–5,800 | 42,000 | — | — | 89,500 | ~$185 |
| SQ/EY/QR Z10 | 9,501–15,000 | 80,000 | — | — | 158,500 | ~$310–$435 |
Source: velocityfrequentflyer.com reward seat tables (current as of July 2026). Carrier charges: verified in VA/SQ booking flows. SQ carrier charges converted at USD/AUD 0.65 exchange rate.
9. Update Cadence
This valuation should be updated quarterly (January, April, July, October) or immediately following any award chart repricing by either program.
Update checklist:
- Check Qantas Classic Flight Reward chart for any repricing
- Check Velocity award pricing for each partner chart
- Re-check carrier charges via booking flow simulation for each route
- Update cash fares (Google Flights, 6-week advance, mid-week, non-peak)
- Recalculate cpp per route, recompute trimmed mean
- Update the creditcard.com.au/frequent-flyer-credit-cards/ page with new figures and date
Document produced: July 2026. Next review: October 2026.
Pauline Hatch
Pauline is a personal finance expert at CreditCard.com.au, with 9 years in money, budgeting and property reporting under her belt. Pauline is passionate about seeing Aussies win by making their money – and their credit cards – work smarter, harder and bigger.
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