Velocity Frequent Flyer partners with freedom for launch of new loyalty program

At a time of waning participation in loyalty programs, re-designed myfreedom program debuts with airline partnership offering points and other rewards

Virgin staff with free freedom throws given away to launch the new brand partnership
Virgin staff with free freedom throws given away to launch the new brand partnership

Virgin Australia’s Velocity Frequent Flyer and freedom have formed a new partnership as part of the launch of myfreedom, the furniture retailer’s new customer loyalty program.

myfreedom will allow customers who sign up to the program and link their Velocity account to earn one Velocity Point per $1 spent when they shop with freedom in-store or online. Members will also receive $100 in freedom credit for every $2000 spent, bonus points offers and in-store benefits as part of the program. Members will go into the draw to win one of seven weekly prizes of 100,000 Velocity Points when they join myfreedom and link their Velocity account.

“Freedom is committed to providing its customers with great value. This exciting new partnership offers exceptional value to both myfreedom and Velocity members,” said freedom general manager of marketing, Jason Piggott, in a statement.

Velocity Frequent Flyer CEO, Karl Schuster, added the program will give members more ways to earn points and get closer to getting a holiday. The partnership comes off the back of research conducted by the airline that found 87 per cent of Australians believe buying furniture is almost as refreshing as taking a holiday, with millennials and Gen X respondents leading the list of supporters.

The launch comes shortly after cinema chain, Hoyts, re-designed its loyalty program, Hoyts Rewards, as part of an ongoing drive to improve customer experience in the cinema and combat the widespread trend of program fatigue among Australian consumers to offer instant benefits and new membership tiers.

Despite the popularity of Amazon Prime, the behemoth of paid customer loyalty programs, which counts some 100 million members in its ranks, the member participation in many programs is languishing. The recent For Love of Money 2019 report found less than half of Australians participating in loyalty programs have actively used their card or number when making a purchase in the last 12 months.

It's the lowest number recorded in four years in the annual consumer study, which takes the pulse on customer loyalty and Australian loyalty programs, commissioned by customer loyalty consultancy, Point of Loyalty.  The reasons for people losing interest in a program is when the rate of earning is too low or the value of points is too low. 

The Point of Loyalty CEO and founder, Adam Posner, told CMO that from the business side “Loyalty programs are seen as a way to connect customer data and also give more value back to customers to get that incremental spend... and retain and grow the value of my existing customers."

On the other hand, consumers have certain expectations, which are growing all the time, that a program should deliver on. 

CEO and founder of Loyalty & Reward Co, Philip Shelper explained to CMO the heightened expectations” of members means any business has to keep investing to ensure their customer loyalty program delivers.

“The average person’s expectation of receiving a personalised service is increasing. It’s not just about getting an email with their name at the top. It’s about getting communication across a wide variety of channels serving up specific products they know will resonate.”

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, follow our regular updates via CMO Australia's Linkedin company page, or join us on Facebook: https://www.facebook.com/CMOAustralia.   

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments
cmo-xs-promo

Latest Videos

More Videos

Thanks for your feedback, Rabi. While we introduced the ROO concept using a marketing example, I also believe that it is pertinent to man...

Iggy Pintado

Introducing Return on Outcome (ROO) - Brand science - CMO Australia

Read more

Thanks for your insight, Philip. Return On Outcome (ROO) requires balanced thinking with the focus on outcomes as opposed to returns.

Iggy Pintado

Introducing Return on Outcome (ROO) - Brand science - CMO Australia

Read more

Beautiful article.

Hodlbaba

15 brands jumping into NFTs

Read more

"Blue" is really gorgeous and perfectly imitates a human customer support operator. Personally, I won't order a chatbot development for m...

Nate Ginsburg

Why the newest member of BT’s contact centre is a chatbot

Read more

As today’s market changes rapidly, the tools we use change, and it is important to adapt to those changes to continue to succeed in busin...

Anna Duda

Report: 10 digital commerce trends here to stay

Read more

Blog Posts

How the pandemic revealed the antidote to marketing’s image problem

What does marketing truly ‘own’ in most organisations? Brand and campaigns, definitely. Customer experience? That remains contested ground.

Murray Howe

Founder, The Markitects

Still pursuing a 360-degree view of the customer?

On the Internet, nobody knows you’re a dog.” It may have been true in 1993 when this caption to a Peter Steiner cartoon appeared in the New Yorker. But after 30 years online, it’s no longer the case.

Agility in 2022

Only the agile will survive and thrive in this environment and that’s why in 2022, agility will need to be a whole-business priority.

Sam McConnell

Melbourne bureau chief, Alpha Digital

Sign in