22nd October 2008

Dear Richard

Thanks for your prompt reply and I thought I would write to you direct to share my thoughts about loyalty programs, membership and Qantas.

I have been a Qantas FF for many years. I have used you domestically and internationally for a long time.

I have travelled with you through your various viscitudes and changes – ever loyal and ever a believer in the flying Kangaroo.

I have spent hundreds of thousands of dollars with you, both mine and the various companies I run.

I have observed the manner in which you have changed in recent years. How shareholders and certain executives interests were placed ahead of customers.

I flew with you as the age of your aircraft deteriorated.

I flew with you as your attitudes to customer service diminished.

I flew with you as meals became of poorer quality and when an apple and an ice cream were considered to be a meal.

I flew with you and received the same treatment, service and food as those who flew on heavily discounted fares.

I flew with you as you withdrew services to various domestic and International ports, replacing them with Jet Star.

I flew with you during the early teething problems of Jet Star.

I flew with you as you tried to convince investors that the deal with Babcock and others was a “good thing” for the company.

I flew with you as your treatment of cabin crew conditions impacted their “love” for Qantas and were in turn transferred to passengers.

I flew with you as your attempts to drive profits to shareholders came at a cost to your lifeblood (loyal customers in case you had forgotten).

I flew with you despite the frequent changes to your loyalty program.

I flew with you despite the fact that the only way I could ever use “points” with any degree of certainty was to use them for upgrades.

I flew with you during your poor treatment of your own employees – cutting their wage growth, whilst attempting to line the pockets of executives and others.

I flew with you during increasingly disturbing and frequent ’safety’ incidents.

I even remained loyal during a huge decline in on-time efficiency and ever increasing flight delays and cancellations and still flew with you. But I do admit that this year on at least 10 occasions whilst I was booked with you I flew an alternative (Virgin) at the last minute as you had once again cancelled/delayed a flight. Perhaps those flights had they been on time or not cancelled would have got me over the line regarding FF status – who knows!

In short I flew because I was loyal.

But no more! Why? Because I now realise that Qantas and loyalty are not co-joined.

I realise that Qantas has sadly ‘lost the plot” and has embarked on a course of action that will deliberately or not, increasingly alienate those that are loyal.

But now I know I have a choice. I have experienced Virgin and you know what they are OK. They do reward loyalty, they have newer planes – their food is no better or worse than yours, they are better on time, I can use their loyalty program with ease – they pretty much fly every where you do and they are less expensive and jeez they are also easier to like! And, I like them! They work for me, so this really is a farewell letter.

So you can say farewell to my loyalty, to my spend and where possible that of my company and where I can convince others, that of my peers.

Finally, may I refer you to a great book written by Jan Carlson of SAS airlines “Moment of Truth” – I suspect the executives of Qantas could do with either being introduced to it, or re-reading it.

This is my “Moment of Truth”. Goodbye Qantas – Hello Virgin.

Yours sincerely

Stephen Tunley
CEO
Mirvac AQUA

I will never ever fly Qantas again for any reason. The organisation that makes that much of a profit while screwing people in every which way does not deserve to be supported. They are hopeless to travel with, it creates so many unnecessary stresses in order to keep their shareholders happy.

I hope Qantas/Jetstar and all the other airlines like American TANK. Its horrible to say, but when I flew EasyJet, I was so overwhemingly happy with the experience and I think my future of flying is with airlines like that, who despite not giving a shit about comfort, give more of a shit AND comfort!