The answer to this question isn’t as straightforward as comparing redemption rates (how much rewards cost). Here’s how to think about it properly.
What the Redemption Rates Actually Look Like
On a route like Melbourne to Sydney, Velocity comes in cheaper on both economy and business. Economy redemptions can start at 5,900 points plus $43, with business from 15,500 points plus $43. Qantas classic rewards are more expensive both in points and cash. Qantas economy starts at 9,200 points plus $61 for a Classic Reward Fare and 19,300 points plus $86 in business. On paper, Velocity looks like the clear winner.
But redemption rates are only half the story.
The Real Question Is How You Earn
A cheaper redemption means nothing if you’re earning points slowly. If you’re earning 0.5 to 1 point per dollar on a standard credit card, each point takes time to accumulate and the relative value of your redemptions shrinks (as it takes so long to earn the points). Compare that to someone who has worked out how to stack bonus points through gift card purchases, shopping portals or promotional earn periods. The same redemption costs them far less in real terms because their earn rate is significantly higher.
The program that delivers the most value is not simply the one with the lower redemption threshold. It’s the one you can earn fastest in, given your actual spending habits and lifestyle.
How to Work Out Which Program Suits You
Start by looking at where your spending actually goes. Which credit cards, banks and everyday retailers are partnered with each program? Are you flying primarily on Virgin Australia or Qantas-operated flights? Do you have existing status with either airline that affects your earn rate on flights?
If your day-to-day spending naturally aligns with Velocity partners and you’re flying Virgin Australia regularly, Velocity will likely give you better overall value. If your spending sits across Woolworths, Qantas-affiliated cards and partner hotels, Qantas Points may accumulate faster even if individual redemptions cost more.
What to Do Before You Commit
Pick one program as your primary focus rather than spreading points thinly across both. Research the earn rate on your existing credit card and spending patterns, then model how long it would realistically take you to reach a meaningful redemption. The best frequent flyer program is the one that gets you in the air faster based on how you actually spend money.
Which program are you using and why? Comment below. Follow 5 Star Trip for more ways to leverage your travel spend and get more from every dollar.