Woolworths hopes to win customers back with a revamped rewards program, which lets shoppers choose between instant savings or Qantas Points. Picture: Cameron Richardson

Lauren McMah and Frank Chungnews.com.au

WOOLWORTHS has begun to roll out its long-awaited Qantas points loyalty option, in a move that could see customers flock back to the embattled supermarket giant.

Under the three-year deal, which was announced in December, customers will be able to convert 10 Woolworths Dollars, earned on orange-ticketed items, into 870 Qantas points.

A Woolworths spokesman has clarified* that points offer was contained in a promotional email over weekend to a limited number of Rewards members, but the conversion deal was not yet available to all customers.

“We offer members targeted offers each and every week,” he said.

“In this case, a limited number of customers were offered the opportunity to earn bonus dollars off their shop with Woolworths Dollars, or Qantas Frequent Flyer Points, whichever they prefer. Woolworths Rewards members who register their email may receive this or other offers tailored to them from time to time.

“Woolworths Rewards customers will be able to convert Woolworths Dollars to Qantas Frequent Flyer Points in the coming months as we’ve already announced. We’ll certainly let our customers know when that starts.”

The promotion follows claims points-based loyalty programs could be gone within five years with shoppers preferring instant discounts over longer-term points savings.

However, Woolworths copped a massive backlash from customers last year when it axed its Frequent Flyer rewards partnership with Qantas in favour of its Woolworths Dollars.

But under the new deal, Woolworths Rewards customers get both options.

Steve Hui, founder of rewards point management firm iFlyFlat, told news.com.au the revamped program could also secure big rewards for Woolworths.

An email promotion sent to customers over the weekend.

An email promotion sent to customers over the weekend.Source:Supplied

“I’m a excited to see the reintroduction of Qantas points rewards option for Woolworths loyalty customers,” he said.

“I can see consumers begin to return the love.

“The new program is the only one in the world which allows you to earn the experience of having a shower at 30,000 feet, flying Emirates first class Sydney to Auckland for just $621 Woolworths dollars (to earn 54,000 Qantas points).”

Woolworths announced the new venture with Qantas in December following weeks of customer backlash over its decision to dump its Frequent Flyer partnership with Qantas in favour of Rewards Dollars.

How to get the most out of your frequent flyer points0:37

The biggest mistake people make is not getting full value for their points. Courtesy ABC News

It said the new Rewards Program would allow customers to choose either to use their Woolworths Dollars to get money off their shopping, or convert them into Qantas Points for larger, longer-term savings.

“This fantastic outcome means Woolworths Rewards is 100 per cent relevant to all Woolworths customers, while also offering the best frequent flyer partnership in Australian supermarkets,” Woolworths said at the time.

As the deal was announced, Qantas Loyalty chief executive Lesley Grant said Qantas Points remained “a very popular choice for a lot of people, particularly those who are earning them in several ways”.

“Those customers tend to preference brands that offer Qantas Points because it helps them reach their goals faster, which can mean upgrades on flights or taking the family on an overseas holiday each year,” said Ms Grant.

According to Qantas, around 9.4 million flights were redeemed using points earned at Woolworths in the first six years of the relationship.

Around half of all Everyday Rewards members were linked to the Frequent Flyer program, and of those 32 per cent had not redeemed points for flights or other goods.

*An earlier version of this story indicated the deal had gone live to all customers.

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