ASX travel share Qantas Airways Limited (ASX: QAN) is planning to work with Uber Eats. Can they serve up some tasty growth?
What is the partnership?
In a marketing email from Uber Eats, the food delivery business said that something big is coming with Qantas Frequent Flyer and Uber Eats.
Uber Eats said that it has been working with Qantas Frequent Flyer to make sure the next meal is unforgettable and it’s almost time for the big reveal. It invited people to link their accounts to be part of the action.
In a teasing message, Uber Eats said: “Having a burger at home is awesome. But eating a burger with sand between your toes on a faraway beach somehow makes every bite taste even better.”
The power of the Qantas Loyalty program
The Frequent Flyer has been around for a long time. But it has been during this COVID-19 period where the division has been particularly important for Qantas.
In the FY21 half-year result it generated a cash contribution of $454 million despite limitations on travel redemptions and a 10% decline in total credit card spending on Qantas points earning credit cards – two of its main revenue drivers. Underlying EBIT (EBIT explained) dropped 29% to $125 million.
Not only can the airline look forward to a recovery of passengers, but Qantas Loyalty can also continue to generate higher profits for the business if things go to plan.
