Velocity is the

frequent-flyer program A frequent-flyer programme (FFP) is a loyalty program offered by an airline. Many airlines have frequent-flyer programmes designed to encourage airline customers enrolled in the programme to accumulate points (also called miles, kilometres, ...

Virgin Australia Holdings Virgin Australia Holdings Pty Ltd is the holding company that owns and operates Virgin Australia and Virgin Australia Regional Airlines. It previously operated Pacific Blue Airlines, Tigerair Australia and joint-venture airline Polynesian Blue ...

History

Velocity was launched by Virgin Blue (later renamed

Virgin Australia Virgin Australia, formerly known as Virgin Blue, is an Australian airline based in Brisbane, Queensland. It is one of two active airlines (the other being Virgin Atlantic) to use the Virgin Group, Virgin brand, as well as the larger by fleet ...

) in 2005 as Velocity Rewards, with partner

National Australia Bank National Australia Bank Limited (abbreviated NAB, branded and stylised as nab) is one of the four largest Banking in Australia, financial institutions in Australia (colloquially referred to as "Big Four (banking), The Big Four") in terms of mar ...

offering a companion credit card. Initially, Velocity differed from most other frequent flyer programs with points earned being based on the cost of a flight, rather than distance. Velocity members originally earned 6 points per dollar spent on Virgin Blue flights. By 2007, points earned in loyalty programs operated by

Westpac Westpac Banking Corporation, also known as Westpac, is an Australian multinational banking and financial services company headquartered at Westpac Place in Sydney. Established in 1817 as the Bank of New South Wales, it acquired the Commerc ...

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and

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could be transferred to Velocity Rewards, as well as from the ANZ loyalty program from September 2008. As part of Virgin's effort to attract business travellers, status levels were introduced to the program in late 2007. Alongside the entry-level "Red" status, members could attain "Silver" and "Gold" status, each with its own set of benefits. With the introduction of status levels, the earning rate was changed: Red members earned 5 points per dollar, Silver members remained at 6 points, and Gold members earned 7. Velocity was the first frequent flyer program in Australia to offer "any seat, any time" reward flight availability. The number of points required to redeem an award seat directly corresponds to the current fare of that seat, allowing any seat currently available to be redeemed.

Qantas Qantas ( ), formally Qantas Airways Limited, is the flag carrier of Australia, and the largest airline by fleet size, international flights, and international destinations in Australia and List of largest airlines in Oceania, Oceania. A foundi ...

introduced a similar feature to their frequent flyer program in May 2008. By February 2008, Velocity Rewards had 1.3 million members and Virgin Blue stated it was considering selling it or entering into a joint venture once its operation was profitable, and considered a membership of 1.6 to 1.7 million members would put the operation in a break-even position. The program reached 4 million members by the end of 2014. In August 2011, the program was renamed "Velocity" and a "Platinum" status level was introduced, among other changes. The changes included changes to the bonus system: Red status members now earn 5 points per dollar spent, and Silver members earn a bonus of 50%, Gold members earn a bonus of 75% and Platinum members earn a bonus of 100%. In July 2013, Velocity introduced the Global Wallet, the first travel money card in Australia, which can be used as a Visa prepaid card. Velocity Global Wallet was discontinued on 1 February 2021.

Associated products

Velocity credit cards

Velocity co-branded (direct-earn) credit cards earn points on purchases and these points are automatically allocated to the holder's Velocity account each month. Co-branded cards are offered by

, NAB,

Virgin Money Virgin Money may refer to: * Virgin Money (brand), a financial services brand owned by Virgin Group * Virgin Money UK, a British banking and financial services company owned by Nationwide Building Society Nationwide Building Society is a Bri ...

and

. Most banks and credit companies have cards which earn points into their rewards program, which can then be transferred to another program such as Velocity.

Global Wallet card

The Velocity Global Wallet prepaid Visa product was owned by

Cuscal Cuscal Limited is an Australian company that provides payments and data to Australian Banks, credit unions, mutual savings banks, corporates and Fintechs. Cuscal is regulated by the Australian Prudential Regulation Authority (APRA) as an Aust ...

and managed by Rev Australia Pty Ltd. The card was designed to be used as a travel wallet card, where holders were able to earn points on purchases and avoid overseas transaction fees. The Global Wallet card allowed the holder to load money onto the card in Australian dollars (AUD), up to a total value of A$25,000. As many as ten currencies were able to be stored on the card. The card could be used as a Visa prepaid card. Fees were charged to make purchases in foreign currencies, and for withdrawal of cash at ATMs. The

exchange rate In finance, an exchange rate is the rate at which one currency will be exchanged for another currency. Currencies are most commonly national currencies, but may be sub-national as in the case of Hong Kong or supra-national as in the case of ...

s were locked in at the time the currencies were bought, and not at the time of a transaction, as would be the case with a credit card; and the funds held on the account did not earn interest. Velocity Global Wallet was discontinued in February 2021.

Awards

The Velocity Frequent Flyer program, then called Velocity Rewards, won the 2009 Freddie Awards for best frequent flyer program, best award redemption, best affinity credit card, best member communications, best website. This was the fourth consecutive Freddie Awards that Velocity has won. Velocity Frequent Flyer also won the "program of the year" award for the third year running at the 2015 Freddie Awards.

References

External links

*
Velocity Frequent Flyer Guide
{{Customer loyalty programs Virgin Group Frequent flyer programs Customer loyalty programs in Australia