Afterpay share price pushes higher on Qantas partnership

The Afterpay Ltd (ASX:APT) share price is pushing higher after announcing a partnership with Qantas Airways Limited (ASX:QAN) Frequent Flyers…

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Afterpay Ltd (ASX: APT) share price is pushing higher on Monday after announcing an exclusive new partnership with Qantas Airways Limited (ASX: QAN).

The buy now pay later provider's shares were up 2% to $68.80 at one stage, but have since pulled back a touch.

The Afterpay share price is currently 0.7% higher at $67.95.

a woman

What did Afterpay and Qantas announce?

This morning Afterpay and Qantas announced the launch of a new partnership allowing Qantas Frequent Flyers to earn Qantas Points with the buy now pay later platform.

From later this week, Qantas Frequent Flyers will be able to earn up to 5,000 Qantas Points when they link their membership number to their Afterpay account.

Qantas Loyalty CEO, Olivia Wirth, notes that earning points with Afterpay will be advantageous for the large number of users classed as frequent buyers. These are users that maximise their points earn on everyday spending and not just flights.

She added: "Financial services is one of the most popular ways to earn points in the program, it's the quickest and easiest way to build your points balance. With our 13 million members all having different spending habits and financial preferences, it's great to be able to offer more options and more rewards."

Afterpay's CEO and Co-Founder, Anthony Eisen, was pleased to be partnering with one of Australia's largest and most recognised loyalty programs. He feels it will provide significant upside for Afterpay customers.

Mr Eisen said: "We are always looking for ways to add value for our customers and this partnership between two iconic Australian brands is a great way to reward them for shopping with Afterpay. Now our customers can earn Qantas Points on their purchases at no additional cost, just by using Afterpay as they normally would."

How do you earn points?

If you're not an Afterpay customer already, you'll earn 500 Qantas Points for joining and adding your Qantas Frequent Flyer membership number to your Afterpay account.

After which, you'll earn 1 Qantas Point per $1 spent, up to a total of 5,000 Qantas Points.

If you're already an Afterpay user, you'll have to wait a little longer before you start accruing points. Once you've spent $1,000, you'll earn 1 Qantas Point per $1 spent. This is also up to a total of 5,000 Qantas Points.

Though, it is worth noting that the offer to existing Afterpay customers is limited to the first 50,000 members who link their membership number to their Afterpay account.

Foolish Takeaway.

I think this is a positive move by Afterpay and could pull in more new customers of an attractive demographic.

Though, given the limitations on the points you can accrue, it won't be sending you to Europe or even interstate on a Qantas plane any time soon.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

A man holding a cup of coffee puts his thumb up and smiles while at laptop.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

Ten happy friends leaping in the air outdoors.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a sour end to the trading week this Friday.

Read more »

A cool young man walking in a laneway holding a takeaway coffee in one hand and his phone in the other reacts with surprise as he reads the latest news on his mobile phone
Broker Notes

Guess which ASX stock could more than triple in value according to Morgans!

A 285% return could be on the cards here according to the broker.

Read more »

A happy youngster holds a giant bag of carrots at a supermarket fruit and vegie section, indicating savings made by buying in bulk.
Opinions

2 ASX shares I'd buy if the market fell another 10%

Pullbacks are great times to buy...

Read more »

A group of friends push their van up the road on an Australian road.
52-Week Lows

This ASX 200 stock just hit a multi-year low. Here's what's behind the slide

CAR Group shares hit a multi-year low as selling continues.

Read more »

A man sitting at his dining table looks at his laptop and ponders the share price.
Materials Shares

ASX lithium shares 'compelling' as top broker adjusts ratings

UBS predicts the global oil shock caused by the war in Iran will drive higher demand for electric vehicles.

Read more »

a woman wearing a sparkly strapless dress leans on a neat stack of six gold bars as she smiles and looks to the side as though she is very happy and protective of her stash. She also has gold fingernails and gold glitter pieces affixed to her cheeks.
IPOs

The newest ASX gold company makes a strong debut on the bourse, up more than 20%

Shareholders would have to be happy with this first day.

Read more »

A cool young man walking in a laneway holding a takeaway coffee in one hand and his phone in the other reacts with surprise as he reads the latest news on his mobile phone
Dividend Investing

8% yield: The ASX is getting a new dividend stock that pays out monthly

This soon-to-be stock has averaged an 8% yield since 2016...

Read more »