Qantas has announced it will purchase the remaining 49 percent of Byron Bay-born online travel business TripADeal, accelerating Qantas Loyalty’s exposure to the growing AUD 13 billion online holiday packages market.
The acquisition will enable the Group to deepen synergies by combining Qantas and Jetstar’s extensive network with the growing curated tour market. It will also create a more tailored and integrated experience for Qantas Frequent Flyers.
Qantas acquired a majority stake in TripADeal in 2022, enabling its Frequent Flyers to earn and use their Qantas Points on African safaris, Fiji beach holidays, European getaways, adventures to India, and other ready-made holiday packages.
The remaining 49 percent will be purchased for AUD 211 million, with the transaction expected to be completed by the end of June 2024. Through the full acquisition, Qantas expects combined cost and revenue synergies to build to at least AUD 50 million annually across the Group, over time.
Billions of Qantas Points have been earned and used since the Frequent Flyer integration, including a record 3.9 million points used by one member to book a 35-day round the world tour.
During July 2024, Qantas members will also receive a 30 percent discount on bookings made with points, representing some of the best value for points across the Frequent Flyer programme.
TripADeal’s success at curating on-trend and well-priced holidays, together with the reach of Qantas’ 15.8 million members, has seen sales and revenue growth exceed expectations. Bookings have surpassed AUD 450 million in the last twelve months, doubling pre-COVID levels.
TripADeal will continue to operate as an independent business, working with a range of travel partners and airlines, including Qantas and Jetstar, to build and deliver ready-made packages. TripADeal recently added cruises to its platform, expanding the itinerary options for travellers.
The purchase will see the founders of TripADeal, Norm Black and Richard Johnston, depart the business. Matt Wolfenden, who has been with the company for seven years, has been promoted to CEO and will lead the 150-strong team in Byron Bay and tour guides based in 30 countries.
TripADeal’s proven business model, strong demand for packaged holidays, and opportunities for further value creation under sole ownership across the airline businesses and Qantas Loyalty give the Qantas Group significant confidence that this investment will deliver a strong return for shareholders.
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