Optus, Qantas end Frequent Flyer deal

Optus will no longer offer its customers the ability to earn Frequent Flyer points when paying bills after the telco and Qantas decided to end an almost four-year partnership.

Optus consumer and small to medium business customers have been able to earn the points since 2011. Customers could earn two points per dollar through Optus' rewards scheme.

Eligible services included landline, mobile and broadband services as well as a number of add-ons such as online backup service Smart Safe, which shut down late last year.

However, the airline and the telco today announced the partnership would not be renewed when it expires at the end of June.

“As we evolve our customer loyalty program, we’ve made a decision to change some aspects of our current offering," Optus marketing and product executive Vicki Brady said in a statement.

"We know that our customers value different things, so we’re working on the best way to bring our rewards to life in a way that makes sense for them."

Optus declined to comment on its future loyalty plans.

Qantas is now understood to be in discussions with Telstra about establishing another Frequent Flyer partnership.

Telstra has been contacted for comment. Qantas declined to comment on any potential partnerships.

Qantas loyalty boss Lesley Grant said the airline was aware that customers are eager to earn points through their telco.

"While we have an extremely low turnover rate of partners, it’s to be expected that from time to time there will be partners that move in and out of the program," she said in a statement.