Tempted to upgrade by using frequent flyer points? Here’s why it’s not worth it

Business class flights are one of the savviest ways to redeem frequent flyer points. But if you already have a ticket in economy, don’t be tempted by a points upgrade. Compared to booking business class from the start, the value of upgrading is particularly poor.

Yes, if that prized upgrade comes through, you’ll enjoy a more comfortable flight. But upgrading is a gamble. You’re often left twiddling your thumbs until close to departure. Even then, you’ll still be sweating and keeping your fingers crossed.

Worse still, the cheapest airfares – Qantas international “Economy Sale” and Virgin Australia “Economy Lite” – aren’t eligible for points upgrades. Paying more for the same economy seat, just for a chance to escape that seat? The airlines have already won.

Then there’s the upgrade itself, and how many points it’ll cost. Flying to Perth from Sydney, Melbourne or Brisbane on Virgin Australia? Upgrading your economy seat to business class costs 30,000 Velocity points … even if you’ve already paid $500 or more for a flexible economy ticket.

What if you booked that pointy-end flight from the start, rather than as an upgrade? It’s 35,500 Velocity points – marginally more than upgrading – but with only $52 to pay on the side, rather than a full-priced airfare. That’s hundreds of dollars in cold hard cash kept in your pocket.

Sometimes, the upgrade can cost more than the flight itself. Fly American Airlines business class from Brisbane to Dallas/Fort Worth, and you’ll part with 130,100 Qantas points. But paying for a ticket and upgrading can cost 151,100 points. That’s 21,000 points more to sit in the same seat, on the same flight.

Don’t make the mistake of booking economy using points and then chasing a points-based upgrade, as you’ll also be stung. For instance, a Sydney-Singapore flight costs 23,300 Qantas points in economy. If you then snag a business class upgrade, that’s another 70,600 points: 93,900 points in total. But booking business class from the start, without playing the upgrade game? It’s only 68,400 points.

Qantas Points Club members also miss out on valuable status credits when upgrading reward flights booked using points. On that Singapore route, a business class points booking delivers 48 status credits. Meanwhile, an economy reward flight – even one later upgraded to business class – earns only 22 status credits.

Upgrades haven’t always been such terrible value. The airlines have made them so by heightening the points required to escape economy. In turn, that’s narrowed the gap in points between upgrading and booking the seat you really want right from the start. Except, with a straight points booking, you’re not lumped into buying a full-priced flight first.

The airlines clearly know that upgrades are most popular among business travellers flying on the company dollar. Where corporate travel policies require booking economy class, points upgrades become the only workaround to sneak further forward, making them more valuable in a limited way.

But when you’re in charge of your own travel destiny, skip the upgrade lottery and put your points to good use by snagging business class from the start. After all, why leave your flatbed up to chance?