The loyalty battle in Australian retail and aviation has ramped up, with David Jones and Qantas launching a joint rewards program that lets shoppers earn either David Jones Rewards Points or Qantas Frequent Flyer Points with every purchase.

The move follows Myer’s announcement earlier this week of a similar tie-up with Virgin Australia’s Velocity program, allowing points to be redeemed directly in-store.

The David Jones-Qantas partnership is part of the retailer’s $250m Vision 2025+ transformation strategy and marks the 186-year-old company’s most significant loyalty shake-up in decades.

Customers shopping in-store or online can either choose three David Jones points or one Qantas point for every dollar spent.

The program is fully app-driven, giving members tiered benefits (bronze, silver, gold), birthday rewards, bonus point events, and the ability to “toggle” between earning DJs or Qantas points on each transaction.

(L-R) Qantas Loyalty CEO Andrew Glance, David Jones Brand Ambassador Megan Gale and David Jones CEO Scott Fyfe

In a first for department store loyalty, points can also be “stacked” with affiliated brand programs such as Country Road and Sportscraft, amplifying rewards from a single purchase.

David Jones CMO James Holloman said the overhaul is a shift from “an elevated email program” to a true “earn-and-burn engine”, designed to drive customer engagement and deliver richer data insights for the retailer’s growing retail media arm.

To support the launch, David Jones has rolled out a national campaign built entirely with AI-generated creative, spanning TV, cinema, radio and digital.

Qantas Loyalty CEO Andrew Glance said the deal reflects a deeper level of integration than typical retail tie-ups.

“One in two Qantas Frequent Flyers already shop at David Jones,” said Glance. “This partnership will unlock billions more points, whether members choose to redeem on flights, upgrades, hotels or retail.”

Both David Jones and Myer’s announcements signal a new phase in the battle for Australian shoppers.

With more than 17 million Qantas Frequent Flyers and 3.6 million David Jones members, the program is expected to rapidly scale.