The long-running rivalry between Australia’s retail giants Myer and David Jones has entered a new phase — and this time, it’s all about loyalty.

At the centre of the latest clash are two familiar names from the aviation world. Myer’s new CEO Olivia Wirth, the former head of Qantas Loyalty, is going head-to-head with David Jones, which has now linked its own rewards program to Qantas Frequent Flyer.

According to The Australian, David Jones CEO Scott Fyfe believes the department store’s newly launched loyalty scheme and smartphone app could eventually attract five million members, surpassing Myer’s existing program.

Fyfe says the 186-year-old retailer — now owned by private equity group Anchorage Capital Partners — is in the midst of a strong comeback, with sales and profits trending upward despite the growing threat of retail crime, particularly in Victoria.

Former Qantas executive Olivia Wirth was appointed Myer executive chairwoman last month

Former Qantas executive Olivia Wirth is now squareing off with David Jones in the loyalty market. 

He also urged governments to take stronger action against what he described as a “retail crime wave” sweeping the country.

One retailer in Victoria claimed this week We’re seeing repeat offenders, including teen gangs, being arrested and released almost immediately, even after assaults on retail staff,” .

” big problem appears to be the  cash strapped Victorian Government who appearing to be quite happy with the lax laws that have seen teen gangs arrested and released immediately even when individuals have been charged with assault offences against retail staff”

To combat theft and protect employees, David Jones has increased its investment in in-store security, including body cameras for staff, and expanded mental health support for team members dealing with violent incidents.

While David Jones was slower to roll out its new loyalty program than Myer, the company is now investing hundreds of millions of dollars to accelerate the platform’s growth.

Earlier this year, Fyfe joined Qantas CEO Vanessa Hudson and Qantas Loyalty chief Andrew Glance at a high-profile fashion event to celebrate the new partnership between David Jones and Qantas Frequent Flyer — a program once overseen by Wirth herself.

“We’re really happy with how it’s launched,” Fyfe said. “Nearly 98 per cent of our staff have been trained to sign up customers, and they’ve done an amazing job.”

Since the launch of the David Jones app last year, it has been downloaded more than 300,000 times, with a 50 per cent increase in customers scanning their loyalty cards in-store. Fyfe says this early momentum is a sign of bigger things to come.

“Our goal is to have five million members using the app — each with their own barcode and digital ID,” he said. “The progress we’ve made so far is really encouraging.”