QANTAS: Mistake First Class fares honoured as Business Class

Oh dear, some data entry operator has just cost Qantas something like AU$2.4 million. The error was in the pricing of First Class airfares between Australia and North America which quoted a one-way First Class leg on Qantas at AU$2,191, instead of the usual AU$10,000 to AU$15,000. Three hundred people approximately took up the offer.

Qantas, although not honouring the First Class ticket is offering anyone who booked either a refund or a Business Class ticket for the mistake price they paid. Well done Qantas!

Mathamatics is not my strong point, but since a single leg in Business Class to the USA costs on sale around AU$6,000, I calculate that at a loss of close to AU$4,000 a sector times a return trip (x2) and then times the 300 passengers who took up the offer, that’s a loss of approximately AU$2.4 million for Qantas.

Mistake Fares

Known as ‘mistake fares’, these occur quite often in airline and other dynamic pricing examples. Most companies also have various safeguards to prevent such errors. I benefitted from such a mistake fare for accommodation in Bali in 2016. In short, Qantas essentially paid for half my holiday!

This mistake was picked up by the discount monitor website OzBargain.

According to the OzBargain post, these mistake first class fares were available for travel dates between September 2024 and June 2025 over the Christmas holiday period.

Because they are known to happen, most airlines have some protection against them located in the small print in their terms and conditions. In the case of Qantas, there is a clause that covers the case where there is:

“an error or mistake that is reasonably obvious in the fare price”

Qantas Terms and Conditions of Carriage

Then Qantas can cancel the ticket/booking, or provide a refund, or offer a new ticket at the ‘correct’ fare price.

It’s thought about 300 bookings were made in the eight-hours the ‘mistake fares’ were available. Qantas is offering Business Class tickets for the price already paid. Good one Qantas

“As a gesture of good will, we’re re-booking customers in business class at no additional cost. Customers also have the option of a full refund.”

Qantas Spokesman to News.com.au

2PAXfly Takeout

Again, well done Qantas. This is the right solution to a potential PR disaster. Qantas goes from bumbling mistake-prone tech head to hero in the space of one email.

If Qantas had not made this decision to ‘honour’ the First Class ‘mistake fares’ with business class tickets, the bad PR would have likely cost them more in bad publicity than the AU$2.4 million they have lost on fares. This way, they have gained some very loyal customers who will never forget the airline’s generosity.

And well done flightfinderau for discovering the mistake fare and sharing it.