Hotel Reward Programs: Hilton's HHonors

This post is the third in a series that will provide an analysis of the various hotel reward programs. The analysis of the reward programs will include information on the participating hotel chains, ease of earning points, point redemption options and costs, program tiers, and, finally, an overall evaluation of the program. As more programs are reviewed a side-by-side comparison of the programs will be provided along with the program's Martini score, our unique valuation for reward programs that will allow you to effective compare programs.

Hotels

The Hilton hotel chain is comprised of 3,300 hotels in 77 countries worldwide. The Hilton brands: Hilton® (over 500 properties), Conrad® (18), Doubletree® (180), Embassy Suites® (~200), Hampton Inn® and Hampton Inn & Suites® (1400+), Hilton Garden Inn® (350), Hilton Grand Vacations Club® (34), Homewood Suites by Hilton® (275), and Waldorf Astoria Collection® (5).

Hilton® hotels and resorts have set hospitality standards worldwide by hosting dignitaries, celebrities and everyday travelers in style for more than 80 years. From the lavish The Waldorf Astoria® to the exotic Caribe Hilton, there's a Hilton that's perfect for you.

With award-winning luxury hotels strategically located in capital cities and exotic resorts around the world, Conrad® Hotels offer outstanding service for both business and leisure travelers. Enjoy the finest accommodations, excellent restaurants, fully equipped health clubs and sophisticated conference and meeting facilities.

With a growing collection of contemporary, upscale accommodations in more than 150 locations throughout the U.S., Canada and Latin America, Doubletree has reinvigorated today's hotel experience by providing today's business and leisure travelers with more of the true comforts they enjoy at home.

Whether you're traveling for business, a family vacation, or just to get away for a few days, our spacious two-room suites and lobby atriums offer you plenty of room to stretch out and relax. Wake up to our complimentary full cooked-to-order breakfast and wind down with our nightly Manager's Reception featuring your favorite beverages.

With almost 1,300 locations throughout the U.S., Canada, Mexico and Latin America, Hampton® hotels offer guests guaranteed high-quality accommodations, friendly service, and clean and comfortable surroundings for a great value. Plus, guests will enjoy complimentary high-speed Internet access in-room and wireless in all public areas, our On the House® hot breakfast, On the Run Breakfast Bags™, local calls at no charge and lots more.

At Hilton Garden Inn® hotels, you'll find everything you need to be self-sufficient on the road. Each guest room offers a hospitality center with a refrigerator, microwave and coffee maker, plus complimentary high-speed Internet access, two telephones with voicemail and dataport and secure remote printing to the 24-hour complimentary business center.

Spacious, condominium-style accommodations are complete with fully equipped kitchens, separate living and dining areas, and feature studio, one-, two- and three-bedroom configurations. Designed as vacation ownership resorts, each Club offers extensive amenities which set the stage for grand vacations and great getaways. Stay for leisure or business travel...or join our exclusive membership Club and own your accommodations for a lifetime.

Homewood Suites by Hilton® allows you to feel closer to home whether you're traveling for a few nights or longer. Every spacious studio, one- and/or two-bedroom suite features enough space for work, relaxation or entertaining, plus all the comforts of home, including a fully equipped kitchen, a remote controlled television, two telephones with voice-mail and complimentary high-speed Internet access at all U.S. locations. You'll also enjoy a daily complimentary Suite Start™ hot breakfast and a Welcome Home® reception with a light meal and beverages every Monday-Thursday (subject to state and local laws). All for less than you might think.

The Waldorf Astoria Collection® offers all the amenities and services that guests should expect at some of the most extraordinary properties in the world. Located in desirable travel destinations, each hotel has its own individual character, timeless architecture and special history. Hotels and resorts in the collection include the legendary Waldorf Astoria® in New York City, Arizona Biltmore Resort & Spa in Phoenix, Grand Wailea Resort Hotel & Spa in Maui, La Quinta Resort & Club in La Quinta, California and Qasr Al Sharq in Jeddah, Saudi Arabia.

The Program

Hilton's HHonors program is unique in that it offers customizable earning options and numerous opportunities to pile on the points. The key difference between this program and other hotel reward programs is that you are able to earn both points and airline miles, Double Dipping®, for each stay.

The program has four levels of membership: Blue, Silver, Gold, and Diamond. Key facts about each membership level:

• Blue - Basic level of service.
• Silver - Earned after 4 stays or 10 nights. Silver earns a 15% point bonus.
• Gold - Earned after 16 stays, 36 nights, or 60,000 base points. Gold earns a 25% point bonus, an option to collect 1,000 points per stay, and complimentary high-speed internet access.
• Diamond - Earned after 28 stays, 60 nights, or 100,000 base points. Diamond earns a 50% point bonus, an option to collect 1,000 points per stay, a space available room upgrade, breakfast, and complimentary high-speed internet access.

The membership program is based on a calendar year.

Earning Points

With Hilton HHonors, you can earn both hotel points and airline miles for the same eligible stay at 3,300 Hilton Family hotels worldwide. Choose your personal Double Dip® Earnings Style from three rewarding options:

• HHonors Points and Variable Miles - Earn 10 HHonors Base points + 1 airline mile per eligible U.S. dollar spent
• HHonors Points and Fixed Miles - Earn 10 HHonors Base points per eligible U.S. dollar spent + 500 miles per stay (100 miles per stay at Hampton Inn, Hampton Inn & Suites, and Homewood Suites by Hilton.)
• HHonors Points and HHonors Points - Earn 10 HHonors Base points + 5 bonus points per eligible U.S. dollar spent

In addition to earning points for hotel stays, points can be earned with rental cars. Rentals at Alamo, Avis, Budget, Europcar, National, and Thrifty earn 250 HHonors points. Some of these offers are require a hotel stay at the time of the rental so check Hilton's site for restrictions. Sixt Car Rental offers 500 points per rental and is not dependent on a Hilton stay.

While earning points is reason enough to rent with these companies, there are also discounts and upgrades available to HHonors members.

• Avis - Avis provides a 25% discount for your rental. Enter Avis Worldwide Discount (AWD) number K851000.
• Budget - Budget offers HHonors members up to 20% off each time you rent. Simply provide your Budget Customer Discount (BCD) number U106100 when making your reservation.
• Europcar - All Hilton HHonors members benefit from special rates throughout the year when renting with Europcar, including a 5% discount for Blue members and a 10% discount for all VIP members. Plus, HHonors Diamond VIP members are entitled to an upgrade free of charge when using preferential rates! Quote the appropriate promotion code at reservation time: Blue - 42194435; Silver and Gold - 42194481; Diamond VIP - 42194502.
• Sixt - All Hilton HHonors members benefit from special rates throughout the year when renting with Sixt rent a car. HHonors Diamond VIP members are entitled to an upgrade free of charge! Quote the appropriate promotion code at reservation time:
  Blue - 9903807797558; Silver and Gold - 9903808797579; Diamond - 9903809798951

HHonors points can also be earned with Visa and American Express credit cards as stated in posts earlier this month. A substantial amount of points can be earned with these cards so do not miss out on this opportunity.

There are other earning options that are not nearly as significant as hotel stays, car rentals, and credit card usage. Future posts will provide additional details on these opportunities.

Redeeming Points

Hilton offers many ways to redeeming your points from hotels to cruises to Disney vacations. Redeeming points for hotels stays are the most efficient use of your points. Redemption levels for hotels:

You can stretch your points for great reward savings at participating Point Stretcher hotels worldwide. Point Stretcher hotel rewards let you stay for 40% fewer points than the amount of points required for Standard Hotel Rewards at participating Point Stretcher hotels worldwide. The only problem with the Point Stetcher program is that there only a select number hotels taking part in the program. Since the majority of hotels are not participating you can expect to pay full (point) price a majority of the time.

Points can be redeemed for airline miles in the following intervals:

• Aeromexico: 25,000 HHonors points-> 6,500 kms
• Air New Zealand: 10,000 -> 20 Airpoints Dollars
• LAN*: 25,000 -> 6,500 kms
• Southwest: 10,000 -> 1.0 credit
• US Airways: 10,000 -> 850 miles
• American Airlines, Gulf Air, Hawaiian Airlines®, Mexicana Airlines, Midwest Airlines, Qantas Airways, South African Airways, and Virgin Atlantic Airways: 10,000 -> 1,500
• Conversion rates for all other partners: 10,000 -> 1,000

Cars can be rented with Hilton's U.S. car rental partners from 14,000 to 18,000 HHonors points per weekday. Week-long rentals will require 70,000 to 75,000 depending on the rental car company.

More luxurious options for redeeming points can be found on Hilton's website. Some of these options include the use of points to purchase unique experiences such as tours of New York or Beijing, motorcycle rentals, ski passes, Caribbean destination packages, gift certificates for cruises, and Disneyland and Walt Disney World. Future posts will discuss each of these options in more detail.

The Bottom Line

Although I have stayed at Hilton hotels in the past I have not included Hilton in my normal hotel rotation. That may change after taking some time to analyze the HHonors rewards program. The hotel chain has a wide range of hotels and the hotels are present in many cities in the U.S. and around the world. The costs for redemption seems high but the rate of earning is high as well. My interest has definitely been piqued by the numerous redemption options available. As I delve further into these redemption options and the HHonors program I will let you know if they are worth the pursuit. As it is, Hilton should be a consideration for your hotel dollars.

Hotel Reward Programs: Hyatt Gold Passport (HGP)

This post is the second in a series that will provide an analysis of the various hotel reward programs. The analysis of the reward programs will include information on the participating hotel chains, ease of earning points, point redemption options and costs, program tiers, and, finally, an overall evaluation of the program. As more programs are reviewed a side-by-side comparison of the programs will be provided along with the program's Martini score, our unique valuation for reward programs that will allow you to effective compare programs.

Hotels

Global Hyatt subsidiaries own, operate, manage or franchise more than 370 hotels and resorts worldwide under the Hyatt®, Hyatt Regency®, Hyatt Resorts™, Grand Hyatt®, Park Hyatt®, Hyatt Place®, Hyatt Summerfield Suites® and Andaz™ brands with additional properties under development on five continents. A brief overview of the brands, in order from most luxurious and expensive to least:

• Park Hyatt Hotels - Smaller, luxury hotels designed to cater to discerning travelers.
• Andaz - Our newest brand focused on indulging guests with simple luxuries and unexpected details.
• Grand Hyatt Hotels - Grand in every sense, these hotels feature luxurious accommodations, dramatic architecture and state-of-the-art technology.
• Hyatt Regency Hotels - Our best-known hotels feature stylish, contemporary design, abundant meeting facilities and extraordinary restaurants.
• Hyatt Resorts - Local culture inspires unique experiences rarely found in travel guides at Hyatt Resorts. Experience distinctive architecture, localized spa experiences and gourmet regional cuisine with your stay.
• Hyatt Place - A new kind of hotel that puts style, innovation and The Hyatt Touch® within your reach.
• Hyatt Summerfield Suites - Upscale, residential style all-suite hotels with full kitchens that are more comfortable, more stylish, and more like home.
• Hyatt Vacation Club - Own a vacation of a lifetime from the most trusted name in vacation clubs

The Program

Hyatt Gold Passport is a three-tiered program that is known for its generousity in awarding point and free nights. The program is divided into three tiers (see membership levels below) with Diamond being the highest.

Achieving Platinum status is the key to increased points and it only takes 5 stays to make Platinum. The 15% and 30% point bonuses for Platinum and Diamond, respectively, is a relatively small increase in award points but the special rewards that occur after every third stay, complimentary internet access, and other perks make the Platinum and Diamond statuses appealing. Diamond members also enjoy the following amenities each stay:

Exclusive access to the Regency Club™ or Grand Club™ lounge featuring complimentary continental breakfast and evening hors d’oeuvres.

Daily complimentary full breakfast in hotels without a club lounge

Suite upgrade at time of reservation four times annually on paid room nights

Special welcome point bonus or food and beverage amenity during each stay (500 to 1,000 points award based on propery type).

Earning Points

Hyatt Gold Passport members earn five points for every eligible dollar spent at Hyatt properties. In addition, Platinum members earn a 15% point bonus while Diamond members receive a 30% point bonus. For example, a $100 night would earn 500, 575, and 650 points for Gold, Platinum, and Diamond status levels respectively. These points represent the standard points awarded for your stay.

In addition to the standard points awarded for each stay, there are several other options for earning points: Welcome amenity points, known in the frequent flyer community as "G" codes, promotional points, points earned with car rental partners, and points earned through Platinum and Diamond statuses.

Platinum and Diamond members earn special rewards, Platinum Extra Awards, after every third stay. The amount of the award increases with every sixth stay. Here is a breakdown of the awards:

Stay 03: 1,000 HGP Points

Stay 06: 1,000 HGP Points

Stay 09: 1,500 HGP Points OR 500 travel partner miles

Stay 12: 1,500 HGP Points OR 500 travel partner miles

Stay 15: 2,000 HGP Points, 1,000 travel partner miles, Regency Club upgrade, OR $10 Starbucks gift card

Stay 18: 2,000 HGP Points, 1,000 travel partner miles, Regency Club upgrade, OR $10 Starbucks gift card

Stay 21: 2,500 HGP Points, 1,500 travel partner miles, OR Regency Club upgrade

Stay 24: 2,500 HGP Points, 1,500 travel partner miles, OR Regency Club upgrade

These awards are a nice supplement to the standard and promotional points that can be earned. Even better is the 1,000 points that are available for Diamond members for each stay.

For each stay, there is also an option to earn airline miles directly. Five hundred miles are awarded per stay instead of the standard points per night. If airline miles are more important to you than the HGP points, then consider this option just as long as the miles awarded per stay is less than the 2.5 HGP point to 1 airline mile ratio.

Earning Hyatt Gold Passport Points with Avis and Sixt

HGP points can also be earned by renting cars at Avis and Sixt. Earn 300 bonus points for each qualifying rental at participating Avis or Sixt locations. A Hyatt stay is not required, simply request Hyatt Gold Passport points at the rental counter.

As a Gold Passport member, you can save up to 20% on car rentals worldwide with Avis. Visit Avis.com and provide the Hyatt Gold Passport/Avis Worldwide Discount number K817700 when making your reservation.

At Sixt, Hyatt Gold Passport Gold members receive a 15% discount, Platinum members receive a 25% discount, and Diamond members receive a 35% discount. Discount is valid on all eligible rental rates. Internet rates are not eligible. Call +49 (0) 1805 25 25 25 to book your rental. To receive your discount, be sure to show your Hyatt Gold Passport membership card when you pick up your vehicle. For more information on Sixt car rentals, visit Sixt rent a car.

Redeeming Points

As with most reward programs, hotel reward points can be redeemed for free hotel nights and airline miles. In addition, the HGP program allows points to be redeemed for car rentals. For only 6,000 points per day, an intermediate car can be rented free of charge from Avis® and Sixt Rent-A-Car®.

The most likely and common redemption for hotel reward points are free hotel nights. Hyatt hotels are divided into five categories as illustrated by the chart below. The points required for free hotel nights may seem high compared to competing hotel chains but upon closer inspection of the program, the amount of points that can be earned per stay actually puts the program on par with the competitors.

Hyatt Gold Passport points can also be converted into airline miles. Hyatt has partnerships with many of the leading airlines with a basic redemption rate of 2.5 HGP points to 1 airline mile. Redeeming 5,000 HGP points will result in 2,000 airline miles except with the following airlines:

• Aeromexico/LanChile ------------- 4,000 km
• China Eastern Airlines ---------- 3,200 miles
• Mexicana ------------------------ 2,500 miles
• Qantas -------------------------- 2,400 Points
• Southwest Airlines -------------- 2 Credits
• Virgin Atlantic Airways --------- 3,000 miles

A minimum of 5,000 Hyatt Gold Passport points is required for each conversion request. Additional point conversions can be made in 1,250 point increments. Converting 50,000 points initiates a 5,000 point bonus which results in a total of 25,000 airline miles. Allow up to 4-10 weeks for the miles to appear on your airline frequent flyer account.

The Bottom Line

The Hyatt Gold Passport program is a great program highlighted by the nearly annual Faster Free Nights promotion. That promotion alone makes this program one of the best in the industry. The recent changes to the program should enhance its appeal and make it one you should consider adding to your hotel rotation.

Hotel Reward Programs: Starwood Preferred Guest (SPG)

This post is the first in a series that will provide an analysis of the various hotel reward programs. The analysis of the reward programs will include information on the participating hotel chains, ease of earning points, point redemption options and costs, program tiers, and, finally, an overall evaluation of the program. As more programs are reviewed a side-by-side comparison of the programs will be provided along with the program's Martini score, our unique valuation for reward programs that will allow you to effective compare programs.

Hotels

Starwood Hotel & Resorts is comprised of over 960 hotels located around the world across nine brands: St. Regis, The Luxury Collection, W, Westin, Le Meridian, Sheraton, Four Points, Aloft, and Element. A brief overview of the brands, in order from most luxurious and expensive to least:

• St. Regis® - Luxury full-service hotels, resorts and residences located in the ultimate locations within the world’s most desired destinations.
• The Luxury Collection® - Luxury full-service hotels and resorts. Unique hotels and resorts offering exceptional service to an elite clientele that include legendary palaces and remote retreats to timeless modern classics. These hotels are distinguished by magnificent decor, spectacular settings and impeccable service.
• W® - Luxury and upscale full service hotels, retreats and residences featuring world class design, world class restaurants and “on trend” bars and lounges.
• Westin® - Luxury and upscale full-service hotels, resorts and residences is a lifestyle brand competing in the upper upscale sector in nearly 30 countries around the globe. The hotels are characterized by service and offering among the highest for the everyday business traveler with their famous Heavenly Bed® and Heavenly Bath®, in-room spa treatments, WestinWORKOUT® Powered by Reebok (SM), and healthy menu options.
• Le Méridien® - Luxury and upscale full-service hotels, resorts and residences. A European-inspired brand with a French accent that has a distinctive character driven by its individuality and the Le Méridien brand values. With its underlying passion for food, art and style and its classic yet stylish design, Le Méridien offers a unique experience at some of the world's top travel destinations.
• Sheraton® - Luxury and upscale full-service hotels, resorts and residences is Starwood's largest brand serving the needs of luxury and upscale business and leisure travelers worldwide. Hotels vary from full-service hotels in major cities to luxurious resorts by the water. Sheraton hotels can be found in the most sought-after cities and resort destinations around the world.
• Four Points® - Select-service hotels for the self-sufficient traveler.
• Aloft - Select-service hotels that are a new addition to the Starwood brand that bring a cozy harmony of modern elements to the classic American on-the-road tradition for the business and leisure traveler.
• Element - An extended stay hotels that is also a new addition Starwood brand. The hotels provides a modern, upscale and intuitively designed hotel with an emphasis on nature.

Starwood's 2008 Annual Report provides the following breakdown across property types and locations:

The Program

Starwood Preferred Guest (SPG) is the reward program for Starwood brand hotels. The program is recognized as an industry leader having earned numerous Freddies, awards given to the best frequent flyer and hotel bonus programs as rated by frequent flyers, and providing exceptional value to participants. The program is free but be aware that the points will expire if there is no activity on the account for 12 months.

Earning Points

Members at the Preferred Guest® level earn two Starpoints for every eligible U.S. dollar spent at participating hotels or resorts. Gold and platinum members earn three Starpoints for every dollar spent. Per stay, platinum members are awarded a platinum amenity that can include a free on-demand movie, food, or, for the point consensus, 500 additional points. A $100 night at a Starwood property would translate to 200 points, 300 points, and 800 points at preferred, Gold, and Platinum levels, respectively, assuming points are selected as the platinum amenity.

Points can also be earned with the SPG American Express credit card and through partnerships with a few retailers and rental car companies. The SPG American Express card is currently offering a 25,000 point bonus for new cardholders so take advantage of this offer if you are able.

Redeeming Points

The SPG program provides several options for you to redeem points. Free and discounted hotel nights, of course, are a redemption option but Starwood also allows points to be redeemed for airline miles, gift certificates, train travel, and unique experiences such as movie premieres and concerts through SPG Moments program.

Hotels are divided into seven categories ranging from one to seven with seven being the highest level of hotels.

Category 1 - 3,000 Starwood Points
Category 2 - 4,000 Starwood Points
Category 3 - 7,000 Starwood Points
Category 4 - 10,000 Starwood Points
Category 5 - 12,000 to 16,000 Starwood Points
Category 6 - 20,000 to 25,000 Starwood Points
Category 7 - 30,000 to 35,000 Starwood Points

In addition to being able to redeem points for free nights outright, there are options to reduce the cost of hotel stay by using a combination of points and cash, upgrading your room, or reducing the costs of the room by 50%. The best value in most instances is to use your points for free hotel nights especially those in the lower category levels. There are some decent hotel options in the lower levels including a Sheraton in Salt Lake City and a Sheraton near the Baltimore Washington International (BWI) airport.

Points can be redeemed for airline miles on a 1 point to 1 miles basis with most airlines. If 20,000 points are redeemed then a bonus of 5,000 miles are awarded. You can also redeem points for a flight directly from the SPG program. You may pay a premium for the ability to purchase a flight directly with points but the flights are not subject to blackout or restrictions.

Keep an eye on our site for announcements regarding special redemption periods where points can be converted to airline miles for additional bonuses. During the fall of 2008, 20,000 SPG points could be redeemed for 62,500 miles. These opportunities are few and far between but they do occur.

Finally, points can be redeemed for gift certificates. Not the best use of hotel points but the gift certificates do allow you to use points for something besides hotels or airline miles. Gift certificates are available from such retailers as Amazon, GAP, Nordstroms, Westin at Home, Williams-Sonoma, Avis, and iTunes. Flush with free reward nights and ample airmiles, I have converted points to Amazon gift certificates to purchase camera equipment. The best conversion rate for points is 14,000 points for a $150 gift certificate.

The Bottom Line

The hotel reward programs are great for hotels and travelers as loyalty to programs, and the hotel chains that offer them, can increase if the program's value is perceived to be high. Starwood's SPG program is no exception. The various options for redeeming miles and the value of the miles when redeeming is a strength of the SPG program. Especially nice are the hotel options in the lower category hotels that allow you to stretch your points further while still providing a relaxing, enjoyable night stay.