What’s The Real Problem With Hilton HHonors’ Coming Devaluation?

Loyalty Traveler takes on the excuses and explains the concern over Hilton HHonors coming devaluation.

In creating a new higher redemption category 7, Hilton is expected to push most hotels up a category making most hotels cost more points in 2010 than they did in 2009. And Loyalty Traveler notes

the Hilton chain is allocating a much larger proportion of their hotels to the upper tier categories relative to the other four hotel chains’ loyalty programs.

He goes on to explain,

The primary objection to the Hilton HHonors changes, in my opinion, is not the addition of a new higher category 7 to the Hilton HHonors reward table. The hint from HHonors representatives that the changes will result in a large scale shift of hotels upward within the new categories is the truly objectionable aspect of the changes if they turn out to be true.

The distribution of hotels within the hotel categories is the primary concern around the proposed restructuring of HHonors category changes.

I still consider it egregious that they’re raising points requirements at a time when occupancy and room rates have seen such significant decline.

About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community InsideFlyer.com, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

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Comments

  1. The Hilton HHonor point is the peso of hotel points. I always seem to have a ton of them in my account, but it also takes a ton more than other programs to redeem.

  2. Gary-
    You’ve linked to the wrong analysis in my opinion. Joe Brancatelli grilled Diskin and has specific numbers of hotels that are switching up and down in the categories, which is at least as important as looking at the number of levels. He also gets Diskin to admit that the devaluation in, indeed, 20 percent on average. One bit of good news brancatelli reports: Hilton will be back in the systemwide promotion game and they have abandoned the targeted stuff. It’s at JoeSentMe.com

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