That’s what I was wondering when Hilton made changes last year, upping their game!
As much as I wished it would, just to keep The Man honest, I doubt that it will. Marriott just has too many ways of hitting their financial targets, that any slippage of current customers are often replaced by new members and clients created by all of their new markets and relationships (United, Alibaba, Chase, AmEx etc) as well as disgruntled other chain customers. The current strength of the economy paired with Marriott's financial negotiations utilizing their clout (OTA and Travel Agent commission reductions), along with their development pipelines (most rooms in industry), tax reform, investments (made >$600 million in one sale), etc.etc. (all to their credit) IMO, enables them to smooth out any occasional customer drops with increasingly large margins. For example, US travel in NYC is off due to America's current attitude toward international citizens, yet Marriott continues with aggressive fees with no material impact to their bottom line.Hilton has introduced other attractive features before (like pooling of points, room selection) and it didn't create a blip on Marriott's momentum. Their new features like bonus points for those over 40 nights and elite status for others for those over 60, both Starwood leaning, creative additions are attractive, but I believe will only impact a minor (in overall number) segment, and is one which I've always thought Marriott will remain aggressive about retaining - the uber traveler. I continue to think Marriott is going to, similar to the airlines and Starwood, reward the heavy traveler (the Plat Premiers and the SPG 75 and 100s) with an extra layer of benefits (while carving around the edges of everyone else).If past is prologue, Hilton might gain, but most likely at the expense of others with smaller footprints, not Marriott. One can hope for the glory days of travel where competition led to aggressive customer service and benefits, but alas, I wouldn't bank on it. I tip my hat to Hilton for their creative approach and welcome all Marriott elites to give it a try. I'll eat the extra omelette in the Concierge Lounge in your honor .
In Erc versus The Man
sadly, the man is winning
Keep on keepin' on Insiders - we either hang together or for sure, we'll hang alone
I think the continual 10k points every 10 nights is a strong idea, we often see people stating that in the absence of any meaningful incentive after 75 nights theyll try elsewhere, this may cause the big dogs at Hilton to resist trying to scoop a few Marriott nights. And with Hilton's universal cash and points approach even millennials will see the kind of instant returns they so adore. All in all I reckon these are canny moves, it’s just such a pity that:
1. The points are worth so little; and
2. It’s Hilton, yuk!
I am curious as to what Hilton loyalists think of these moves. While perhaps perceived as a set of offensive moves to grab market share, I am of the opinion that these moves are defensive measures to guard against further customer base erosion when the Marriott/Starwood program launches. I’ve never gone looking for it, but what is the Hilton equivalent of Marriott Insiders? Is there such an animal? I’d like to hear what their guests think. Several of my colleagues at work have “crossed the aisle,” so I think I will ask around a bit in the coming weeks. I’ll come back and share - please let me know if there is a forum like ours for Hiltonites (aside from Flyer Talk).
I have both Hilton Honors Diamond status and Marriott Rewards Platinum status. Assuming there's a choice where I want to go I'll stay at whichever chain is offering the better deal.
The changes to the points earning rules probably make little difference to me. My current earning preference is points and miles so I've been getting 15 Hilton points and 1 air mile per dollar spent. After the changes I'll get 20 Hilton points and 0 air miles per dollar spent. The cost of converting Hilton points to air miles is 10,000 points for 1,500 miles, so, if I choose to do it, I'll be getting 13.33 Hilton points and 1 air mile per dollar spent. Provided I stay at least 40 nights (almost certain) that extra cost will be offset by the extra 10,000 points after 40 nights, and more than offset if I get to 50 nights (possible) or 60 nights (unlikely).
The ability to rollover excess nights to 2019 might make me favour Hilton over Marriott towards the end of the year. I'm hoping to get to Marriott Lifetime Platinum by the end of the year. It's marginal whether I'll manage that or not. If I get to a point where I clearly will get to it, or clearly won't, then I might decide to stay at Hilton's to get some rollover nights (and the 30,000 bonus points after 60 nights). I'd say rollover nights are of limited benefit though, because it's much easier for me to maintain status through 30 stays rather than 60 nights. I'd probably need to be rolling over at least 20 nights into 2019 to get to a point where 60 nights (including the rollover) was easier to get to than 30 stays (with no rollover).
idt - My situation is very close to yours. The biggest difference is that for airline mile points equivalent - American and others are 1500 miles per 10K points, but United is 1000 miles per 10K points, so the miles were worth much more in points equivalents for me preferring United over American, or a "loss" in point-equivalents of 119,333 assuming I meet my planned 200 paid nights at Hilton in 2018 (716 miles @ 50 weeks = 35,800 miles: AA = 238,667 points; United = 358,000 points).
Looking at the annual change for me using United miles: Old program point equivalent: 945,000; new program: 956,000, or a gain of 11,000 points under the new program (AA effect: old program: 825,667, new program: 956,000, or a gain of 130,333).
TAKE-AWAY: the new program "hurts" those who used to do the United airline miles unless one is an "Uber-stayer" in the 190+ night category (the break-even point between old/new programs; AA break even around 70+ nights), Hilton effectively made their stays worth less to the average loyalist.
I doubt that the Hilton stuff will have any impact at all on the Marriott combined program, at least at the start. I am sure that the design of the combined loyalty program is long cast in stone, after all how complicated could it be? come up with three or four elite categories. come up for some (stay or night) thresholds for achieving status, some thresholds for redemption and splitting up the goodies that come with each of elite categories.
And making sure the IT works!
Will Hilton's updated program affect Marriott's? NO, but Airbnb new loyalty program and oasis collections, now part of World of Hyatt loyalty program, will affect Hilton and Marriott.
Back in february, Airbnb announced it's rolling out a loyalty program by the end of 2018 and a hotel distribution partnership. Over 43,000 smaller independent and boutique hotels will soon begin using Airbnb as a distribution channel. Airbnb is slowly moving beyond shared homes to hotels.
Also in March, Hyatt added more than 2,000 homes via Oasis to its program. Now Hyatt is entering the home-sharing space.
I guarantee you, this is the future of travel where "Alternative accommodations are no longer seen as an alternative"
I have been a Hilton Diamond for years. Now I am by credit card, not stays. Hilton for me is now a backup of a backup loyalty program (Marriott first, Hyatt second). The problem with Hilton is not the billon points that they require...they are very easy to get. The problem, at least for me, is the lack of garanteed late checkout and some kind of suite upgrades. I usually get upgraded to suites at Conrad’s and Waldorfs...but below that forget it. And I need to fight to get a lake checkout and never got one after 2pm. So if HILTON want to get some Marriott customers they need to provide better benefits.
Maybe starguy is right and home sharing is the future of travel. But it provide a different service. Most places lack 24hs customer service and amenities...so I works for most people but not to everybody. I believe that most of the people staying at Airbnb is because it Is less expensive that an hotel. Maybe in the future taxation, laws and other thing change and renting your home is not as good business as driving your car for uber now if you enter in consideration your time, gas, car depreciation, business insurance, etc. Never used Airbnb anyways...will use it in Rusia next June for the World Cup in some not too pretty places...hope to survive
Will it "affect" it? Yes, I think it will. Marriott will definitely lose some customers here and there.
Will it affect it in any major (or possibly) noticeable way? Absolutely NOT!
Why? Several reasons - many already mentioned
(everything before this statement I wrote prior to today, and fortunately, insiders 'recovered' it...haha) Especially not now, new program saved the SPG transfer partners and upped the points earning for SPGers...Hilton may may need to re-up its game!
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