HHonors to increase point redemption; add new Category 7 hotels

JonathanIT · Oct 20, 2009

It has recently been revealed that HHonors is going to increase the amount of points required for award stays, including VIP rewards in January, 2010. In addition, the big change coming is a new Category 7 class of top tier hotels. The Waldorf=Astoria brand of point redemption will remain, but at increased levels.

It hasn't been officially announced yet so all the details are not known. The big question is if they will reshuffle all the hotels into new categories, or they will simply move a few top tier properties from 6 to the new Category 7 level. Properties like the Conrad Maldives and the new Hilton Bora Bora Nui in Tahiti come to mind.

Here is a point chart for the VIP rewards under the new system:

VIP Rewards 2010

If the current level of Category 6 remains mostly intact, it means just a 5K point increase for a six night stay (from 175K to 180K). This is reasonable to me, as it seems to have been quite a few years since the current levels have been the same. I like that there is a new option for fewer than 6 nights, this used to be only available to Amex card holders.

But the final verdict will come when all the details are released. As I already mentioned... it will all depend on what they define as the new Category 7 properites.

alwysonvac · Oct 20, 2009

Thanks for the update.

Here's the link to the flyertalk discussion - http://www.flyertalk.com/forum/hilt...redemption-january-2010-new-category-7-a.html

Current HHonors Member Strategy for Hotel Reward Increases
In the past, when hotel reward levels were going to increase, HHonors members would request a HHonors reward certificates (without a hotel reservation). This allowed them to make hotel reservations using the current reward level for an extra year. Currently, the HHonors reward certificate is good for one year so if you cancel your hotel reservation you can either reuse it again for a different hotel reservation before the reward certificate expires or redeposit the points back into your HHonors account before the reward certificate expires.
NOTE: More details regarding the reward certificate can be found here - http://www.tugbbs.com/forums/showthread.php?t=66237&highlight=certificate

However there is a new potential rule regarding the existing reward rates. If this is true, then once the new rates becomes effective HHonors member will not be allow to use the old reward rate via the reward certificate

From flyertalk thread (post #87).
"Only Hilton HHonors® lets you earn Points & Miles® for the same stay and enjoy hotel rewards with No Blackout Dates. And that’s not changing. However, for the first time in six years, we do have an update to point redemption amounts and hotel categories beginning January 15, 2010. You can still make hotel reward reservations at the current levels if booked by January 14, 2010*

* If a change is made to your reservation after January 14, 2010, the new point redemption rates will apply. "

sjuhawk_jd · Oct 20, 2009

Hilton official announcment

Here is the official Hilton Announcement as posted on Flyertalk (by the Hilton representative):
http://www.flyertalk.com/forum/hilt...-hotel-category-point-redemption-changes.html

As our most active members, we wanted to let you the Flyertalk community, know before the official correspondence was released that we are updating the point redemption amounts and hotel categories. This change will take effect January 15, 2010.

You can still make hotel reward reservations at the current levels through January 14, 2010, provided your stay is completed by January 14, 2011.

Click on the link below for the new point redemption levels.
http://hhonors1.hilton.com/en_US/hh/...eward/index.do

Click on the link below for FAQs regarding this change.
http://hhonors1.hilton.com/en_US/hh/...rdFAQ/index.do

Thank you for your continued patronage.

"Yes, we will publish the list of hotels with new categories late December of this year or early January 2010" (subsequent follow up answer from Andrea)

Andrea (HHonors Representative)

itradehilton · Oct 20, 2009

Sounds like what they did about 5 years ago.

chester1122 · Oct 21, 2009

HGVC point conversion

Do you think the increase in points will result in a change to the HGVC point conversion to HH?

DEROS · Oct 21, 2009

Interesting.... The chart would suggest that you must reserve a min. of 4 nights. I guess there are no more weekend getaways.

Also, the more nights you stay, the less points per night it cost.

My question is, will HGVC and Hilton HHonors change the conversion rate. Also, what will it cost for a Cat 7, HGVC points. Currently Cat6 is 2000 HGVC points.

Deros

Talent312 · Oct 21, 2009

DEROS said:
Interesting.... The chart would suggest that you must reserve a min. of 4 nights.

I don't see that on the HHonors chart...
Perhaps you're looking at somerthing else?

PigsDad · Oct 21, 2009

DEROS said:
Interesting.... The chart would suggest that you must reserve a min. of 4 nights. I guess there are no more weekend getaways.

For the VIP awards, the minimum nights was always 4 (with the AXON codes). You can always make a nightly points reservation, but you will not get the savings that you do w/ the VIP awards.

Kurt

Sandy VDH · Oct 21, 2009

Does anyone know what the dates are for high vs low season for W-A collection. I looked but could not find anything.

Talent312 · Oct 21, 2009

Sandy Lovell said:
Does anyone know what the dates are for high vs low season for W-A collection. I looked but could not find anything.

I'd hazard to guess that it depends on the location of the W/A, those in Southern climes having a different high-season than those up North. You may have to check on the webpages of each W/A hotel to get their notion.

jestme · Oct 22, 2009

I just received the official email. ALL hotels move up a category, and the categories are all more points. Category 6 hotels will now become Category 7, and move from 40,000 points per night to 50,000 points per night. That's a 25% increase!! Considering the point costs are still identical to Hilton, ($1 in Hilton revenue still gets you 10 points, plus silver or gold bonuses), this is a big decrease in point value.

Socko33 · Oct 22, 2009

Email?

I haven't received one...don't know why not...

Is there a way for you to post it?

PigsDad · Oct 22, 2009

jestme said:
Considering the point costs are still identical to Hilton, ($1 in Hilton revenue still gets you 1 point, plus silver or gold bonuses), this is a big decrease in point value.

It is a decrease in value for our points, but it makes good business and logical sense. Any point system that is based on dollars spent will need to "devalue" to keep up with inflation. Here is a simple example:

Assumptions: Customer gets 1 point for every dollar they spend for hotel rooms.

Year 1: Rooms are $10/night. You can get a free night for 100 points. That means after 10 paid nights, you get 1 night free.

Year 10: Rooms are now $25/night. If the point system didn't change, you would get a free room after only 4 paid nights. To keep things equal, the hotel should have increased the points needed for a free room to 250 points.

So as you see, raising the number of points needed for a free room will always increase, as long as there inflation in room rates. Since points are always being devalued, the best plan is to use your points and don't bank them for long periods of time. They only devalue over time.

Kurt

jestme · Oct 22, 2009

PigsDad said:
So as you see, raising the number of points needed for a free room will always increase, as long as there inflation in room rates. Since points are always being devalued, the best plan is to use your points and don't bank them for long periods of time. They only devalue over time.

Kurt

I understand that logic. The problem is that they don't recognize that I bought a number of my current points at the $10 level by doing it that way. My preference would be that they give out less points going forward, rather than penalize and devalue all my loyalty and points from the past.

Blues · Oct 22, 2009

Socko33 said:
I haven't received one...don't know why not...

Is there a way for you to post it?

I agree. I haven't received notice of this yet, and don't know why. Please, someone post it if possible.

Looking at the new point charts, I was thinking that it could actually be beneficial, since it adds lots of 4 and 5 day options. That is, until I read that they intend to move up everything by one category! That's a major change!

And it puts a kink in my plans. Our plans for next year involve non-timeshare things, including using the HHonors points we've built up with a trip to NYC and DC. So I was planning to convert all my 2010 HGVC points to HHonors, as a way to (1) replace what I'm using, and (2) use up my HGVC points. Now I need to rethink.

-Bob

HatTrick · Oct 22, 2009

Blues said:
Our plans for next year involve non-timeshare things, including using the HHonors points we've built up with a trip to NYC and DC. So I was planning to convert all my 2010 HGVC points to HHonors, as a way to (1) replace what I'm using, and (2) use up my HGVC points. Now I need to rethink.

-Bob

sjuhawk_jd said:
You can still make hotel reward reservations at the current levels through January 14, 2010, provided your stay is completed by January 14, 2011.

You should still be able to get in under the old rates, Bob.

jestme · Oct 22, 2009

Blues said:
I agree. I haven't received notice of this yet, and don't know why. Please, someone post it if possible.

-Bob

The real change is buried down a bit. They make you click a bit to find it, but here is the important one. It shows type by type what has changed.
http://hhonors1.hilton.com/en_US/hh/landing/RewardFAQ/index.do

Talent312 · Oct 22, 2009

jestme said:
The real change is buried down a bit. They make you click a bit to find it, but here is the important one. It shows type by type what has changed.
http://hhonors1.hilton.com/en_US/hh/landing/RewardFAQ/index.do

Reprinted for those who are click-thru inhibited...
New Categories..... 1....... 2....... 3....... 4....... 5........ 6....... 7
New Point Cost... 7,500 12,500 25,000 30,000 35,000 40,000 50,000
Old Categories.... Opp...... 1....... 2....... 3....... 4........ 5....... 6
Old Point Cost.... 7,500 10,000 20,000 25,000 30,000 35,000 40,000

"Point redemption levels for some VIP multi-night hotel rewards, All-Inclusive Resorts, Hilton Grand Vacations and Waldorf Astoria Hotels & Resorts are also changing and vary by hotel..."

dvc_john · Oct 22, 2009

Did anyone else get this email? I received a certificate for a 1 night stay at any cat 1-6 Hhonors hotel between January 15 and June 15 2010.

I am a Diamond, but the email made no reference to that, so I'm not sure if that's why I got it or not. It did say the reason I got it was because of the new point schedules.

Sandy VDH · Oct 22, 2009

jestme said:
I just received the official email. ALL hotels move up a category, and the categories are all more points. Category 6 hotels will now become Category 7, and move from 40,000 points per night to 50,000 points per night. That's a 25% increase!! Considering the point costs are still identical to Hilton, ($1 in Hilton revenue still gets you 10 points, plus silver or gold bonuses), this is a big decrease in point value.

Where did you find this information. I did not read anything about them moving everything up a category. I even tried to look up the new rating, but it says they will not be available until december. Can you please point out where you found the information that ALL HOTELS MOVE UP A CATEGORY.

jestme · Oct 22, 2009

The link in post 17 in this thread.

Talent312 · Oct 22, 2009

Sandy Lovell said:
Where did you find this information. I did not read anything about them moving everything up a category. I even tried to look up the new rating, but it says they will not be available until december. Can you please point out where you found the information that ALL HOTELS MOVE UP A CATEGORY.

As I read the "change" chart, there are two things are going on...
First, they're simply relabelling "Opportunity" - "6" as new #1 - #7.
But also, each category has an upgraded point requirement.
So old-Opportunity (new #1) is the same, but old #6 (new #7) is 10K more.
How many hotels will be "upgraded" remains to be seen. [Just my take]

Sandy VDH · Oct 23, 2009

Talent312 said:
As I read the "change" chart, there are two things are going on...
First, they're simply relabelling "Opportunity" - "6" as new #1 - #7.
But also, each category has an upgraded point requirement.
So old-Opportunity (new #1) is the same, but old #6 (new #7) is 10K more.
How many hotels will be "upgraded" remains to be seen. [Just my take]

I think that is exactly what remains to be seen. jestme is making the assumption that all current hotel categories will remain the same, thus every hotel is now more points. I would assume that there will be some recategorizations. Many will be more, but I guess we will have to wait until the release the new ranking to be sure.

itradehilton · Oct 25, 2009

The last time they did this we got our coupon for a 6 night stay before the rate increase and booked a stay for later in the year. I guess it's time to use the points if you have them.

danoquinn · Oct 26, 2009

dvc_john said:
Did anyone else get this email? I received a certificate for a 1 night stay at any cat 1-6 Hhonors hotel between January 15 and June 15 2010.

I am a Diamond, but the email made no reference to that, so I'm not sure if that's why I got it or not. It did say the reason I got it was because of the new point schedules.

dvc_John, Like you I also received a free 1 night stay certificate. I am a Diamond as well but not sure if that makes a difference.

HHonors to increase point redemption; add new Category 7 hotels

JonathanIT

alwysonvac

sjuhawk_jd

itradehilton

chester1122

DEROS

Talent312

TUG Review Crew: Veteran

PigsDad

Sandy VDH

TUG Review Crew: Elite

Talent312

TUG Review Crew: Veteran

jestme

Socko33

PigsDad

jestme

Blues

TUG Review Crew

HatTrick

jestme

Talent312

TUG Review Crew: Veteran

dvc_john

Sandy VDH

TUG Review Crew: Elite

jestme

Talent312

TUG Review Crew: Veteran

Sandy VDH

TUG Review Crew: Elite

itradehilton

danoquinn