Steve Fatula
TUG Member
YMMV. There are pockets of value. However, every time they devalue (and they will do it again) it increases the relative benefits of 2% cards and more flexible points currencies eg Chase Rewards. This is why airlines like United are wondering why people are not lining up for their cards and mileage runs anymore.
What sucks is with increasing Bonvoy devaluation velocity, points earned last year based on expected valuations made at the time, are now worth less when you have earned and are ready to use this year.
Bottom line: Need to evaluate against future devaluations not current valuations. (But not clear how to do that easily.) We are hanging onto our anniversary night cards for now but not actively collecting more points.
I understand your point of view, I just am nowhere near as negative on the value. The 2% card currency devalues as well, inflation. Perhaps at a different rate of course. But I don't see the devaluation you do. I do see if one had specific hotels they want to stay at in specific places, the devalue can be more impactful. But hotels go up in price too, so, not surprised it takes more points, just as it takes more cash.
When we drove to Ohio after Christmas, I was honestly shocked by hotel rates. Rates for hotels in the past 7 years for some of the cities we used to stay in on the way have doubled. We had not been on a road trip in a while where we paid for rooms. It's likely cheaper to fly now. So, using your 2% cash, you'd get half as much. I would think therefore, it should take more points to reserve the same rooms. I'm just not convinced that cash is any better really. I'm staying with points over cash, but, I do get your point. I agree ymmv.
I would have had to charge way more than I ever could to pay for the flights that were free last year, ~$4000 in flights, / 2% = $200,000 needing to be charged to pay for them. I don't charge that much in 15 years, lol.