nkralev on July 13th, 2010

How do you decide which hotel to choose in the city you are visiting if you want to redeem your points for a free night? I had to make that decision this month, and unlike in many similar situations, it wasn’t even a close call.

I usually start with the chains where I have top elite status — Hilton HHonors and Starwood. Hilton’s Diamond benefits are inferior to Starwood’s Platinum perks — Hilton doesn’t give you suite upgrades and free Internet. The only advantage with Hilton is that award stays count toward elite status, which is rather significant in my book.

However, in January, Hilton devalued its points by raising both the categories of many hotels and the number of points needed for a free night in some categories. Even though the affected properties weren’t as many as the unaffected ones, the average traveler wouldn’t know that, because those that remained unchanged are in places few people visit. I have the full list, but have yet to come across a hotel that stayed the same while making reservations.

Even before the devaluation, I thought all Hilton properties in Anchorage, AK, were a bit overrated, but I had stayed at three of them on points nevertheless. When I looked at the new categories last month, I was horrified — not only was the Hilton now Category 6 (previously the highest until a seventh tier was created this year), but the Hampton Inn, the lowest-end brand in the chain, was Category 5, requiring 35,000 points for one night.

By contrast, the only Starwood property in Anchorage, the Sheraton, is Category 3, which means only 7,000 points per night. Unfortunately, it doesn’t offer the popular cash-and-points option.

So let’s compare the two full-service hotels — the Hilton and the Sheraton. At the first — Category 6 out of seven — I need 40,000 points out of a maximum of 50,000 for the highest category. At the second — Category 3 out of seven — I need 7,000 points out of maximum 35,000. Naturally, I chose the Sheraton.

There was another factor in my decision. I needed a conference room for my “On the Fly” Seminar, so I called and left messages for the sales managers at the Sheraton and four of the Hilton properties — the Embassy Suites, the Hilton Garden Inn, the Homewood Suites and the Hampton Inn. Of the last four, only the Embassy Suites — one of the newest and nicest hotels in town — bothered to call me back, but their price was too high. The Sheraton offered me a much better rate.

So I was happy with the Sheraton. Although it’s not a very attractive building from outside, it underwent a major renovation recently and is quite decent inside. I got a suite, lounge access, free Internet and free breakfast. My only cash expense was on the conference room.

What would you have done?

Continue reading about Hilton or Starwood? Not even a close call

nkralev on May 10th, 2010

It’s no secret in the hotel loyalty business that Hilton HHonors has been probably the least creative and attractive among the major programs in recent years. Fortunately, its management has recognized that weakness and begun to address it, albeit cautiously.

While competitors such as Starwood, which includes the Sheraton, Westin and other brands, and to a lesser extent the InterContinental Hotel Groups Priority Club, came up with various promotions quarter after quarter, Hilton’s strategy seemed heavily reliant on name-recognition and reputation.

Jeff Diskin, senior vice president for global customer marketing at Hilton Worldwide, said in an interview last week that the company considers the quality of its hotels and the distribution of its network to be its main strengths…

Continue reading about Hilton embraces ‘games-players’

nkralev on May 9th, 2010

Nicholas Kralev talks to Jeff Diskin, senior vice president for global customer marketing at Hilton Worldwide, about the company’s loyalty program, Hilton HHonors.

Continue reading about Interview with Hilton VP Jeff Diskin

nkralev on March 18th, 2010

Another domino in the hotel fees game has began falling. Three of the world’s largest chains — Starwood, Marriott and Hyatt — now offer free Internet access to their elite members. Another two, however — InterContinental and Hilton — are holding out. For how long?

Like most frequent travelers, who are usually also elite members of various loyalty programs, I’ve become accustomed to free hotel perks, such as breakfast, room upgrades and lounge access. At the same time, I’ve oddly got used to paying Internet fees that are sometimes higher for one day than my monthly charge at home, and for speed several times lower.

I complain about them occasionally — especially in Europe, where they can reach $30 — but if I’m working on the road, I keep paying them. After all, using a hotel computer in a business center is not the best way to research and file a story…

Continue reading about Free hotel Internet for elites slowly becomes the norm

nkralev on March 18th, 2010

Fierce competition in the hospitality business is nothing new, but last week one of the world’s largest hotel companies took the game to a new level with a bold move aimed at enticing customers of a major competitor.

The InterContinental Hotels Group took advantage of many frequent travelers’ anger with Hilton Worldwide for devaluing its loyalty program, HHonors, last month and offered them bonus points if they also have an account with InterContinental’s scheme, Priority Club.

As I reported in November, Hilton decided to increase the number of points required for “award” stays at many of its hotels. It added a new Category 7 to its chart, and for a night at most of its high-end properties it now charges 50,000 points instead of the previous 40,000. Redemption levels at many other hotels jumped by 5,000 points…

Continue reading about Hilton, InterContinental cross swords