HHonors
Are airlines and hotel companies trying to benefit from charity donations to Haiti? When you donate miles or points, how do they decide into how many dollars your contribution converts? Should they be more generous than they are?
Every major U.S. carrier and hotel chain is offering the members of its loyalty program to redeem points in support of earthquake relief operations in Haiti, which was almost totally devastated earlier this month. For many Americans who may be short on cash but have thousands of points in various accounts, that is a rather attractive option.
Most airlines transfer the miles you redeem directly to the Red Cross or other organizations, which use them to book “award” tickets for their employees or disaster victims. Of course, those charities need either dedicated personnel or a travel agent to spend significant time working with the airlines to find the ever-so-elusive “award” availability…
Elite members of Hilton HHonors, the hotel chain’s loyalty scheme, have been puzzled for years by its sliding competitiveness. Now the company’s management has stunned them by devaluing the program even more at a time when the industry desperately needs frequent travelers.
Beginning in January, you will need about 25 percent more points on average to book a free night at a Hilton chain hotel, including Conrad, Doubletree and Embassy Suites. That is the combined effect of increased redemption requirements and raised “award” categories of many properties.
I’ve been trying to find a reasonable explanation for that move, both from the company and some of its elite Diamond members, since the changes were announced somewhat quietly late last month. I’m still searching for it…
With airlines changing the rules of their frequent-flier programs to help improve their balance sheets, it was only a matter of time before hotel chains began to re-evaluate their own loyalty schemes.
Still, many travelers were surprised, confused and even angry when, earlier this month, Hilton Hotels Corp. announced two major changes to its program, Hilton HHonors. It made it more difficult to qualify for elite status, and it restricted access to so-called executive lounges at its high-end properties.
In 2005, Hilton pioneered a “rolling VIP tier qualification” system, which replaced the industry standard of requiring a certain number of stays or nights during a calendar year — from Jan. 1 through Dec. 31 — to win elite status…
