Here is a spreadsheet with the ten largest hotel loyalty programs worldwide and all their airline partners for earning miles and points-to-miles transfers.

Hilton HHonors is far and away the biggest program for airline partnerships. That can be a major factor for a frequent guest earning miles from hotel stays in a frequent flyer program where there might be few opportunities to earn miles other than flying.

  • Hilton HHonors = 57 airline partners
  • IHG Priority Club = 43 airline partners
  • Marriott Rewards = 36 airline partners
  • Hyatt Gold Passport = 35 airline partners
  • Starwood Preferred Guest = 34 airline partners

There are 8 airlines that only partner with one of these ten programs.

 

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I will follow up this post with comments and details on airline miles differences in earning rates between different programs.

This seemed like a useful table to create as I work on my series of hotel points-to-miles exchange rates across loyalty programs for a selection of major airlines.

Loyalty Traveler – Airline Tables for Hotel Points-to-Miles Exchange Rates

United Mileage Plus hotel points-to-miles rates favor Marriott, Club Carlson, Wyndham(Feb 8, 2012)

Delta SkyMiles hotel points-to-miles rates in 9 hotel programs(Feb 7, 2012)

AAdvantage Miles for Hotel Elites with Credit Cards: SPG, Club Carlson, Wyndham and HHonors lead the pack(Feb 6, 2012)

American Airlines Points-to-Miles Exchange Rates Compared for 9 Hotel Programs (Feb 5, 2012)

Club Carlson, SPG, Wyndham and Hilton are the best hotel chains for earning American Airlines AAdvantage miles from hotel stays. SPG is the best earning for the top elite, well-traveled Super 75 Platinum. Still, even if your lifestyle is only Super 8, Wyndham Rewards will get you there on an AA or partner airline flight by earning miles nearly at the same rate of hotel spend as SPG.

My Loyalty traveler series on hotel points-to-miles exchange rates for frequent flyer miles continues with a look at 9 major hotel loyalty programs and points-to-miles exchange rates. These tables look at the miles earned at set levels of hotel spend. Top-tier elite hotel status and the best earning hotel cobranded credit card for hotel stay payment are additional factors in the miles calculations.

Table 1: Comparing Points-to-Miles Exchange Rates in 9 major hotel loyalty programs for American Airlines AAdvantage miles.

This table shows the actual exchange rate based on hotel spend for hotel stays. Credit cards and elite status are not considered.

Table 2: Top-tier elite membership factor when comparing Points-to-Miles Exchange Rates in 9 major hotel loyalty programs for American Airlines AAdvantage miles.

This table shows how top-tier elite membership earning rate alters the total number of points earned at each level of hotel spend.

Table 3: Co-Branded Hotel Credit Card with hotel loyalty top-tier elite membership when comparing Points-to-Miles Exchange Rates in 9 major hotel loyalty programs for American Airlines AAdvantage miles.

This table shows the influence of top tier elite and credit card spend.

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Hilton HHonors Resort Escapes promotion offers a free night certificate after five consecutive nights at a participating Hilton resort from December 1, 2011 through April 30, 2012. This is one of the best hotel loyalty program offers of the past year.

Hilton resort bookings must be made by January 31 for this promotion. Two free nights may be earned during the promotion period.

Promotion registration is required by Jan 31.

Hilton HHonors Resort Escapes Promotion

  • Booking Period: by January 31, 2012
  • Hotel Stay Period: December 1, 2011 – April 30, 2012
  • HHonors members must complete a minimum stay of five (5) consecutive nights at participating hotel(s) to receive one (1) free night certificate.
  • Limit two (2) free night certificates per HHonors member.
  • Certificates may be earned by completing two (2) separate minimum five (5) night stays or one (1) minimum ten (10) night stay.
  • Free night certificate will be delivered within 6 weeks of completion of stay.
  • Free night certificate is valid at participating hotels in the Hilton Worldwide portfolio for six (6) months after the date of issuance, as noted on the certificate.
Hilton HHonors Resort Escapes Dec 1-April 30, 2012 free night promotion.

 

Loyalty Traveler analysis

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Hilton claims it has the fastest hotel growth of the major hotel companies over the past five years with 29% room growth and 950 hotels added to its portfolio since June 2007. The hotel chain has a current piepline of another 860 hotels in development.

Hilton opened 170 hotels in 2011. Hilton has more hotel rooms in U.S. than any other chain. It seems to me like Hampton Inns are popping up on street corners like Starbucks.

Hilton Worldwide Facts:

  • HHonors reached 30 million members in 2011.
  • 3.5 million members joined HHonors in 2011.
  • 633,000 rooms globally makes Hilton the world’s largest hotel chain by rooms. This was previously InterContinental Hotels Group as I recall.

I like the statements about Hilton’s energy and water efficiency efforts. I live in the compact area of the Monterey Peninsula with over 200 hotels and several communities with water supply issues. This is an area where the water shortage of the 1970s led to restrictions of 50 gallons of water per day for household residents while hotels did not have those kinds of restrictions on guests. Every effort made to conserve energy and water in hotels helps the bottom line cost of the hotels as well as benefit the community.

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Hilton HHonors revised the list of elite benefits for Hilton, Doubletree, Conrad and Waldorf Astoria hotel stays. For Diamond members it appears to be an upgrade. Hilton HHonors Gold elites are less assured the changes are an enhancement to the former room upgrade policy.

Basically the wording states Gold and Diamond members will receive an upgrade if available for the entire stay to at least the next higher category room, but the type of upgrade is solely at the discretion of the hotel. Diamond members have the word “suite” as a room type possibility, but there is no language compelling a hotel to give a member a suite.

New HHonors Diamond Elite Benefits Policy:

Conrad® Hotels & Resorts, Hilton Hotels & Resorts and DoubleTree by Hilton™ Benefits

All Hilton HHonors Diamond guests will receive each of the following:

Read More…

The fifth post in my Loyalty Traveler series comparing the large hotel loyalty programs of Hilton HHonors, IHG Priority Club and Marriott Rewards is a case study of hotel rates and reward redemption opportunities in Paris, France for a stay in March 2012.

Prior posts have discussed the earning rate for hotel points with stays in each of the hotel brands (links to other posts in this series are at end of this post). The rate points are earned is only one factor for earning loyalty points. Limited time promotions for earning bonus points and bonus points for partner activities are other factors on the earning side of the equation.

The cost of hotel rewards in each of the three hotel loyalty programs must be compared to the rate of earning to determine if any program has a competitive advantage in one way or another for Hilton HHonors, Marriott Rewards and IHG Priority Club.

Paris, France Hotel Reward Search for March 16-20, 2012

Assume the dates are set in stone for a four night Paris trip. Here are the options in the big chains of Hilton, IHG and Marriott where you can burn your points.

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The fourth article in this series comparing the “MegaChain” hotel loyalty programs of Hilton HHonors, IHG Priority Club and Marriott Rewards is a look at the hotel reward options for each hotel chain. Reward nights using points are one of the two primary incentives of being a hotel loyalty program member. The other incentive is additional complimentary hotel stay benefits received during hotel stays like free internet, complimentary room upgrades, hotel executive lounge access and free breakfast.

Comparing hotel rewards is one of the most technical aspects of hotel loyalty programs. The rate of earning points is different in each hotel loyalty program with Hilton members earning as many as 15 points per dollar for hotel spend while Marriott and IHG Priority Club earn as few as 5 points per dollar for certain hotel brands. Promotions offering bonus points also affect the rate of earning points in each program.

And even if the hotel loyalty member earns 10 points per dollar in each program, then is a 25,000 point hotel reward comparable in each program? How does one compare a Marriott Rewards category 5 reward night (25,000 points), Priority Club Crowne Plaza reward night (25,000 points) and a Hilton HHonors category 3 reward night (25,000 points)?

The logical way to compare hotel rewards across programs is to compare the published rate for the hotel night to the reward night cost in points. The problem is the reward cost is a fixed cost while the room rate fluctuates and might be $150 tonight and $250 tomorrow night for the same 25,000 points free night. The other variable is a 25,000 points hotel reward might save $100 at one Marriott Rewards category 5 hotel and save $250 at a different Marriott hotel.

The bottom line is hotel reward redemption value is dynamic and fluctuates depending on date and hotel. The best a member can do is try to use points in a way that maximizes their redemption value.

Read More…

Elite status is the primary way to earn more points and benefits from hotel loyalty programs. Elite members earn 10% to 50% more bonus points per dollar in hotel spend. High elite status brings many additional benefits with hotel stays including complimentary breakfast, free room upgrades, welcome gifts and free internet.

Hilton HHonors and Marriott Rewards have a high bar for reaching top elite status. Most frequent guest travelers will only spend sufficient nights in a hotel to earn either Hilton HHonors Diamond (28 stays or 60 nights) or Marriott Rewards Platinum (75 nights).

Elite Membership Tiers

Marriott Rewards (Marriott Rewards membership levels link)

  • Silver = 10 nights (20% elite bonus points).
  • Gold = 50 nights (25% elite bonus points).
  • Platinum = 75 nights (50% elite bonus points).
  • Marriott offers elite rollover nights for 2012 hotel stays to make 2013 qualification easier.

Hilton HHonors (HHonors membership levels link)

InterContinental Hotels Group Priority Club Rewards (Priority Club membership levels link)

  • Gold = 15 nights or purchase for $50 or earn 20,000 qualifying points in a calendar year (10% elite bonus points).
  • Platinum = 50 nights or earn 60,000 qualifying points in a calendar year (50% elite bonus points).
  • InterContinental Ambassador = $200 membership fee or32,000 Priority Club points. InterContinental Ambassador benefits apply only to stays at InterContinental Hotels.(Ambassador FAQ)
  • InterContinental Royal Ambassador = by invitation only for select Ambassador members (top 1%) based on factors of total number of nights stayed and revenue. Unpublished qualification criteria estimated to be around 60 hotel nights in IHG properties with stays in several InterContinental Hotels.  FlyerTalk has a thread where members attempt to determine the criteria for Royal Ambassador membership.

Elite Qualification Routes Compared

There are differences in the way each hotel loyalty program qualifies elite members. This post will compare the routes to elite membership in Hilton HHonors, IHG Priority Club and Marriott Rewards. The specific benefits an elite member receives at different membership levels in each hotel program will be discussed in separate Loyalty Traveler posts.

Priority Club Elite

Priority Club is one of the easiest hotel loyalty programs to qualify for high elite Platinum status despite showing the qualification level as 50 nights. And these are 50 paid nights not counting reward stays using points or Points & Cash stays. Only Hilton HHonors, Starwood Preferred Guest and Choice Privileges credit reward stays for annual elite tier qualification.

60,000 qualifying Priority Club points is an easy to reach threshold for guests staying far fewer than 50 nights in a calendar year at IHG hotels. Priority Club counts almost any point earned in your account as an elite qualifying point. About the only Priority Club points that do not count as elite qualifying are points purchased for Points & Cash stays when paying $40 for 5,000 points or $60 for 10,000 points as part of a Points & Cash reward booking. Qualifying points include base points and bonus points earned from hotel stays, bonus points earned from promotions and points earned from partner activities.

Example of earning 60,000 points for Priority Club Platinum elite membership

  • Purchase 20,000 Priority Club points for $230 = 20,000 points.
  • Hotel stays = 20 nights at Holiday Inn and HI Express @$100/night rate = 20,000 base points.
  • Priority Club Double Points Promotion (Jan 23-Apr 30, 2012)  = 20,000 bonus points.
  • Gold elite 10% bonus points = 5 nights at $100/night rate = 500 points.
  • Total = 60,500 qualifying Priority Club points with 20 hotel nights to earn Platinum elite.

These two activities of buying points and hotel stays during the Priority Club Double Points promotion qualify the Priority Club member for Platinum elite after only 20 hotel nights rather than 50 nights. This is just one example of how easy it is to reach Priority Club Platinum and start earning 50% bonus points.

InterContinental Ambassador lets you buy your way to elite

InterContinental Ambassador is a $200 initial membership ($100 renewal) annually paid program if you are looking for complimentary luxury hotel benefits to supplement those $300 per night stays at InterContinental Hotels. There are many InterContinental Hotels with rates below $150 night many nights of the year, yet there are other IC properties where $300 per night would be quite a discount rate at any time of the year.

InterContinental Royal Ambassador members receive a certificate in their membership packet to gift membership to one other.

 

Marriott Rewards Elite

Marriott Rewards is consistently voted the best hotel loyalty program in business surveys and even the Freddie Awards in recent years. Marriott Rewards has maintained the toughest elite qualification criteria of any major hotel loyalty program for many years. Mid-tier Gold elite at 50 nights and high-tier Platinum elite at 75 nights far exceed other programs. Hilton, Starwood and Hyatt have hotel stays as an alternative route to elite membership. Stays are a far more favorable qualification route for guests who typically stay one night at a time.

Hilton HHonors Diamond requires 60 nights and Marriott Rewards at 75 nights is 25% more nights than HHonors.  And HHonors counts hotel nights on rewards.

Hilton HHonors takes only 28 stays for HHonors Diamond elite as a different elite qualification route. This means a member can earn HHonors Diamond elite with as few as 28 one-night stays and some of those stays can even be reward stays using points.

Marriott Rewards Elite Rollover Nights is a competitive edge

Elite Rollover Nights appeared in 2009 when the hotel industry was severely impacted by a sudden cutback in global travel.  Marriott Rewards did not alter its stringent elite qualification criteria, but instead lowered the elite qualification threshold in one way, while providing incentive to continue staying with Marriott even after attaining elite status for the calendar year.

Elite Rollover Nights carry any nights in excess of the elite level for the current year to the next calendar year. In 2012 a member who stays 33 nights in Marriott brand hotels earns Silver elite for 2013 after 10 nights, but fails to reach 50 nights for Gold elite. This member starts 2013 as Silver elite and the 23 nights stayed in 2012 above the Silver elite qualification level rollover to 2013 elite qualifying nights. The member starts 2013 with 23 elite qualifying nights and only needs 27 nights in 2013 to reach Gold elite rather than 50 nights. The member will earn Gold elite after 27 nights in 2013.

Elite rollover nights are a powerful incentive for staying with Marriott Rewards as a Silver elite, even if Gold elite is not achievable in 2012.

Marriott Rewards offers Elite Rollover Nights as a promotional benefit to members. 2012 will be the fourth year this benefit has been offered, however, the announcement to extend elite rollover nights did not come until late December 2011. Hotel nights in 2012 will automatically rollover to 2013. There is no guarantee the elite rollover nights benefit will be repeated again for hotel nights stayed in 2013.

Club Carlson set elite rollover nights as a standard program benefit when the new hotel loyalty program launched April 2011. This is the only other hotel loyalty program to offer elite rollover nights.

Hilton HHonors Elite

Hilton has several routes to high elite Diamond status.

  • 28 stays can be as few as 28 one-night stays in a year and reward stays count too.
  • 60 nights including reward stays.
  • 100,000 base points = $10,000 in spend. That might be one wedding or company party.
  • HHonors Surpass American Express gives cardmember Diamond elite after $40,000 annual spend.

The multiple routes to reach elite are a competitive advantage of Hilton HHonors over Marriott Rewards.

In my opinion Hilton HHonors Gold (16 stays or 36 nights) is one of the best mid-tier elite levels to have for any hotel loyalty program. HHonors Gold elite is frequently offered in fast-track promotions for as few as four stays in 90 days. A new or returning HHonors member can receive benefits of free internet and free breakfast on hotel stays through 2013 after just four stays.

Elite Status Promotion: Hilton HHonors Gold elite fast-track for Carlson Wagonlit Travel customers. Earn HHonors Gold elite after four stays within 90 days of promotion registration.  Loyalty Traveler post Sep 6.

Elite Status Promotion: HHonors Gold VIP elite after 4 stays or 9 nights in 90 days at U.S. hotels with Hilton HHonors MVP. Promotion registration required.

 

HHonors Reward Stays are Elite Qualifying Stays and Nights

Hilton HHonors was also a pioneer in elite status qualification when it became the first hotel loyalty program to count reward nights and stays several years ago. Choice Privileges and Starwood Preferred Guest are two other hotel loyalty programs that changed in the past couple of years to count reward stays for elite status.

The introduction of HHonors Points & Money Rewards in 2011 means counting reward stays for elite qualification is even more rewarding. Points & Money rewards require only 50% standard reward points. A member with 100,000 points can buy two category-7 standard reward nights at 50,000 points each.  Points & Money rewards allow the same 100,000 points to buy four separate category-7 reward nights with a cash supplement ($85/night) and earn up to 4 elite qualifying stays and 4 nights.

HHonors Points & Money are a 2011 reward enhancement, even though the program also introduced HHonors Premium Rewards that seems to have negatively impacted Diamond level members with decreased access to room rewards at the standard rate.

 

Elite Challenges

Marriott offers a Gold Challenge for 12 nights in 90 days or Platinum Challenge with 18 nights in 90 days. You receive gold or Platinum elite level for 90 days and drop back to earned status if challenge not successful. You must be enrolled in either Gold or Platinum Challenge. You do not earn Gold elite if you fall 3 nights short on a Platinum Challenge with only 15 nights even though that would have been sufficient for the Gold Challenge.

Elite level membership after completing the challenge is maintained at Gold or Platinum elite through February 2013, unless you requalify for the same or higher tier. So you need to have 50 or 75 nights in 2012 to retain elite level through 2013. Challenges starting in July 2012 may last through Feb 2014. FlyerTalk thread on Marriott Platinum and Gold Challenges from last six months and Dec 2011 thread.

Hilton offers Diamond Challenge for 19 to 21 nights in a 90 day period. FlyerTalk thread.

HHonors status match discussed in this FlyerTalk thread. Remember that status match is generally a once-in-a-lifetime match when granted by a hotel loyalty program. Challenges can be periodically repeated. Do not waste a status match unless you plan to use it. You may regret it a couple of years from now when you could really use the instant elite status and that long expired top elite member card is sitting in your drawer.

Marriott elite status match FlyerTalk thread.

You can generally get a status match if you truly have the potential of a high-revenue guest with frequent hotel stays. The people getting instant status through a hotel loyalty promotion and no record of frequent stays might find it more difficult to get a hotel loyalty status match.

The Credit Card Route to Elite

Marriott, Hilton and IHG Priority Club offer an easy route to low tier elite simply by enrolling as a credit card member with Hilton HHonors Visa or American Express, Marriott Rewards Visa or Priority Club Visa.  Hilton HHonors is the winner for credit card benefits.

  • All HHonors credit cards confer complimentary HHonors Silver elite. HHonors Diamond membership is achievable through HHonors Surpass American Express after $40,000 annual card spend.
  • Marriott Rewards Visa gives either 10 or 15 elite nights annually for instant Silver elite status.
  • Priority Club Visa gives complimentary Gold elite.
  • This Loyalty Traveler post from March 2011 is still fairly accurate on the elite benefits available through hotel points credit cards.
  • Disclosure: I do not partner affiliate with any credit card providers. The links in my posts where I discuss credit cards are not affiliate marketing links for my Loyalty Traveler business.

Loyalty Traveler series: Comparison of Hilton HHonors, Marriott Rewards and IHG Priority Club hotel loyalty programs

1. Hilton, Marriott and IHG Hotel Brand Market Segments (Jan 15, 2012) – this post lists the different hotel brands, number of hotels in the brand, percentage of hotels in each brand and brand’s hotel market segment.

2. Hilton, IHG Marriott: Earning Base Points and Miles (Jan 17, 2012).

3. Making Elite with Marriott, IHG, Hilton (Jan 18, 2012) – Discussion of elite qualification requirements, elite status challenges and status matches.

This series will continue with a look at the redemption options using points and comparative analysis of these three programs.

IHG Priority Club has major changes taking effect in reward tiers for free nights January 18, 2012. I will compare reward cost for Hilton, Marriott and IHG free nights after the Priority Club changes are published and the new higher rates are in effect.

The second post in comparing the mega-chain hotel loyalty programs of Hilton, IHG and Marriott is a look at earning points and miles in each program. These three hotel chains are grouped together for comparative purposes based on their size, each hotel chain with more than 3,500 properties worldwide and a significant proportion of upscale to luxury hotels.

The first post in this series outlined the number of hotels in each chain’s brands and their brand market segments.

The primary competitive advantage of Marriott, IHG and Hilton in the hotel industry is their size with global geographic coverage as well as extensive coverage of the United States. Starwood, Hyatt and Carlson hotels will be compared in a separate series of posts for these hotel chains with 500 to 1,200 hotels globally. France-based Accor Hotels is another large global hotel chain with over 4,000 hotels worldwide, however, the chain has fewer than 20 hotels in the U.S. participating in the Accor loyalty program and is excluded from this survey.

Earning Points and Miles from Hotel Stays

Two factors differentiate hotel loyalty program stays from stays booked outside hotel loyalty programs on sites like Expedia, Orbitz and Travelocity:

  • complimentary hotel loyalty benefits received during the hotel stay like free room upgrades, free internet access, hotel executive lounge access, free fitness facilities access, free breakfast and late check-out.
  • points and miles earned from hotel stay are a rebate on the purchase price for the hotel stay.

These two factors are the area of competition between the major hotel chain loyalty programs. This post compares points and miles earning in Hilton HHonors, IHG Priority Club and Marriott Rewards. Separate posts will compare the hotel stay benefits of loyalty programs at different elite levels.

Earning Points

The rebate value of hotel loyalty programs is the factor that keeps many of us loyal to specific hotel chains. A good hotel loyalty promotion means the cost of a hotel stay is partially or fully rebated in the form of points earned from the stay.

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This is a reminder about the Hilton Any Weekend Anywhere global sale for 20 to 33% discount on prepaid rooms for weekend stays through December 30, 2012. Bookings made from noon today Eastern time zone (New York), January 17 through noon tomorrow, Wednesday January 18 will earn 2,500 bonus HHonors points per reservation, up to 10,000 bonus points when you register your reservation confirmation through Hilton’s Facebook page.

Hilton Facebook promotion special for up to 10,000 bonus points:

** Earn 2,500 bonus points per booking made between Tuesday, January 17 12:00pm (noon) Eastern Time Zone through Wednesday January 18, 11:59am ET for the Hilton Any Weekend, Anywhere Sale. This bonus may be earned four times, up to 10,000 bonus points with four bookings. The 2,500 bonus points Facebook offer is valid for one night stays.

How do I claim my 2,500 Hilton HHonors Bonus Points?

After you have booked your Any Weekend, Anywhere Sale stay, you will need to re-visit the 24-Hour Bonus Event tab on the Hilton HHonors Facebook page during the Bonus Event period (12:00pm ET on January 17, 2012 to 11:59am ET on January 18, 2012) and enter in your confirmation number and your Hilton HHonors number in order to claim the 2,500 Hilton HHonors Bonus Points. The Hilton HHonors Bonus Points will be posted in your Hilton HHonors account 4 to 6 weeks after your stay has been completed.

 

Bottom Line: While I typically suggest avoiding prepaid, nonrefundable room rates, the multiple promotion offers combined with the 2012 Q-1 More Points promotion make this one sale worth considering.

Four $100 one-night stays can potentially earn 10,000 bonus points through the Facebook offer and 4,000 bonus points from the 2012 Q-1 More Points promotion if these one-night stays are completed by March 31. Four nights can earn 14,000 bonus points in addition to the regular points for hotel spend.

One two-night stay booked January 17-18 during 24-hour Facebook special can potentially earn:

  • 2,500 bonus points Facebook (1 stay)
  • 1,000 bonus points Any Weekend, Anywhere Sale for two night weekend stay.
  • 7,000 bonus points 2012 Q-1 More Points promotion for two-night weekend stay January 1-March 31, 2012.
  • Total promotion bonus = 10,500 bonus points per two-night stay.
  • Up to 42,000 bonus points after four two-night stays by March 31.
  • It remains to be seen whether all these promotion bonuses will combine. These offers look to me like they will combine.
  • Check 2012 Q-1 More Points excluded hotels list to see if hotel is eligible.

Hilton’s Any Weekend, Anywhere Sale offers discount rates for weekend stays from January 9-December 30, 2012 when booked by January 31. The discount varies from 20% to 33% on Best Available Rate depending on region and hotel brand. These rates require full prepayment and are nonrefundable, no changes, and no cancellation, so buyer beware.

Must book at least 7 days in advance.

Weekends are Thursday, Friday, Saturday and Sunday. Some hotels may include other days of the week. Thursday arrivals require a two night stay for this offer.

Earn 1,000 Bonus Points with two-night or longer stays as an added incentive.

Europe, Middle East and Africa

  • 33% discount on BAR or Bed and Breakfast rate at all brands, except
  • Hampton Inn offer is 20% on BAR.

Asia-Pacific

  • 25% discount on Best Available Rate, except
  • Malaysia and Thailand = 33% on BAR.

North and South America

  • 25% discount on BAR for Hilton, DoubleTree, Conrad and Waldorf-Astoria.
  • 20% discount on BAR for Embassy Suites, Hilton Garden Inn, Hampton, Home2 Suites, Homewood Suites, Hilton Grand Vacations.

Related Posts:

Hilton HHonors More Points 2012 Q-1 Promotion (Dec 28, 2011)

Hilton Resort Escapes Free Night Offer – book 5-night stay by January 31 and stay by April 30, 2012 to earn one free resort night. maximum two free nights may be earned with this offer.

HHonors 30% rebate on Points & Money or Premium Room Rewards booked by January 31 for stays completed by June 30, 2012. Loyalty Traveler post December 8.

Over the next few weeks I will compare aspects of different hotel loyalty programs. While it is easy to look at the different websites and compare member benefits, the proportion of hotel brands and their market segment as a proportion of hotels participating in a hotel loyalty program tends not to be as well known.

Hotel Chain Scales are used by hotel industry analysts at STR.com to segment hotel brands into luxury, upper-upscale, upscale, upper midscale, midscale and economy categories.

The largest hotel loyalty programs for the US are Hilton, Marriott and IHG in terms of the size and broad range of hotels in different market segments. Wyndham Rewards, Choice Privileges and Best Western Rewards are comparable megachain hotels, but there are far fewer hotels in the upscale to luxury segments in these three brands. Starwood (1,100 hotels) and Hyatt (500 hotels) have a high proportion of upscale to luxury hotel brands in their portfolios, however, the number of hotels are far fewer in these chains and not as useful for travelers needing wide geographic coverage.

 

Hotel Brands and Market Segments

What is a luxury hotel or an upper-upscale hotel?

Price is generally the defining line between hotel market segments. I do not work in the hotel industry and I am an amateur analyst interpreting numbers from hotel industry data. STRGlobal.com provides industry data reports and I gather statistical data about the hotel industry regularly from the free data provided online.

STR has a list of hotel brands in different chain scale segments based on the average room rate data for thousands of hotels worldwide.

This post uses the 2011 STR US Chain Scales  along with the latest hotel properties data for each brand from the hotel chain’s websites to compare market segments for hotel brands of Hilton, IHG and Marriott.

Basically I want to see how the hotels in Hilton, IHG and Marriott segment out in each chain and compare to each other when looking at the number of luxury, upscale and midscale hotels in each hotel loyalty program.

Hilton Worldwide Hotel Brands with Market Segment and Number of Hotels

  • Hilton Worldwide has 3,712 hotels in this list, but this is only an estimate. New hotels open every few days.The percentage of hotels in each brand is listed in ( ).
  • Conrad Hotels (luxury) = 18 hotels (<1%).
  • Waldorf Astoria Hotels & Resorts (luxury) = 23 hotels (<1%).
  • Hilton Hotels and Resorts (upper upscale) = 540 hotels (15%) in 78 countries including 70 Resorts.
  • Embassy Suites (upper upscale) = 201 hotels (5%) with 193 in US and 8 international.
  • Hilton Grand Vacations (upper upscale) = 50 properties (1%).
  • DoubleTree by Hilton (upscale) = 250 hotels (7%) in 17 countries.
  • Homewood Suites (upscale – extended stay) = 309 hotels (8%) in North America.
  • Hilton Garden Inn (upscale) = 515 hotels (14%) with 130 in development.
  • Hampton Inn (upper midscale) = 1,800 hotels (48%) with more than 1,700 in US and growing international expansion recently.
  • Home2 Suites (upper midscale – extended stay) = 6 hotels (<1%).

 

Marriott International Hotel Brands with Market Segment and Number of Hotels

  • 3,747 properties in 13 brands in 72 countries. This total does not include Marriott Executive Apartments which earn Marriott Rewards points, but are extended stay contracted properties and not a typical hotel stay.
  • Ritz-Carlton (luxury) = 81 hotels (2%).
  • JW Marriott (luxury) = 62 hotels (2%).
  • Marriott Hotels & Resorts (upper upscale) = 521 hotels (14%).
  • Renaissance (upper upscale) = 160 hotels (4%).
  • Autograph Collection (upper upscale) = 29 hotels (<1%).
  • Marriott Vacation Club (upper upscale) = 59 properties (2%).
  • Marriott Conference Centers (upper upscale) = 7 hotels (<1%).
  • Courtyard (upscale) = 926 hotels (25%).
  • AC Hotels (upscale) = 82 hotels mostly in Spain (2%).
  • SpringHill Suites (upscale – extended stay) = 299 hotels (8%).
  • Residence Inn (upscale – extended stay) = 627 hotels (17%).
  • Fairfield Inn (upper midscale) = 689 hotels (18%).
  • TownePlace Suites (upper midscale – extended stay)= 205 hotels (5%).

InterContinental Hotels Group

  • 4,452 hotels (as of September 2011)
  • InterContinental Hotels (luxury) = 171 hotels (4%).
  • Crowne Plaza (upscale) =  401 hotels (9%).
  • Hotel Indigo (upscale) =  38 hotels (<1%).
  • Staybridge Suites (upscale – extended stay) = 195 hotels (4%).
  • Holiday Inn (upper midscale) = 1,238 hotels (28%).
  • Holiday Inn Express (upper midscale) = 2,103 hotels (47%) with 1,866 in Americas.
  • Candlewood Suites (midscale) = 300 hotels (7%).
  • Holiday Inn Club Vacations = 6 properties (<1%).

I have some issue with the broad segmentation of Crowne Plaza and DoubleTree as Upscale rather than Upper Upscale for some locations and Holiday Inn as Upper Midscale for some locations where the Holiday Inn is more upscale.  Keep in mind in the real world of travel there will be some Crowne Plaza and DoubleTree hotels that will be just as nice or better than the nearby Marriott, Hilton or Embassy Suites.

How the hotel chains stack up when brands are compared by market segment.

Luxury market segment

  • IHG = 171 hotels (InterContinental)
  • Marriott = 143 hotels (Ritz-Carlton, JW Marriott)
  • Hilton = 41 hotels (Conrad, Waldorf Astoria)

Upper Upscale market segment

  • Hilton = 791 hotels (Hilton, Embassy Suites, Hilton Grand Vacations)
  • Marriott = 776 hotels (Marriott, Renaissance, Autograph Collection, Marriott Vacation Club)
  • IHG = 0 hotels (based on STR chain scale rankings, but in reality many Crowne Plaza hotels are upper upscale).

Upscale market segment

  • Marriott = 1,934 hotels (Courtyard, Residence Inn, AC Hotels)
  • Hilton = 1,074 (Hilton Garden Inn, Homewood Suites, DoubleTree)
  • IHG = 634 hotels (Crowne Plaza, Hotel Indigo, Staybridge Suites)

Upper Midscale market segment

  • IHG = 3,341 hotels (Holiday Inn, Holiday Inn Express)
  • Hilton = 1,806 (Hampton Inn)
  • Marriott = 894 (Fairfield Inn, TownePlace Suites)

Midscale market segment

  • IHG = 300 (Candlewood Suites)

The key point here is to consider what market segment you desire for your travels. IHG Priority Club will tend to be lower room rates, but Priority Club does not offer frequent guest elite members the level of defined benefits provided by Hilton HHonors or Marriott Rewards to their md-tier and top-tier elite members.

Another point to add is the practice of placing branded hotels in the same chain adjacent to each other. This is really common with Marriott where Courtyard and Residence Inn are literally adjacent hotels in many places. I have seen three Marriott properties in the same location in places. Geographic coverage is not as extensive as you might think when all the locations with multiple properties are considered. On the other hand, the placement of hotels in the same chain next to each other makes hotel hopping for loyalty promotion stay credit an easy task when you want to earn free Marriott MegaBonus nights.

Comparison of hotel loyalty program benefits across these hotel brands will be discussed in future posts.

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