The recent announcement that Choice Hotels (Comfort Inn, Comfort Suites, Quality, Sleep Inn, Clarion and MainStay Suites hotel brands) has formed a redemption alliance between their Choice Privileges hotel guest program and Preferred Hotels and Resorts will not likely make headlines, nor be the buzz around the industry. But for me, it points out how programs of all levels can add value to their loyalty programs. Yes, the rules have changed, and it looks like Choice Hotels was paying attention when all of these alliance partnerships, such as Hyatt Gold Passport and Hawthorne Suites, became the way programs grow.

What’s unique in this case is the difference there is in hotel properties between Choice Hotels and Preferred Preferred - perhaps an average daily rate multiple of 5. This distance is relative in the new award chart. The average free award night with Choice Privileges is around 10,000 points per free night. For a free night at a Preferred Hotel, the point redemption is between 24-50,000 points per night - a multiple of around 4. This is a very good multiple as compared to other similar free room night “upgrades.” For instance, in the Marriott Rewards program, you can earn at Fairfield Inn and SpringHill Suites and redeem at Ritz-Carlton Hotels. The average free night at these Marriott properties is 7,500-10,000 points per night, while the redemption at Ritz-Carlton is between 45-70,000 points per free night. I’d say that the multiplier advantage goes to Choice Privileges in this situation.

Preferred Hotels is a global brand of independently owned luxury hotels and resorts, and why they would allign themselves with Choice Hotels is a good question. As with any relatiopnship, there is a plus . . . and a minus.

The plus is that there are no blackout dates - if a room is avaialble to sell, you have it (a good program policy). The minus side is that this program requires that awards nights be booked within 30 days of arrival for locations in the U.S. and Canada and within 60 days of arrival for all other locations. Locations you might be familiar with that are part of the Preferred Hotels brand include The Lodge at Vail, Quinta Real Acapulco, The Sanctuary at Kiawah Island and The Carlton Hotel in St. Moritz.

Bottom line - the rules have changed, and it looks like there are several programs paying attention.