Yesterday I posted about a disturbing development with Starwood, where they were apparently testing a change to Platinum upgrade benefits — providing a one room class upgrade instead of upgrade to best available room at checkin, including standard suites.

This morning I posted on Flyertalk

Starwood is within its rights to change the Terms and Conditions, but frankly changing elite benefits shouldn’t ever be done without substantial notice — people earn their status with butt-in-bed based on the promise of perks the following year. A decision made now to change benefits ought to be implemented beginning in 2008.



However… if there is a ‘test’ to provide something other than the best available room at checkin, including standard suites then the test is in violation of Starwood Preferred Guest’s terms and conditions.



Starwood writes the T&C. We have to follow them. The bare minimum that Starwood Preferred Guest must do is adhere to their own T&C.



Directing hotels to act in contravention to the T&C is actionable.



This is bad. Very bad. And the fact that Starwood is considering the implications of watering down its upgrade benefit is a huge red flag. That’s the one thing — and really, the only thing — which sets its top-tier elite status apart from Marriott and Hilton.



Furthermore, Starwood across the board has built a significant reputation over time as a company you can trust that does the right tihng. Quietly developing a program to have hotels ignore its own T&C is disingenous, dishonest, and undermining of that trust.

Fortunately, things may not be so bad.

Starwood Lurker has provided an update to Flyertalk, and it’s encouraging:

[I]t turns out that this was an [Europe Asia Middle East] Six Sigma project directed at managing premium room availability. It was not a pilot started by SPG to roll out to the rest of the world as a change in member benefits. The folks in charge of it are now aware that it does not match well with SPG Terms and Conditions of Membership regarding Platinum complimentary upgrade benefits. I’m waiting to hear how that will be rectified. If someone lets me know, then I’ll be glad to tell you as well.

A colleague just pointed out to me

On Wednesday at two minutes and three seconds after 1:00 in the morning (AM), and the afternoon (PM), the time and date will be 01:02:03 04/05/06.

Hyatt sometimes offers suite upgrades to Diamond members, as does Hilton, but neither program offers it as a published benefit. Marriott used to offer their Platinums an upgrade to the best available room at checkin including suites but now suites are explicitly no longer a part of the upgrade benefit.

Technically, Intercontinental’s Royal Ambassador status (which doesn’t have explicit qualification criteria but that you can get by learning the secret handshake or being referred by an existing Royal Ambassador, the latter method being how I got mine) does offer upgrades to an Executive Rooms or Suites which in practice varies from hotel to hotel (but which I’ve found to be quite generous if inconsistent).

But among major loyalty program top-tier status levels, only Starwood Platinum offers an upgrade to the best available room at check-in including standard suites. It doesn’t matter what room-type you’re booked into (well, as long as you don’t book on certain websites, but that’s a different story) — once you are in the hotel you’re their guest and you should get a suite if they have one available to give you.

Sure, there’s fine print about multi-bedroom suites and Presidential suites, but putting the offer of a suite into the program’s terms and conditions is a big deal.

But this industry-leading benefit may be in jeopardy.

Apparently there’s a test program where certain hotels, it looks like a handful in Europe, are not required to upgrade Platinum members more than a single category of room. This program was first reported on Flyertalk.com this past Friday, though in confirming the existence of the pilot program Starwood’s representative says it has been in place for two years.

There’s no indication of how widespread the program is, how actively monitored it is, or whether it’s likely to be rolled out across the brand or any particular division. But the existence of a pilot project that exempts hotels from upgrading Starwood Platinums notwithstanding the program’s own terms and conditions is troublesome to say the least.

Starwood is considering curtailing its upgrade benefit. And that’s a watershed.

Starwood’s The Lobby is justifiably beaming with pride over a Fortune magazine piece which declares its co-branded American Express card the best rewards card. Indeed, it is.

Two thoughts occur to me, however.

First, how come they don’t kvell just as much when I endorse their card as best?

Second, the Fortune writer doesn’t seem to know that Diners Club no longer offers two billing cycles to pay. Doesn’t make me the better expert? And more of a reason to kvell over my endorsement? Heh.

Oh well, as long as people carry the card then I suppose my work is done.