As a plat with 150+ nights over the last 2 years, I can remember three times I've gotten a legit upgrade. Twice was a CY where I got a suite. Once was at the Sprinthill Suite in Erie, PA where I got a whirlpool suite. I actually used the whirlpool, too....
Now this does not count the times I've been put in a corner room, or a room with a little nicer amentities (upgraded electronics, etc. vs. other rooms), etc.
Wait - actually I got a really nice suite at the Atlantic City golf resort whose name suddenly escapes me.....that was a mixed pay / points stay....