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Old Jul 23, 2013, 10:30 am
  #29  
iflyjetz
 
Join Date: Jul 2001
Programs: Marriott LT Tit; Hyatt Explorist; Hilton CC Gold; IHG CC Plt; Hertz (MR) 5 star
Posts: 5,536
Originally Posted by SMK77
Hyatt has different propositions to attract different customers. The Achilles heal is that all brands are using one reward system. IMHO Hyatt House and Hyatt Place should not be part of Gold Passport.
... which is the exact same model as Marriott, Hilton, and Starwood. One single loyalty rewards program for the entire spectrum of your products.

What you are suggesting is that Hyatt morph into a Four Seasons/Mandarin Oriental/Fairmont model, where it is strictly luxury hotels. Luxury hotels are a niche market. If your desire is to grow a hotel chain, you have to offer rooms at multiple price points.
Since you brought up airline loyalty programs, please note that there have been no all business/first class airlines that have survived. It has been critical to also offer coach/steerage seats in order to stay in business. Hotel chains have been more fortunate in that respect but a Four Seasons/Mandarin/Fairmont hotel chain will never be able to grow to a large footprint, and as a result, will not appeal to the vast majority of business travelers.

Step back and think about Hyatt from management's point of view. They're looking for maximum earnings and revenue. In order to achieve that, they must offer products across the full spectrum.
There is a big advantage of offering a full range of price points. It allows you to capture a bottom rung customer and retain his loyalty as he progresses through life and is able to increase his hotel spending. That's certainly true for me; I no longer like to stay at budget hotels. I try to only book rooms at higher end properties. Years ago, I favored price over comfort.

Originally Posted by OsakaWino
large number of personal attacks on the OP in this thread
I hope that neither SMK77 nor you saw my posts as personal attacks. They were not intended to be personal attacks and my sincere apologies if anyone read them that way.
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