I get bored in the same hotel night after night, so I tend to hop around a little bit.
Many places you can get more than the 1k/night credit. RC closings @ 2500. Various stay bonuses for quarterly volume @ 1000-1500. Etc.
Its not uncommon for my stays to be 2-5k points per night (200/night hotel rooms) without even counting the standard Summer/Winter bonuses.
Of course, to each his/her own.
Edit: many hotel chains do their top XX% customers based upon stays as well - for what its worth this can add additional benefits when you stay at particular hotels.