FlyerTalk Forums - View Single Post - Hilton's new U.S. Hotels Daily Food & Beverage Credit for Elite members thru 2021
Old May 26, 2021, 8:13 am
  #253  
AAdamE
 
Join Date: Mar 2017
Location: Chicago
Programs: AAdvantage EXP | United Silver | HH Diamond | Bonvoy Platinum | Hyatt Explorist
Posts: 718
Originally Posted by PHLGovFlyer
The irony of this new scheme is that the hotels that it impacts the most are the ones where Hitlon's brand standards mandate that they operate a full service restaurant. These hotels have already paid for the restaurant space, the kitchen, furnishings, tableware, decoration, etc. Outside of COVID restrictions they still need to staff and operate their restaurant for breakfast anyway, so the marginal cost of offering free breakfast to elites is comparatively small. There's also a decent amount of "breakage" with a breakfast-only benefit because a lot of folks don't eat breakfast, or can expense it elsewhere at a place and time of their choosing. Now, under the new scheme, these hotels are obliged to offer a credit that can be used at any time, so those elites that don't eat or want the breakfast can now get drinks or part of dinner at the hotel's expense. If I owned a full service Hilton property in the US I'm not sure this new scheme would be a net positive for my bottom line.
It's all psychological - owners complain that their hotel is full of pesky elites and that their benefits hit their bottom line.
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