FlyerTalk Forums - View Single Post - Hyatt introduces Off-Peak, Standard and Peak awards (26 Oct 2021)
Old Oct 14, 2021, 10:08 am
  #324  
GUWonder
Suspended
 
Join Date: Jul 2001
Location: Watchlisted by the prejudiced, en route to purgatory
Programs: Just Say No to Fleecing and Blacklisting
Posts: 102,103
I wouldn’t be surprised if this new redemption scheme from Hyatt is aiming to reduce Hyatt’s cost per point redeemed by about 10-20% over even 2020.

And then going forward this same multi-pricing scheme within each hotel category will be used to drive even further devaluation of the points in customer accounts as and when hotel occupancy levels return to pre-pandemic levels.

My expectation is that by some point in 2023, on average this Hyatt change will amount to c. 30% reduction from the 2019 value that a Hyatt program member gets out of a point redeemed.

This new Hyatt redemption scheme is a sign to me that Hyatt points are no longer going to be the kind of good long term store of value that they had been. Between the coming devaluation(s) from this new redemption scheme and my loss of confidence in Hyatt points being a good long term store of value, my approach to Hyatt will be like my approach to Delta. What do I mean by that? Status matters (more than the points), and the service may be more consistent than with the others; but the points in the program are like smoke and mirrors in a way that isn’t as applicable to a cash back feature from a product/program that is more merchant brand neutral.
GUWonder is offline