I applaud the initiative from SPG.
Here are my $0.02.
For unique awards such as tickets and events, I would recommend that the awards be set at a certain point level rather than an auction. I know this sounds very anti-capitalist, or perhaps even communist in nature. However, I think the intent should be to reward SPG members with unique opportunities. Members that are "active" in the program and closely follow initiatives and new ventures. The reward could be given on a "first come, first serve basis". I believe this has been done in the past (e.g. hockey tickets).
An auction will allow "prices" to rise to levels that many cannot afford - think Manhatten hotels or real estate.
After all, is the purpose to generate "revenue" or to reward customers for their loyalty? Which avenue would please more people? After all, we all know that you can't please everyone, everytime.
Please, be kind. I know the SPG point "heavy-weights" will be swinging.
My $0.02 are spent.