US Airways tried to take away the bonus miles from their elite flyers last year--and persisted with the strategy for several months.

They then reversed course, saying it had nothing to do with reduced business (!!!).

If we as very frequent travelers commit to taking our business elsewhere and actually do so, perhaps the geniuses at Hilton will recognize that they went just too far treating loyal customers like commodities.

I have yet to hear a sound rationale for the devaluation. Did I miss something?

Thanks for the math and flyertalk netiquette NJUPINTHEAIR. The thread is about HHONORS program devaluation and taking business elsewhere and I shared my position.

And since we're sharing here's a tip for you: Companies being public doesn't negate where their profits or lobbying efforts go. I chose not to do business with companies where those profits can be used against my self interests or moral beliefs.

If you find my response to be gratuitous you are welcome not to read it.

Yes, plus we can book up to Jan 10th advance stay, so we can burn excess points and prevent them to be degraded. Those who will feel the sting the most are those whose point balance after Jan 10th exceed 200 kpoints, since the free night won't compensate their past effort to stay loyal to hilton.

I for one praise Hilton for trying not to screw a part of their customers over this. I criticize them for their appalling communication about the free night, and for the ones with millions of points in their account, but I can't complain, since I am not in this situation.

However, adequate compensation regarding points accrued in the past will do nothing with regard to my purchasing behaviour in the future: I will reassess the new version of the program (price of awards I seek in my currency, number of points needed, number of points I can accrue with my spending pattern) and compare them with other programs. I don't know if they will come on top, but I must confess than without the free night, I'd probably have switched out of dissatisfaction. The free night didn't succeed in keeping me as a customer, it succeeded in making me not actively avoiding Hilton. Let's see what SPG has to offer now...

I see several reasons and most of these are self explanatory for me: (a) Hotel rates went up during the last few years, more points were issued but point rates were kept the same. Therefore the increase of point rates is a logical consequence, I would not have been surprised if point rates in the past had increased following the general inflation rate. (b) The Dollar (and points are a Dollar equivalant) lost more and more of its value. The prices for international properties went high up but the point rates were kept stable. Again, the increase is a logical consequence. (c) They overdid the Credit Card nonsense and inflated the number of points available for cheap money. To compensate for this prices will go up.

(a) is a general consequence of inflation, (b) is US government missmanagement and (c) is Hilton missmanagement.

Here's Hilton's answer, it's in corporate speak, and pretty much what one would expect:

Hello Mr. Jailer,

Thank you for your message to Hilton Reservations and Customer Care. It is my pleasure to assist you today with your concerns regarding the new redemption levels.

First, let me say that we can completely understand your level of frustration given the current economical environment that everyone is facing and apologize for the timing of this change. Moreover, let me assure you it was not our intent to raise point costs at this time in response to economic pressures as relative to the Hilton HHonors program.

Although Hilton HHonors has not raised reward costs since June 2003, we have been committed to offering various opportunities to earn even more points through the Points/Points earning style, as well as earning opportunities through our co-branded credit cards, car rental, and shopping/dining partners. As such and in order to continue to remain competitive, the decision was made to increase the cost of hotel rewards without taking away the earnings opportunities currently in place.

Hilton HHonors is committed to continuing to grow our program and benefits to all of our most loyal customers and in order to do so, we have to manage how the program is structured accordingly. We sincerely hope that you can understand our position regarding this change.

We appreciate you contacting us with your concerns and thank you for your continued loyalty!

We appreciate this opportunity to assist you and thank you for your continued loyalty! If you have any further questions regarding your Hilton HHonors Diamond VIP account, please let us know.

For immediate assistance, please click on the link below for the contact number of the HHonors Service Center nearest you:

Hilton corporate says:

This is another way of saying we have to negate the value of the extra points earned through credit cards, dining, etc. The whole exercise has become a charade: earn "even more points," then move the goal posts so more points = same points.

Why not step off the point inflation treadmill by giving up "printing more money" / handing out more points?

In other news... on the heels of all this terrible HHonors news... I got an email this morning from these guys offering me a 30-day complementary subscription to USA Today online "as our way to thank you" for being a valued Hilton HHonors member.

I don't know whether to be amused or insulted. I've never thought less of this program.

For me it's time to take a different shuttle bus. It was good while it lasted Hilton. I've been Diamond for over 10 years. Many with over 150 stays. In 08 I had 21 stays by the end of March and then broke my leg. I was in bed for 9 months. In Dec I got the "hey, you won't make Diamond e-mail" "stay just 5 times before dec 31" to keep status. Unfortunately, I was still unable to travel. In April 09 I called the Diamond Desk to explain the situation, and ask if they had some sort of challenge avail for me. No Dice, asked for a supervisor and was told "sorry you've been demoted to Gold" nothing I can do, since the new cards are in "process". Thanks Hilton. I promptly cancelled 18 stays I had booked. "supervisor knew this" For 2009 so far I have 1 paid stay at norita airport $89 and 1 priceline stay at the HHV $99 that I got a stay credit for.......Thats it. Now with this new devaluation, I probably won't stay at Hiton unless it's convienient for ME....and I'll probably priceline it BTW I just got a letter from my citi HHonors card, 29% for no reason So it's time to move on........where's the Hyatt shuttle I need a little SUITE to relax in

...and to deprive me of my civil rights.

+1 ^

Sob. Sob. Sob.

Poor Hilton has been giving customers more opportunities to earn HHONORS points than ever before, and now the corporation is suffering economic harship as a consequence of their kindness.

So that is the rationale for the devaluation.....

What a load of nonsense. Hilton gets paid $$$ by the banks, car rental companies etc. that purchase these points to dole out!

Bottom line--we as Hilton customers are going to be penalized because Hilton Corporation has been seeking out many more ways to bring $$$$ into the corporation.

Hilton is starting to sound line United, American, Delta and other similar mismanaged and nonmanaged entities.

No, it's more like currency mismanagement. Think of HHonors as the Federal Reserve. They've printed too much money. Too many cheap points chasing too little award inventory. To keep the value of the currency stable, they think they have to increase the "cost" of awards -- but this is what incompetent banana republics do with runaway inflation. It would have been far smarter to "print" fewer points in the first place. Now they're in a position where people are losing interest in the currency, which is worse.

I don't think points are "cheap" ??? If I get 20k points for spending $20k on my CC I still have to pay the $20k off. What's it get me??? enough points for one nite in a Hampton next to the truckstop in bumpuck, arkansas Whoo hoo

Dear PaulSF (and JonathanIT) --

Your comment was gratuitous and my deduction obviously was sound. Thanks for the confirmation. ^

With respect to your decision to take your business elsewhere because of what you perceive to be not in your self-interest, that is entirely your concern and you have a right to do so.

However, as you noted above:

but, I believe you did more than just "share your position." Moreover, you are still incorrect with respect to Marriott and its lobbying efforts.

By the way, contrary to your mistaken belief that Mariott is hostile to gay couples, please be advised that Marriott extends benefits to same sex couples.

http://money.cnn.com/magazines/fortu...pshots/78.html

So, I ask you this. Who in acutality is acting in an ill-informed and reflexive manner?

I hope that you find my response illuminating as it is not gratuitous, just enlightening.

Or�like any debtor, Hilton wants to pay current obligations with future inflated currency. And, if, as I believe is required, Hilton shows outstanding points on their balance sheet, then Blackstone has reduced their liability considerably�maybe easing the path for a sale.

More like between 60k and 120K if it's a Surpass, but point taken.

I agree with the above poster do not let Flyertalk speak alone
Absolutely explain to a manager at the Hilton call center or Hilton Guest Assistance (ask to be transeferred) and get a case number!Posting here will not officially get your voice heard.
Only with your account number attached will it really register with the folks at corporate!

This will be the first year I will not try to requalify for Diamond.
That is not to say I will stop staying at Hilton HHonor properties but will reduce my business by an expected 75% in 2010.The value proposistion is way out of wack IMO
Once the 20 to 25% devaluation of my remaining one million points occurs it will really sink in what the Hilton folks have effectively removed from my account
That which I have earned for the last year or two in the way of HH points.