MSPeconomist

What about inflation? Even after a couple years, a $100 gift card is worth less, maybe $75-85 at current USA inflation rates.

Kacee

It's simply wrong to say that people who choose the points "don't understand the math." I understand the math perfectly, I just don't agree with the conclusions that are being drawn based exclusively on a mathematical analysis and, in particular, the notion that a purely mathematical analysis necessarily yields the only valid result.

This reminds me of working with engineers. Great with details, but they tend to get lost in them, and often can't appreciate the big picture.

craigthemif

I rather prefer travelling on airplanes and bridges designed and built by detail-oriented engineers, rather than those built by "big picture" people.

But besides that, I am simply saying that people are free to make whatever choice they prefer - and since Hyatt saves so much more money by people choosing points I'm perfectly happy for them to do so - but they shouldn't try to justify their choice with clearly incorrect calculations. And even worse, to bash the people who lay out the correct calculations.

During a double point promo with Globalist status, your choices are 3,850 net points or $100 - make your own choice...

Seagull689

.. or $100/3850 = 2.60 cents per point break even

Kacee

Actually, what you said was:
I chose the gift card last year. Not sure what I'll do this year. But I feel no need to belittle people who choose the points. First, there are valid reasons to make that choice. Second, well never mind ;-)

Dr Jabadski

FWIW, since this is basically an open election (and clearly a matter of preference with close to a 50/50 vote), I choose the 5K points. Debatably leaving a few $ or points on the table but less aggravation, I consider Hyatt points to be relatively moderately tough to obtain, additional 400 points by using a Hyatt credit card (4x Hyatt spend) instead of the GC, and I believe that Hyatt points can easily be leveraged to more than 2 cents each.

(My last few redemptions were for point values of 2-4 cents each. Hyatt Place Park City last ski season 15K vs $350-400, Grand Hyatt Vail twice last ski season 25-29K vs $650-$1100. Looking toward next ski season HPPC currently showing some dates 15-18K vs $550-650.)

Presumes knowledge of exactly how Hyatt “pays” for a points award stay which we’ve not previously seen fully rationally clearly explained. Is it just a matter of Hyatt “writing off” the lost $ revenue from a points award stay and/or relative probability of breakage and/or points never being redeemed or something more complex? Please expound upon that information.

Seagull689

And no one here knows how many people are actually hitting the milestone to make this decision. Only Hyatt knows, and surely has already accounted for the liability.

my guess is the number of people actually hitting the 40 night milestone is a relatively small percentage of their actual WOH member base.

Dr Jabadski

Agreed. Probably regardless of how exactly Hyatt calculates the liability.

Absolutely. One thing there’s (here at FT) near universal agreement about is that we (here at FT) are probably a very small percentage of any loyalty program’s total membership number(s), probably not even a proverbial blip on the radar. That’s not a bad thing, hopefully we all (here at FT) contribute to our (here at FT) being able to leverage these programs to our (here at FT) best advantage.

As one datapoint, 100 people have voted in the poll at the top of this thread, 16 million people (in 2019) are WOH members.

Seagull689

another data point: I didn’t vote in the poll because I think it’s pointless. The debate in this thread is not, however.

kklems

Just passed 40 nights and should be able to select my 40 night award soon. In my mind the 5000 points would be potentially the most valuable if used for a good redemption but is there a case to elect the $100 gift card or $150 Find credit?

coleslaw

There are a few threads on this topic.

As you mention the 5000 points vs $100 gift card depends on how you would redeem the 5000 points.

For me, I always choose the $100 gift card.

59Impala

there is a master thread on the milestones: Milestone Rewards - FlyerTalk Forums
contrary to coleslaw I always chose the 5k points

Dr Jabadski

There’s long standing debate, here at FT and elsewhere, regarding 5000 points vs $100 gift card and their comparative relative values, with a paucity of advocates of the $150 Find credit. The most significant points (no pun intended ) on each side (of the points/GC debate) are occasional challenges redeeming the GC and the ease and convenience of the 5K points. There's no wrong answer, any of the choices are a nice (small) gift from Hyatt, do whatever you think works best for you in all regards.

(Personally, as a proud and avowed miles and points monger* addict, my decision is a no-brainer .)

(* I use “monger” in the “collector” sense of the word without any derogatory implications. “Peddlers (especially fish merchants) have been called mongers for more than 1000 years. The term traces to a Latin noun meaning "trader." Initially, it was an honorable term, but every profession has its bad apples, and the snake-oil salesmen of the bunch gave monger a bad reputation. By the middle of the 16th century, the term often implied that a merchant was dishonorable and contemptible. Nowadays, monger is typically appended to another word to identify a trader of a particular type. Some combinations (such as fishmonger) suggest respectable commerce, whereas others (such as rumormonger, scandalmonger, and hypemonger) imply that a person is trading or spreading information in a careless or deceptive manner.”)

Matt4200

It seems illogical to select the 5k points given that the other (2) options are $100 Hyatt Gift Card or $150 FIND Experience credit.

The reason being is the Gift Card also earns points. So $100 spend even with no promotion would net you 650 points. Meaning it’s really only the option between 4,350 points and and $100 Gift Card.

Because US laws state gift cards can never expire it makes it the obvious choice as you could use it even 1 year, 5 years or 10 years from now.

At some point even if it’s not in the next few months you will dine at a Hyatt restaurant or use some service for which the gift card can be applied.

I can semi regularly buy points from Hyatt for roughly 1.7 cents per point meaning I could buy the 4,350 Hyatt points for $74. Meaning there’s a $26 difference in value on the base level, if there’s a promo like the current Europe/Asia one with 2x points it’s a much larger gap in value.

lkar

If you spend $100 at a Hyatt, you earn the points whether you use the gift card or cash. I suppose if you use the gift card to spend $100 at a Hyatt that you never would have spent before, and never spend at another Hyatt, you could theoretically say the gift card is worth $100 plus 650 points, but even then it is a fallacy.

Most of us use the gift card to reduce a charge for which we would have used a Hyatt credit card by $100. Either way, you earn the 650 points on the spend, so the gift certificate is worth exactly $100. (And in fact, you lose the credit card points.)