Cost of 10,000 MR points to a hotel
May 26, 2012, 9:29 am
#31
Join Date: Nov 2007
Location: PHX
Posts: 4,787
Probably around $50 or so, if it's two round trips. Interesting question whether 10k points is of a lesser cost.
May 26, 2012, 12:19 pm
#32
Moderator, Marriott Bonvoy & FlyerTalk Evangelist
Join Date: Oct 2002
Location: McKinney, TX, USA
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I couldn't care less what the points cost the hotel. I'm much more interested in what the issue would cost me (in the OP's case it was the inconvenience of having to find a different way to work/hotel every day) and what I could use the points for.
May 26, 2012, 9:32 pm
#33
Join Date: Oct 2008
Posts: 187
You should have gotten 5,000 points, probably less, inasmuch as your co-worker(s) gave you lifts to/from your office.
The fact that your corporate rate once included transportation but now apparently does not, was something for your office to take up with the manager, not you. In fact, if you were really looking out for the company that employs you and apparently has an agreement with the hotel to lodge many of its workers at this hotel with the prior understanding of transportation to/from its office, you should have notified them of this apparent change in their agreement with the hotel. Inasmuch as you apparently did not and instead pocketed the shortfall without passing on this information, actually speaks volumes.
The fact that your corporate rate once included transportation but now apparently does not, was something for your office to take up with the manager, not you. In fact, if you were really looking out for the company that employs you and apparently has an agreement with the hotel to lodge many of its workers at this hotel with the prior understanding of transportation to/from its office, you should have notified them of this apparent change in their agreement with the hotel. Inasmuch as you apparently did not and instead pocketed the shortfall without passing on this information, actually speaks volumes.
May 27, 2012, 7:02 am
#34
Join Date: Jul 2009
Location: USA
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I am curious what the hotel gets in payment from Marriott for a reward stay that costs 10K per night. I am sure it is more than what the hotel pays to buy the points.
May 27, 2012, 8:55 am
#35
Join Date: Sep 2002
Location: ATL
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MR is a profit center for Marriott. MR is a marketing tool that encourages frequent guests to stay a a Marriott brand so the properties pay for the privilege.I have seen (on several occasions) the rate MR reimbursed my award stay (the property accidentally gave me the wrong bill) and it was usually a pittance ($12-$35, depending on the category of the property). I have also been accidentally privvy to what some properties pay for their points and, while I am not bound by a non-disclosure, I won't say exactly what the amout was but think in the lower single-dollar amount per thousand.
May 27, 2012, 5:46 pm
#36
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Posts: 8,720
I think you read way too much into my original posting. I didn't mention the steps I took to ensure that other employees staying at this hotel in the future will not be impacted by this issue since my posting was about a different question, but I can assure you that I took such steps.
I hope your company will think twice before contracting with this property again.
However, although I likely will never be in the vicinity to stay at this property, inasmuch as they likely breached the terms of their contract with your employer, and they told you a good yarn about the cost of the points, I think it would be quite helpful to your breatheren here to name that property, as its business practices do not seem to be in accord with what we here come to expect from an innkeeper. Consequently, one should not necessarily rely upon any statements that they make to one of us, and therefore, your disclosure of their name could very well help prevent an unwary FTer from getting hosed in the future.
May 28, 2012, 10:42 am
#37
Join Date: Jun 2007
Location: LAX
Programs: Thai silver(expired), Eva Gold(expired), SPG Gold (expired), MR gold, AA Exp 1MM, UA platinum.
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MR should pay for the Taxi
So personally, the hotel could have offered to abide by the reservation and provide the transportation (they could call a taxi, rent a car for the OP, have one of the employees or even the GM drive/pick-up the OP for the stay, their choice.)
And to answer the OP's question, I doubt very seriously the hotel actually would have to pay $175 for 10K points. I would guess it would be significantly less.
And to answer the OP's question, I doubt very seriously the hotel actually would have to pay $175 for 10K points. I would guess it would be significantly less.
May 29, 2012, 9:58 am
#38
Join Date: Apr 2011
Location: BOS
Programs: Marriott, AAdvantage, United, Club Carlson
Posts: 1,687
Here is a question
No directly related to your say, but a cost-per-point question:
How do Marriott's get reimbursed for award stays? i.e I spend 40,000 points for one night at Times Sq. Marquis, what does the hotel receive from corporate?
How do Marriott's get reimbursed for award stays? i.e I spend 40,000 points for one night at Times Sq. Marquis, what does the hotel receive from corporate?
May 29, 2012, 5:22 pm
#39
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unfortunately this is confidential information and I can't say much about it other than it's very similar to what Starwood, Hyatt and Hilton all use (and before someone goes on to say it depends on the number of points used to stay that is not correct, points have no direct impact on the reimbursement to a hotel)
May 29, 2012, 5:37 pm
#40
Join Date: Nov 2007
Location: PHX
Posts: 4,787
Someone posted in one of these forums at some point that the compensation paid to the hotel is higher if the hotel is sold out. Can't even remember what forum that was. Sort of makes sense.
May 30, 2012, 3:14 pm
#41
Join Date: Apr 2011
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unfortunately this is confidential information and I can't say much about it other than it's very similar to what Starwood, Hyatt and Hilton all use (and before someone goes on to say it depends on the number of points used to stay that is not correct, points have no direct impact on the reimbursement to a hotel)
May 30, 2012, 5:08 pm
#42
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Jun 1, 2012, 2:22 am
#43
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Not sure what they use, but I have stayed at a pretty decently booked Cat. 3 Residence Inn recently (which is one of the few corporate owned ones) on a Cat 1-4 cert and they put the price on the folio for reward night together with the price for the remaining nights as well. That hotel got a reimbursment of $15 plus tax for the night (which would cost 15000 points)...
That said, I have a hard time believing that the price hotels pay is anywhere near 1ct per point. We had a major issue during that reward-night, and instead of just returning the Cert to our account we were offered a 15K reimbursment so the rewards night would be free. Given that our following paid nights were just in the low 90s, offering one of those to be complimentary instead of the points would have made a lot more sense if points had a value of more that 0.6ct per point...
My guess they are more in the range of 0.20ct-0.50ct per point, or $20-$50 for 10K points, pretty much echoing BKKLEE's statement. Given Socrates' answer .30ct per point is not the right value, but I am pretty sure it's within the mentioned corridor.
Greetings - Dirk
That said, I have a hard time believing that the price hotels pay is anywhere near 1ct per point. We had a major issue during that reward-night, and instead of just returning the Cert to our account we were offered a 15K reimbursment so the rewards night would be free. Given that our following paid nights were just in the low 90s, offering one of those to be complimentary instead of the points would have made a lot more sense if points had a value of more that 0.6ct per point...
My guess they are more in the range of 0.20ct-0.50ct per point, or $20-$50 for 10K points, pretty much echoing BKKLEE's statement. Given Socrates' answer .30ct per point is not the right value, but I am pretty sure it's within the mentioned corridor.
Greetings - Dirk
Jun 1, 2012, 10:57 am
#44
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Jun 1, 2012, 10:59 am
#45
FlyerTalk Evangelist
Join Date: Jul 2001
Location: Some place in this wonderful world (usually at 39,000 ft in seat 1C)
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Posts: 13,747
Not sure what they use, but I have stayed at a pretty decently booked Cat. 3 Residence Inn recently (which is one of the few corporate owned ones) on a Cat 1-4 cert and they put the price on the folio for reward night together with the price for the remaining nights as well. That hotel got a reimbursment of $15 plus tax for the night (which would cost 15000 points)...
That said, I have a hard time believing that the price hotels pay is anywhere near 1ct per point. We had a major issue during that reward-night, and instead of just returning the Cert to our account we were offered a 15K reimbursment so the rewards night would be free. Given that our following paid nights were just in the low 90s, offering one of those to be complimentary instead of the points would have made a lot more sense if points had a value of more that 0.6ct per point...
My guess they are more in the range of 0.20ct-0.50ct per point, or $20-$50 for 10K points, pretty much echoing BKKLEE's statement. Given Socrates' answer .30ct per point is not the right value, but I am pretty sure it's within the mentioned corridor.
Greetings - Dirk
That said, I have a hard time believing that the price hotels pay is anywhere near 1ct per point. We had a major issue during that reward-night, and instead of just returning the Cert to our account we were offered a 15K reimbursment so the rewards night would be free. Given that our following paid nights were just in the low 90s, offering one of those to be complimentary instead of the points would have made a lot more sense if points had a value of more that 0.6ct per point...
My guess they are more in the range of 0.20ct-0.50ct per point, or $20-$50 for 10K points, pretty much echoing BKKLEE's statement. Given Socrates' answer .30ct per point is not the right value, but I am pretty sure it's within the mentioned corridor.
Greetings - Dirk
FYI a hotels published rate has nothing to do with the reimbursement amount, it's all about point demand/supply