Starwood Ups The Ante For Frequency Programs
<B> Starwood Ups The Ante For Frequency Programs</B>
In a change that clearly affected the rankings of some hotels, this year's Top U.S. Hotel Chain Survey for the first time did not include a ranking of frequent guest programs, as many travel and meeting planners told Business Travel News that they do not consider the quality of a chain's frequency programs a criteria for choosing preferred hotel partners.
Indeed, many travel managers see these programs as the prime competition to corporate hotel programs, using free room- nights and other gifts to woo travelers out of policy.
"We aren't concerned about frequent guest programs at all," said hotel program coordinator Dorothy Arden at Aetna Business Resources. "That's purely for the traveler to choose, and we're not going to be involved with it. I think travelers see points as a bonus. It's a gift, and they have to take care of it themselves."
Still, many smaller companies and those without managed travel programs see frequency points as a compensation to road warriors and meeting planners for efforts beyond the 9-to-5 norm.
Bonus to travelers or bane to the existence of their travel managers, frequency programs are a fact of life--and a basic form of currency--on the road.
The newest entry in the loyalty marathon is from Starwood Hotels & Resorts, of White Plains, N.Y., which this month launched the Starwood Preferred Guest Program, spanning all seven hotel brands under its umbrella.
The program ups the ante by offering no blackout dates for program redemption, online booking capability and a wide range of rewards.
Company officials acknowledge that other brands can and do offer similar benefits in their programs, but believe the Starwood program's strength lies in its wide distribution platform of more than 550 hotels. "Every company could match this, but no one can match our asset base," said Starwood president Barry Sternlicht.
In Starwood's new program, guests receive two points for every dollar spent, with a 1:1 ratio for conversion of airline miles to points. Meeting buyers can retain these points and use them for future programs at other Starwood hotels, said Fred Kleisner, president and COO of the Hotel Group in the Americas.
Marriott International, widely known among business travelers for its popular program, also has a multibranded offering, with 10 points for every dollar spent. About 1,500 Marriott hotels worldwide participate in the program.
Hilton Hotels Corp. has more than 400 hotels participating in its program. It allows guests to earn both HHonors points and airline mileage with each business-rate stay.
Bass Hotels & Resorts increased its Priority Club Worldwide membership to seven million members after the acquisition of Inter-Continental Hotels & Resorts. Effective immediately, Priority Club Worldwide members can redeem their points at Inter-Continental Hotels & Resorts, and effective April 1, members can earn points for stays at that brand.