Rumor:Award nights/C+P count as eligible stay effective Oct 1st(a promotion, not permanent benefit)

Discussion in 'Starwood | Preferred Guest' started by troyliu, Sep 24, 2011.

  1. hotelsallover Silver Member

    So what is the maths? Tell me how the number of plats looking for an upgrade at any one hotel on any one day will increase?
    • Original Member

    Toula Gold Member

    I've been reading the thread at TOBB and it seems like current platinums are seriously worried about the possible inundation of new platinums competing for suite upgrades. There is talk that for 37,500 one could qualify as a Platinum.

    As a non-status member I would say there is no way I would burn 37k of points to get status. For those of us at the lower end being able to redeem those points for somewhere we actually want to stay is of much more use than trying to get status. Personally I do not have the financial status that is going to see me charging hundreds of thousands of dollars to my Starwood AMEX in a year, so even if I directed all my spend to that card I am not going to have a serious impact on current Platinums.
    Quasiconvexity likes this.
    • Original Member

    gleff Co-founder

    At some margin it'll matter. But I've got to think that they're looking at their elite #s and there may be some shrinkage due to the economy, I wouldn't be surprised if the modeling predicts that this just helps them stay even, it's an alternative to a double stay promo. I don't know this is right, but seems plausible..
    canucklehead, Toula, SC Flier and 2 others like this.
    • Original Member

    Quasiconvexity Silver Member

    I would agree - the change in the number of elites is probably not going to be that dramatic. I do wonder if this will lead to a change in award availability though, particularly Cash & Points availability. If people who used to go in for revenue stays now prefer booking C&P stays, that might end up reducing availability of those awards.
    canucklehead and Toula like this.
    • Original Member

    gleff Co-founder

    If it isn't generating incremental stays, then it shouldn't affect cash and points availability. If it led to switching from revenue to cash and points you have the same number of rooms taken at the hotel. And generally speaking, hotels offer cash and points when they do not expect to be full. WIthout generating additional room nights, there'd be no affect on how full a hotel is. So would expect to change to cash and points availability.

    See, a regular award night, hotels are reimbursed at a discounted rate by SPG except when occupancy exceeds 90% in which case the hotel gets its average daily room rate.

    With cash and points, the hotel is getting the same discounted rate more or less. But they don't get the extra payment for exceeding 90% occupancy.

    So a hotel really doesn't care if you're on cash and points vs. a regular award when occupancy is below 90%, they get the same payment either way.

    But they don't want to offer cash & points when the property is full.

    If a property doesn't become more full as a result of the change, then their incentive to offer cash and points doesn't change.

    In reality, not every hotel proactively offers the option,it doesn't work in practice with every hotel every time the way it should work in theory. But to a 95% approximation this is how I'd expect things to go.
    • Original Member

    avflyer Silver Member

    I don't think "inundation" is a word I would use....I agree with Mr. Gleff that it will have some marginal effect. To what degree I don't know. I will submit to the views of the great minds on this board.
    • Original Member

    Toula Gold Member

    It will be interesting to see how it plays out. If those that are currently Platinum can keep us informed as to if there is a difference in their successful upgrades that should be some indication as to the true effect.
  2. flyer_o Gold Member

    I wonder if C+P nights count toward a platinum match. I haven't seen that question answered on TOBB or MP.
    • Original Member

    aussieflyer Silver Member

    I believe Starwood Lurker posted that only paid stays will count for the challenge?
    flyer_o likes this.
  3. flyer_o Gold Member

    Thanks, hadn't seen that.
    • Original Member

    aussieflyer Silver Member

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