Why do hotel chains tie loyalty program earning rates to spending rather than the number of nights stayed?
76% Your Mileage May Vary
18% Live and Let's Fly
6% Other
Hotel chains have shifted their loyalty programs to reward dollars rather than nights because they want to align points with revenue and protect the value of their loyalty currencies.
Why earnings are tied to spend
- Points are now earned based on the amount you spend, not the number of nights, so that guests who book premium rooms or use co‑branded credit cards generate more revenue for the brand. 🔗
- By linking earnings to spend, hotels can better manage the liability of outstanding points; the more revenue a guest contributes, the more points they receive, helping keep the liability‑to‑revenue ratio healthy. 🔗
- This spend‑based model supports the industry’s broader strategy of devaluing points over time, as higher‑spending guests are less affected by reductions in point value. 🔗
- Rewarding dollars rather than nights also encourages direct bookings, since third‑party portals often strip away points and elite perks, pushing travelers toward higher‑margin, brand‑owned channels.🔗
Your Mileage May Vary 76%
Do Loyalty Programs Still Reward Loyalty?
When you hear the term loyalty program, what do you think of? Most people imagine a system that rewards you for being a loyal customer — which makes sense, since that’s literally what the word means. Loyal: faithful to a cause, ideal, custom, institution, or product (Merriam-Webster) But let’s be honest: do programs really reward us for being loyal anymore? If they did, they’d reward us for the times we consistently choose the same airline, hotel, or even a coffee chain — even when it’s not the cheapest or most convenient. But in 2025, loyalty
Live and Let's Fly 18%
2026: $11B+ in Hotel Points Outstanding, Why Devaluations Are Inevitable
Major hotel chains disclose more than $11bn in outstanding points liability. The chains want those points to devalue. You want them to hold value. Guess who’s winning. Marriott’s most recent annual report lists roughly $3.99 billion in deferred revenue tied to Bonvoy’s outstanding points liability. Hilton’s figure is approximately $2.91 billion. Wyndham Rewards sits at around $1.5 billion. The other major chains, IHG, Hyatt, Choice, Accor, add several billion more. Total unredeemed hotel points across the big public chains run north of $11 billion and the number grows every quarter. This is what your loyalty looks like on
Live from a Lounge 6%
Marriott’s First Global Promotion of 2026: Earn 2,500 Bonus Points + 1 Elite Night Credit per Brand
Every year, Marriott encourages you to build status with them through a first-quarter promotion that rewards you with double elite nights (2024 and 2025). The hope is that you will be sufficiently entrenched in the system to stay with them more and more throughout the year. This year, the promotion is back, but with a twist. Marriott Bonvoy has just launched its first global loyalty promotion of the year, and it’s a way to boost your points and elite night credits across the world. Unlike some past promotions tied only to specific regions or brands, this offer is valid