Choice Bumps Hyatt From Best Hotel Program, New Study Says
Choice Privileges has knocked World of Hyatt out of the No. 1 ranking for best hotel rewards program, according to a new study released Wednesday.
The study by personal-finance website WalletHub compared the nine most popular hotel rewards programs based on 21 metrics, including point-earning and redemption polices and rewards value.
Choice Privileges, which finished 6th in WalletHub's study last year, captured the top ranking this year 'by delivering unmatched value for travelers,' says Chip Lupo, WalletHub's writer and analyst. 'The most significant driver was its massive increase in rewards value, rising from $10.87 to as much as $14.49 per $100 spent. That's the best return of any major hotel loyalty program this year.'
Choice Hotels International has 22 hotel brands and franchises more than 7,400 hotels with nearly 570,000 rooms in more than 40 countries and territories. Its brands include Radisson, Comfort, Cambria, Quality Inn, Ascend, EconoLodge and Clarion.
Other factors that contributed to the No. 1 ranking of Choice Privileges were improved earning policies and membership perks, Lupo says.
'While some limitations remain, such as uneven award night availability and volatile redemption rates, Choice's strategic focus on maximizing member value clearly paid off,' he says.
The World of Hyatt rewards program didn't drop far in WalletHub's ranking, falling to No. 2
Hyatt's World of Hyatt rewards program ranks No. 2, according to a new study. (Photographer: Michaela Nagyidaiova/Bloomberg)
'The slight drop can be attributed to a few key changes in performance metrics, particularly a noticeable decline in rewards value,' Lupo says. 'Hyatt's average rewards value fell from $12.68 to $11.65 per $100 spent year-over-year, which pushed it down to third place in that category.'
World of Hyatt, though, 'maintained strong scores in critical categories like redemption options, blackout policies and brand inclusivity,' Lupo says.
Other hotel rewards programs 'gained ground by offering wider geographic coverage and better perks for moderate and light travelers—areas where Hyatt continues to trail,' Lupo says. 'While Hyatt remains a top-tier program, the competition simply narrowed the gap and, in some cases, surpassed it in key categories.'
Besides the Choice and Hyatt programs, WalletHub evaluated Marriott Bonvoy, Wyndham Rewards, Hilton Honors, Sonesta Travel Pass, IHG One Rewards, Best Western Rewards and Drury Rewards.
Best Western Rewards is the only program in which points do not expire because of inactivity. Six of the nine programs allow point redemptions at all of their hotels, according to the WalletHub study. Marriott Bonvoy, Hilton Honors and IHG One Rewards are the exceptions.
'This is typically because of franchise agreements that let certain hotels opt out, especially in the luxury property segment where owners may be reluctant to accept points for high-value stays,' Lupo says. 'It's a reminder that not all loyalty points offer equal flexibility, so travelers should check the rewards program's rules carefully beforehand.'
What should travelers take away from the new WalletHub hotel program study?
'Travelers should definitely take these results as a useful guide but not as a one-size-fits-all approach,' Lupo says. 'Choice Privileges tops the list this year, because it offers the highest rewards value across light, moderate and heavy travelers. However, loyalty programs vary a lot, depending on your travel habits, preferred locations and budget.'
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