2017-03-07

Hotel elite status is a great way to make your travels more rewarding and less stressful. Each of the major chains offers a number of perks to loyal members, but just how much are the different tiers worth? Today I’ll kick off the 2017 revision of last year’s series that attempted to quantify the value from the elite status tiers of each of the major programs. My first subject: the brand new World of Hyatt program.

This year will be an interesting one for Hyatt loyalists, as March 1 marked the official transition from Hyatt Gold Passport to World of Hyatt. First announced back in October, the new program has a few key differences (aside from the name):

A move from two to three status levels

A shift in how you qualify (stays are no longer an option)

Unlimited suite upgrades for top-tier members

This analysis will focus solely on this new program and status levels, as the old ones are (sadly) a thing of the past.

Before getting deep into the numbers, it’s important to note that my analysis represents just one way to decide how much the World of Hyatt program is worth. You may find some benefits to be worthless, while you may peg others as much more valuable than I do. In addition, given Hyatt’s relatively limited worldwide footprint, the program may not even be a feasible option based on your typical travel patterns. Feel free to adjust my calculations based on your individual situation.

Like with my previous entries, the final dollar amounts at which I landed for each tier represent the value you’d get after reaching that status level and continuing to qualify each year thereafter. If you’re starting from scratch, you won’t enjoy any benefits until you reach Discoverist status. For readers in that position, I have included a spreadsheet toward the end of the post to give you an idea of how much value you can get during 2017, even if you’re starting with no Hyatt status.

This brings me to the key assumptions I am making for my analysis of the World of Hyatt program:

You complete 20% more nights than the minimum required for the given level.

You spend an average of $150 per night.

Your average stay is 2 nights.

Your stays are split evenly between full-service properties (like Andaz and Hyatt Regency) and limited-service properties (like Hyatt Place and Hyatt House).

As always, feel free to adjust these assumptions to fit more closely with your typical stay patterns.

Two final pieces of information: I’m basing the value of any bonus points earned on TPG’s most recent valuations, which pegged Hyatt points at 1.8 cents apiece. I’m also rounding the values to the nearest $5 to make the calculations a bit easier.

So how much value does the World of Hyatt program provide to its elite members? Here are the numbers I found:

Hyatt Discoverist ($150)

The lowest tier in the World of Hyatt program is Discoverist status, which is typically earned after 10 nights or 25,000 base points ($5,000 in spending). It’s also included as an automatic benefit on the Hyatt Credit Card. For this analysis, I’ll assume that you complete 6 stays covering 12 nights, split evenly between full-service and limited service Hyatt properties.

Bonus points ($15): Discoverist members will earn a 10% point bonus when staying at Hyatt properties, resulting in an additional 0.5 points per dollar spent. Given my assumptions above (12 nights at $150 per night), you’d spend a total of $1,800, earning you 900 extra Hyatt points, worth $16.20.

Upgrades to preferred rooms ($60): Another perk for Discoverist members is space-available upgrades to preferred rooms within the same category, including ones with a preferred view or location. Sine this is restricted to the same type of room initially booked and doesn’t apply to Hyatt Place or Hyatt House locations, I’ll assume a conservative value of $20 per stay at full-service properties.

Daily bottle of water ($5): You’ll also enjoy a complimentary bottle of water each day of your stay as a Discoverist member. Since you can find water fountains at virtually every hotel these days, I’ll peg this at just $1 per stay.

Complimentary premium internet ($10): Hyatt gives all guests complimentary internet, but Discoverist members can access premium internet for free. I’ve personally not seen a huge difference in speeds between the two, so I’ll keep this at a conservative $1 per night.

Late checkout ($25): Discoverist travelers will also enjoy a 2pm late checkout upon request, though it’s subject to availability at Hyatt resorts and not available at Hyatt Residence Club or M life resorts. As a result, I’ll peg this at $25.

Elite reservation line ($10): You can also call an elite reservation phone line as a Discoverist member, though I’ve rarely found a need to do so in my years of traveling, so I’ll assign just $10 of value.

Pearl status with M life Rewards ($25): Back in 2013, Hyatt launched a partnership with MGM Resorts, and part of this included reciprocal elite status. Under the new World of Hyatt program, Discoverist members will be able to earn Pearl status in the M life Rewards program. This gives you a number of benefits when staying at M life properties, including buffet line passes and complimentary self-parking. You could get a lot of value out of these benefits if you frequently visit Las Vegas (or other MGM locations), but I’ll keep this at just $25.

Hyatt Explorist ($800)

The second tier in the World of Hyatt program is Explorist status, which is typically earned after 30 nights or 50,000 base points ($10,000 in spending). You can also earn the status by spending $50,000 in a calendar year on the Hyatt Credit Card. For this analysis, I’ll assume that you complete 18 stays covering 36 nights, split evenly between full-service and limited service Hyatt properties.

Bonus points ($95): Explorist members will earn 20% more points than a regular member, resulting in an additional 1 point per dollar spent. With the above assumptions (36 nights at $150 per night), you’d spend a total of $5,400, earning you 5,400 extra Hyatt points, worth $97.20.

Four Club lounge access awards ($80): You’ll also earn four Club lounge access awards each year, valid for one year from the date of issuance and applicable to eligible room rates as well as free night awards. Depending on the property (and the length of your stay), this could be very valuable, as these lounges serve continental breakfast and evening hors d’oeuvres. However, they only apply to full-service properties with a lounge, so you can’t use them everywhere. I’ll assume a conservative valuation of $10 per night and assume that you use all four awards on four separate two-night stays.

Upgrade to best available room ($225): Unlike Discoverist members, Explorist travelers will be eligible for an upgrade to the best available room at check-in, excluding suites and rooms with lounge access. This is also not applicable at Hyatt Place, Hyatt House, Hyatt Residence Club and M life resorts. I’ll assume a valuation of $25 per stay at the full-service locations.

Daily bottle of water ($20): Same benefit, more frequent utilization.

Complimentary premium internet ($35): Same benefit, more frequent utilization.

Late checkout ($75): Same benefit, more frequent utilization.

Guaranteed availability ($20): Explorist members are guaranteed a room when making a paid reservation at least 72 hours prior to arrival. Like with the comparable benefits offered by other chains, Hyatt places a host of restrictions on this, including blackout dates and periods of “extraordinary room demand.” These rates also tend to be exorbitant, so I’ll peg this at just $20.

Elite reservation line ($25): Same benefit, more frequent utilization.

Gold status with M life Rewards ($75): Explorist members can match their Hyatt status to M life Gold status, adding a number of other perks (like room upgrades, VIP line access to nightclubs and complimentary valet parking in Las Vegas). This can be quite valuable for frequent visitors to Sin City, but I’ll keep it at a conservative $75.

Free night in Category 1-4 property ($150): When you reach the 30-night threshold during the year and officially qualify for Explorist status, you’ll earn a free night award in a Category 1-4 Hyatt property. Unfortunately, your reservation must be booked and completed within 120 days of issuance, so it’s much more restrictive than the similar certificate given annually to holders of the Hyatt Credit Card. While some of these hotels can easily cost over $200 per night, I’ll peg this at a more conservative $150.

Hyatt Globalist ($3,940)

The new top tier in the World of Hyatt program is Globalist status, which is typically earned after 60 nights or 100,000 base points ($20,000 in spending). For this analysis, I’ll assume that you complete 36 stays covering 72 nights, split evenly between full-service and limited-service Hyatt properties.

Bonus points ($290): Globalist members will earn a 30% bonus on stays, giving you an additional 1.5 points per dollar spent. Given the above assumptions (72 nights at $150 per night), you’d spend a total of $10,800, earning you 16,200 additional Hyatt points, worth $291.60.

Room upgrades ($900): Like Discoverist and Explorist members, you’re eligible for room upgrades at check-in as a Globalist traveler, and this includes standard suites. Like the similar perks mentioned earlier, this isn’t available at Hyatt Place, Hyatt House, Hyatt Residence Club and M life resorts. I’ll peg this perk at $50 per stay for the full-service locations.

Four suite upgrades ($800): Rather than having to hope for an upgrade at check-in, Globalist members will receive four suite upgrade awards upon reaching the 60-night (or 100,000 base point) threshold. Like those offered to Diamond members in the old Gold Passport program, these will cover stays of up to 7 nights each, and the World of Hyatt program extends their eligibility to free night awards (in addition to paid rates and Points + Cash reservations). They expire one year from the date of issuance, and unfortunately you must book and complete your reservations before the expiration date to use them. While you may not be able to get a full 28 nights out of these, you can score a fantastically large suite in some cases, so I’ll peg these at $200 apiece.

Club lounge access and/or free breakfast ($540): Globalist members also enjoy access to Club lounges where available, and at properties without a Club lounge can enjoy complimentary full breakfast for each registered guest (up to 2 adults and 2 children) in the hotel’s restaurant. As a Diamond member, I found that this even included room service at a number of properties like the Andaz Amsterdam and Park Hyatt Zurich, so I’ll peg this at $15 per night at the full-service properties.

Daily bottle of water ($35): Same benefit, more frequent utilization.

Complimentary premium internet ($70): Same benefit, more frequent utilization.

Early check-in ($50): One new and unique perk of Globalist status is priority access to available rooms when checking in early. I typically never had any problem arriving before the designated check-in time as a top-tier elite, but having the policy in writing is a nice improvement. I’ll peg this benefit at $50.

Late checkout ($150): Hyatt also allows Globalist members late checkout privileges but extends it to 4pm, offering some valuable flexibility if you need to depart later in the afternoon.

Waived resort fees ($100): All World of Hyatt members (including those without elite status) don’t have to pay those pesky resort fees on award stays. However, the new program takes this a step further and now waives resort fees for Globalist members on all stays (excluding Residence Club properties and M life resorts). This can save you quite a bit of money if you frequently visit locations like Hawaii or the Caribbean where these fees are very prevalent. It can also save you the hassle of negotiating to get them waived. I’ll assume that two of your stays take place at applicable properties with a $25 fee per night.

Complimentary parking on free night awards ($100): Another new perk for Globalist members is complimentary parking at hotels that run their own paid parking service (a.k.a. can be charged to the room) on award stays. Parking fees can be quite high at resort or big-city properties, and you often have no choice to use these facilities (as I experienced at the Andaz Maui). I’ll assume that you utilize this five nights per year with a daily parking rate of $20.

Guaranteed availability ($25): Globalist members have the same guaranteed availability benefit offered to Explorist members but a shorter timeframe in which to invoke it (48 hours instead of 72). The same restrictions apply though, so I’ll add just $5.

Elite reservation line ($25): Same benefit, but I can’t see Globalist members using this more frequently.

My Hyatt Concierge ($50): In addition to the elite reservation line, Globalist members can utilize a more tailored concierge service, assisting with not only reservations but any special request. If you frequently need this type of dedicated agent, it can be quite valuable, but I’ll assume a conservative $50 valuation.

Guest of Honor ($25): The new program continues the Guest of Honor benefit, which allows Globalist members to redeem points for a friend or family member and “transfer” their elite status privileges to that traveler. This can be a great way to make a loved one’s trip more rewarding, but I’ll peg this at a conservative $25.

Two complimentary United Club passes ($30): Globalist members will continue to receive two United Club passes each year. While a day pass usually costs $59, you can typically buy these on eBay for ~$15 apiece, so I’ll value them at this “market” value.

Gold status with M life Rewards ($100): Globalist travelers receive the same Gold status in the M life Rewards program as Explorist members, a drop from the Gold Passport program (where they enjoyed Platinum status). I’ll add another $25 due to the extra travel and resulting added likelihood of visiting these properties during the year.

Free night in Category 1-4 property ($150)

Free night in a Category 1-7 property ($300): In addition to earning a free night in a Category 1-4 property when surpassing the requirements for Explorist status, you’ll also earn a free night in any Hyatt property when reaching the requirements for Globalist status (60 nights or 100,000 base points). This is also valid for 120 days from the date of issuance and can be redeemed at any Hyatt hotel with standard award inventory. You’d get especially great value from top-tier properties like the Park Hyatt Paris-Vendôme, but I’ll keep this at a somewhat conservative valuation of $300.

Added threshold bonus ($200): A final perk for Globalist members is provided by completing 70, 80, 90 and 100 nights in a calendar year. For each of these thresholds, you can choose either 10,000 bonus points (worth $180) or an additional suite upgrade award. Since I’m assuming 72 nights, you’ll surpass the first of these thresholds.

What if I’m starting from scratch?

Of course, as I mentioned earlier, all of the numbers above represent values for those of you who have already earned these status levels. However, many of you may be starting from scratch without any Hyatt status at all. If this is the case, you won’t enjoy any benefits until you have completed 10 nights and earned Discoverist status. After that, you won’t enjoy additional benefits until you hit 30 nights to earn Explorist status. How can you quantify this climb up the ranks?

Just like I did for my airline elite status series, I’ve attempted to answer this by converting the above calculations into a value per night, as follows:

Hyatt Discoverist: $150 / 12 nights = $12.50 per night

Hyatt Explorist: $800 / 36 nights = $22.22 per night

Hyatt Globalist (minus $500…explanation below): $3,440 / 72 = $47.78 per night

I then created an Excel spreadsheet that uses these numbers to calculate the value you’d get from the program as you move up the Hyatt elite status ladder. All you need to do is input the total number of nights you complete and the numbers will adjust automatically. You’ll notice that I included the additional threshold bonuses as you go above and beyond the “standard” qualification level for Globalist status.

To make this as realistic as possible, I made two additional changes to the total value I got for Globalist status:

Removed the free night in a Category 1-7 property: This dropped the total Globalist value by $300. I then added it back in as a separate line item for when you reach 60 nights.

Removed the 70-night threshold bonus: This dropped the total Globalist value by another $200. I then added it back as a separate line item for when you reach 70 nights.

For example, you’ll see that I have pre-loaded 75 nights into the spreadsheet. With these numbers, you’d get no benefits for the first 10 nights, enjoy Discoverist benefits for the next 20 nights (at a rate of $12.50 per night), then enjoy Explorist benefits for the next 30 nights (at a rate of $22.22 per night), and finally enjoy Globalist perks for the remaining 15 nights (at a rate of $47.78 per night). In addition, you’d gain access to an additional $300 in benefits for reaching 60 nights (free night in Category 1-7 property) and an additional $200 in benefits for reaching 70 nights (through either the 10,000 bonus points or additional suite upgrade award).

Again, feel free to update the numbers in the “Base Data” tab of the spreadsheet to include your own valuations of the perks.

Is it worth it?

So given these values, is it worth pursuing elite status (or the next tier of elite status) with World of Hyatt? Just like with any analysis we undertake here at TPG, there isn’t an easy answer to this, as it depends entirely on your individual situation. However, here are a few over-arching questions that can help you arrive at a decision:

How much will you travel in the future? When you’re pursuing elite status, it’s critical to think about how much you’ll be traveling in the future. If you push hard to earn Explorist status, for example, the valuable perks outlined above only apply when you actually travel.

What’s the incremental value of one tier over another? Many of you may wind up within striking distance of the next tier, so be sure to consider whether the benefits are worth pushing for it. There’s no sense in going out of your way for perks that don’t matter to you.

How well does Hyatt’s geographical coverage match your typical travel patterns? There’s really no point in pursuing elite status with a hotel chain if you can’t feasibly stay at one (or more) of its properties on a regular basis. Be sure to consider Hyatt’s hotels in and around your common destinations.

How sensitive are you to price and convenience? There are many tradeoffs in this hobby, and one of the most common is deciding whether to use your preferred airline or hotel chain when it’s not the most convenient or cheapest. Would you stay at a Hyatt Regency if there was another brand that was cheaper and/or more convenient to where you need to be? If the answer is no, it may not be worth going out of your way to earn elite status with Hyatt (or elite status with any hotel chain, for that matter).

Is a credit card a better option? As mentioned above, the Hyatt Credit Card offers automatic Discoverist status or an upgrade to Explorist status by spending $50,000 in a calendar year on the card. As a result, you may be better off applying for the card and utilizing the benefits without worrying about qualifying (or requalifying) the hard way.

These questions are also not easy to answer, as there are many different factors that come into play with each of them. Nevertheless, it’s a worthwhile exercise to evaluate your own situation as you decide to determine if Hyatt elite status is for you!

Bottom Line

The World of Hyatt program has created a world of uncertainty for those who were previously loyal to the Gold Passport program. Given the limited footprint of Hyatt’s various brands and the change in qualification criteria from stays to nights, you may find it that much harder to qualify for status this year, especially for legacy Diamond members looking to earn Globalist status beyond this year. That being said, the new program does provide a number of nice perks, so I hope this analysis has helped you decide whether to pursue Hyatt elite status in 2017.

Which Hyatt elite status tier are you aiming for in 2017?

Featured image courtesy of the Hyatt Regency Indian Wells Resort & Spa.

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