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Not targeted for HHonors 100K? Expect targeted offers trend in 2014.

Hilton HHonors has a Stay Challenge promotion for 100,000 bonus points for 2-night stays at all of their ten hotel brands between December 6, 2013 and May 31, 2014. There is a webpage with all the promotion details.

HHonors 100K 

        •  Earn 4,000 Bonus Points when you stay at any one of our 10 brands.
        •  Earn 6,000 Bonus Points when you stay at a second brand
    .    •  For every stay after that at a different hotel brand, you’ll earn 10,000 Bonus Points per stay.
        •  Stay at all 10 brands and you’ll earn an extra 10,000 Bonus Points, for a total of 100,000 Bonus Points.

This is a Targeted Offer and you must have received the email to register for this 100,000 bonus points HHonors promotion.

This exclusive offer is open only to the HHonors member who received the email from Hilton HHonors™ announcing this promotion.

HHonors 100,000 Bonus Points T&C

Loyalty Lobby wrote about this offer on December 7, 2014.

Hilton HHonors “Multi-Brand Stay Challenge” Promotion: Get Up To 100,000 Bonus Points (Targeted).

The following day on December 8, Loyalty Lobby published this follow-up: Hilton HHonors Supervisor Rant About LoyaltyLobby’s Publication Of Targeted Offers.

John Ollila, founder of Loyalty Lobby, published the email response, presumably from an HHonors supervisor, complaining that loyalty members trying to sign up for targeted promotions are one of the most frustrating aspects of her job when customers abuse the HHonors representatives who tell them they are ineligible for an offer.

Targeted Promotions will likely be more common in 2014 and beyond

Part of my blogger work experience is the opportunity to attend hotel industry conferences. I also read hotel industry research to keep up on trends and forecasts.

One of the clear messages I have seen the past few years coming out of hotel industry research papers from consultants and educational institutions like Cornell University’s Center for Hospitality Research is the advice that hotel loyalty programs need to analyze travel patterns and data mine their information from loyalty member profiles and travel patterns to target the high revenue customers with incentives rather than offering high value loyalty promotions to the general membership.

From 2008 to 2010 the hotel industry was trying to climb out of the recession trough. Hotel loyalty promotions were high value and welcoming to all members. The fact that it has taken this long to ramp up the shift to targeted promotions is the welcome surprise for me.

Please understand me. I do not like the trend toward targeted promotions. I am actually disappointed that hotel promotion offers have been steadily less valuable across the loyalty industry over the past two years.

But, I expected this change. I have followed the industry thought leaders columns and reports. I have heard these discussions repeatedly at hotel industry conferences calling for loyalty program managers to use all that data compiled on travelers and focus on incentivizing the high revenue customers and clearing out the customers like you and me that wring the value out of loyalty programs while leaving behind too few dollars.

Will the Hotel Industry Follow the Airline Industry in Qualifying Elites?

The airline industry has taken the lead on this front of weeding out the low revenue frequent flyers.

Gary Leff wrote this piece yesterday:

Why the Era of Mileage Running is Over

Delta and United have added minimum spend requirements to earn top elite status in 2014.

Ten years ago, I was one of those people who typically earned United Mileage Plus 1K for under $3,000 per year. In 2014 the minimum spend required to earn Mileage Plus 1K is $10,000. That is 2x to 3x more than I ever spent to earn 1K during the years I flew 100,000 miles per year as a 1K with United.

Spend requirement for Delta SkyMiles Diamond is $12,500 and 125,000 MQMs.

Last January I attended the Americas Lodging Investment Summit where I picked up a report from Deloitte: A Restoration in Hotel Loyalty: Developing a blueprint for reinventing loyalty programs.

This is one of the pieces of research suggesting hotel loyalty programs target promotions to incentivize hotel stays from the most profitable guests and weed out people like me who play the loyalty game for a high rate of return.

Redefining loyalty

Redefining loyalty programs is likely geared for limiting the advantages and benefits received by savvy frequent travelers like me and most of you reading this blog.

Hotels these days don’t want you to just ‘like’ them. Hotel brands want you to display emotional commitment with an online presence beyond the hotel walls that spreads brand ‘love’ across social media to family, friends, and the masses. I tend to see that in plenty of travel blogger posts these days.

Restoring hotel loyalty is focused on using data mining to build comprehensive customer profiles. Hotel brands want to foster emotional loyalty that creates and retains high revenue customers. Differentiating hotel loyalty program offers to encourage loyalty from the kind of customers the hotel brand wants to retain is what I read into the [Deloitte] report.

Reinventing hotel loyalty programs with an objective to create a relationship-based commitment that is demonstrated by a larger share of spend with the preferred hotel brand is the objective.

Is this starting to sound like marriage?

Loyalty Traveler – Go Ask ALIS: Reinventing Hotel Loyalty (January 24, 2013)

The frequency of reports stating hotel loyalty members are not really loyal is another trend in the hotel industry news and research for 2013.

I am not suggesting that a revenue based elite status component similar to the airline industry is coming soon to the hotel industry. The more immediate trend seems to be targeted offers for the most profitable hotel loyalty members. Several brands have done that this year. The most recent IHG Rewards Club promotion, The Big Win, is an example of individualized targeted promotion terms we will likely see more of in 2014.

Is IHG sending me to London for the Big Win? (Loyalty Traveler – August 25, 2014).

So, check your email for that 100,000 HHonors bonus points offer for staying at all ten Hilton brands. You might be surprised.

You know your travel pattern and loyalty relationship with hotel brands.

Just don’t be surprised when the targeted hotel loyalty promotion offers do not reach your inbox. And don’t abuse the hotel loyalty customer service representatives when demanding to reconsider your own account for inclusion in the targeted promotion offer. 

The hotel loyalty program knows your travel pattern and bottom-line revenue value to their brand too.

*****

Ric Garrido of Monterey, California is writer and owner of Loyalty Traveler.

Loyalty Traveler shares news and views on hotels, hotel loyalty programs and vacation destinations for frequent guests.

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7 Comments

  • MaryE December 11, 2013

    I’m glad that when I decided to up my own ante in collecting points and miles, I aimed at achieving hotel status. Job Fairs worldwide tend to be held at higher end hotels. Those candidates staying at the same hotels as the recruiters tend to get a job more quickly, naturally due to the exposure one gets.

  • Susan December 11, 2013

    I received that offer… and, not being a huge fan of Hilton, paid it little attention when I first saw it. I actually don’t see a place to ‘sign up’ for the promotion. I think it is just in the member’s account as being targeted for the stay and bonus points promo. Needless to say, I was tickled to see that I had been ‘targeted’ – especially when I have missed out on so many other targeted offers (US Airways 3X PQM, US reduced mileage award promo, Hyatt bonus point promos, etc.) of which I would really could have used!

    One difficulty is to find affordable Hilton properties to make earning the 100K points worthwhile. In my area, it is difficult to find a Hilton property with a nightly cost of less than $100 with most of them falling in the $150-200 range. AND the variety of brands is limited.

    So the question then becomes, is it worth it to me to spend between $1000 and $2000 to earn 100K Hilton points – when they are not stays I would normally make. Do they want my business? Obviously. Is it worthwhile? I don’t know.

  • Susan December 11, 2013

    Oops… let me edit my comment to say that, buried deep within the fine print of the T&C’s, is a small link to register for the promo.

  • Glenn December 11, 2013

    I’m generally not thrilled with all the blog posts we’re seeing lately (not you, just in general) about targeted offers. Some of them are fine I guess, “check your email”, while others are clearly titled to create traffic. Of course this drives more people to click the link and pointlessly enter their info to see if they were targeted and somehow missed the email. Not sure it’s appropriate.

  • Ric Garrido December 11, 2013

    @Glenn – I rarely post targeted offers on Loyalty Traveler. The point of this post is to share my insight about how this trend of targeted hotel loyalty promotions is likely to expand in 2014.

    So expect to see more blogs posting targeted offers to create traffic and frustrate readers in 2014.

  • Kalboz December 11, 2013

    @Ric, even though I did not get the HH offer, the Big Win was not as targeted as you might suggest. I have never stayed at an IHG property, but my offer was for 157K points for 4-nights 2-stays challenge. And with the codes available here and elsewhere, I was able to earn almost 200K (valued at around $1200) when I met the challenge spending less than $400.

    I wouldn’t be too much off-target to assume that your BW offer was probably tailored after your travels/preferences while mine was to gain me as new client.

  • Nick December 11, 2013

    It seems targeted offers have some potential for social media blowback which may offset much of their “lower cost” to the company.

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