Home Hotel Loyalty World of Hyatt Reminder: Hyatt will give you up to 1.54 cents in value per...

Reminder: Hyatt will give you up to 1.54 cents in value per World of Hyatt Point


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In terms of the value that can be extracted out of each point, World of Hyatt points are the most valuable hotel currency around, but the actual value that each person assigns to World of Hyatt points will vary depending on how the points are earned and how the points are used.

What some people may not realize, however, is that Hyatt has given us an easy way to place a value on World of Hyatt points because it actually guarantees all World of Hyatt members a minimum return. For some, that minimum return is as high as 1.54 cents per point.

Back in December 2019, Hyatt announced that it would be introducing peak and off-peak pricing to the World of Hyatt program but alongside that news, the hotelier made a further announcement that got a little lost among the noise generated by the award chart devaluation and the pandemic that followed shortly thereafter.

This second announcement was actually very good news for World of Hyatt members as it was the announcement that told us that Hyatt was significantly improving the value proposition of redeeming points for onsite credit. In fact, the improvement was so good that since January 2020, World of Hyatt points have offered a better onsite redemption rate than any other hotel currency.

Take a look at this chart:

This is the chart that shows how much on-site credit (for dining, spa treatments, parking, transportation, and more) Hyatt will give World of Hyatt members in exchange for their hard-earned points, and while at the low end the offer is poor, at the high end things get considerably more interesting.

Redemptions of 20,000 points or less are poor value and should be ignored by just about everyone who doesn’t have more points than they can possibly use, but the value offered for redemptions of 35,000 and 65,000 points shouldn’t be ignored.

A World of Hyatt member redeeming 35,000 points for $500 of on-site credit will be getting approximately 1.43 cents for every point they use, and a member redeeming 65,000 points for $1,000 of credit will be getting approximately 1.54 cents for every point they use and while neither of those rates of return is particularly amazing, they do put a floor on the value of Hyatt’s currency.

Sure, unless you’re staying at a resort with your family for at least a week or staying at a property with a Michelin-starred restaurant, most people will probably struggle to spend $1,000 in on-site credits during a single stay (although some won’t find this challenging at all), so claiming that World of Hyatt Points are worth “at least” 1.54 cents is probably a stretch.

But spending $500 on food, spa treatments, and parking at a variety of Hyatt properties (e.g. the Andaz Maui) isn’t much of a challenge at all for those who like to eat on-site and get a little pampering (one visit to the spa can easily take care of $500). That makes it considerably less of a stretch to claim that World of Hyatt Points are worth at least 1.43 cents each.

Note: Because Chase Ultimate Rewards points can be transferred to the World of Hyatt in a ratio of 1:1, this also means that it’s reasonable to say that for anyone who’s a fan of Hyatt, Ultimate Rewards points are worth at least 1.43 cents each too.

It’s important to keep in mind that World of Hyatt members can only choose to exchange points for on-site credit when they’re checking out of a property, so it’s not possible to spread the credit over multiple stays (that would be too good to be true!). That, however, shouldn’t take away from the fact that some World of Hyatt members can now be justified in thinking that their points are worth at least 1.43 cents each, and it shouldn’t take away from the fact that World of Hyatt members now have a reasonable way of cashing out their points on something other than an award stay.

Bottom Line

Overall this redemption option doesn’t change much for me as I’ve been valuing my points at 1.4 cents each for some time, but for those who have been valuing their Hyatt points at a lower rate (and who had forgotten or were not aware of this redemption option), this may just change the value they assign to their points.

I’m not suggesting that World of Hyatt members should be looking to use their points for on-site redemptions every time they stay at a Hyatt property (you should be able to do better than 1.43/1.54 cents point when you book award nights), but it’s an option that’s worth keeping in mind.

Did you know about this redemption option and would you consider using it? 

A Favorite Card

 The World of Hyatt Credit Card is the most rewarding credit card you can hold if you’re aiming to maximize your points earnings when staying at Hyatt properties. Right now, all successful applicants are being offered this welcome bonus:

Earn 30,000 Bonus Points after spending $3,000 on the card in the first 3 months of opening your new account and earn up to 30,000 more bonus points by earning 2 points/dollar in all shopping categories in which the World of Hyatt credit card doesn’t already offer a bonus (on up to $15,000 of spending in the first six months of account opening).

Our Favorite Benefits:

  • 4 points/dollar at Hyatt properties worldwide
  • 2 points/dollar at fitness clubs and gyms
  • World of Hyatt Discoverist status for as long as you hold the card
  • 5 elite night credits every year
  • 2 elite night credits for every $5,000 spent on the World of Hyatt credit card
  • A free night certificate valid at Category 1 – 4 properties every year

Click for more details on the World of Hyatt Credit Card

Regarding Comments

Responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser or any other advertiser. It is not the bank advertiser’s responsibility or any other advertiser’s responsibility to ensure all posts and/or questions are answered.

4 COMMENTS

  1. Thanks, I simply didn’t know about this although I’m not sure how I missed it. I’m not sure I’ll use this but more options are always better. Isn’t Hyatt’s peak pricing supposed to be released sometime soon? I thought it quite sensible of them to push it back a year but I think that year is about up.

  2. Let me explain how and why point bloggers know nothing and care nothing to really tell you what is going on. They want to sell credit cards…not truth!

    Hotels charge astronomical prices for their services and food/beverage. 65,000 points is not really $1,000 in cash..it has no cash value. $1000 of hotel spend on food or spa services would probably be Worth 5-$600 or less anywhere else. Also..Hyatt points are earned at a much lower rate then other currencies so if course they give you better redemption rates for “cash”. Do not buy into what a point is worth to a blogger..make sure you understand points have ZERO CASH VALUE and use them how you want.. but do not walk away thinking you can some crazy good deal redeeming points for hotel spend.

    • Where did I say that using points for on-site spending is a good deal (let alone a “crazy good deal”)? Please point me to the line as I can’t find it (probably because I never wrote it).

      If you had bothered to absorb what I’ve written before going off on your rant you would have noticed the following phrases:
      – “neither of those rates of return is particularly amazing”

      – “spending $500 on food, spa treatments, and parking at a variety of Hyatt properties (e.g. the Andaz Maui) isn’t much of a challenge at all for those who like to eat on-site and get a little pampering

      – “I’m not suggesting that World of Hyatt members should be looking to use their points for on-site redemptions every time they stay at a Hyatt property (you should be able to do better than 1.43/1.54 cents point when you book award nights), but it’s an option that’s worth keeping in mind.

      Nowhere in this post do I suggest that anyone should go out of their way to spend on hotel services and not look for better rates elsewhere just because they can pay for them with points.

      The fact is, however, that a lot of people spend a lot of money directly on hotel dining and hotel facilities when they’re on vacation (how many people book a luxury property and then go looking for a cheap local spa instead of using the one on site?) There’s a reason that these spas exist and survive and there’s a reason why luxury hotels have big fancy restaurants, so all that this post is saying is that for someone who naturally uses these facilities when they’re traveling and who will spend $500 – $1,000 during a trip, Hyatt points have a base value of between 1.43 and 1.54 cents.

      I stand by that analysis so when you’ve calmed down, have decided to stop claiming that I’m saying things that I am not, and are no longer trying to pick a pointless argument with someone on the internet, perhaps we can have a more civilized debate.

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