When the year started the most expensive award price at any Marriott property was 60,000 points per night. Then they added category 8 raising the top price to 80,000. Then in September the introduced peak pricing raising the top price to 100,000.
Now Marriott Bonvoy terms and conditions have been updated to say that category 8 high season pricing of 100,000 points per night is no longer the highest price a hotel can get.
Select properties may have redemption rates in excess of the Category 8 Redemption Rates.
Back in March we learned that $7000 per night all-inclusive North Island in the Seychelles would be joining Marriott’s Luxury Collection and I confirmed that it would become part of the Bonvoy program for earning and redemption.
Credit: North Island
A Marriott spokesperson tells me that the new terms are in preparation for bringing North Island into the program.
We recently welcomed the addition of North Island, a Luxury Collection Resort, Seychelles into the Marriott International portfolio and look forward to making this spectacular property available for award stays in the near future. In order to price the resort properly for redemptions, the change was made to the terms and conditions.
I don’t think anyone expected to be able to use 100,000 Marriott points per night at North Island, that would have meant redemptions 10 times the average value of their points.
My concern is that once there’s a mechanism in place for charging more points than the award chart’s top category peak season price, that it’ll be tempting to expand the practice to other expensive or unique properties. For instance Al Maha, where every guest has their own villa with private pool, includes meals (even room service) and activities.
I am willing to venture a guess .. 500000 points a night?
I agree…it will most likely open the door to other properties charging the higher rate. It may also prompt non-participating properties, such as Ritz Carlton Reserve, to join the rewards program
You know if this reduces points bookings at other properties, I’m fine with them charging 500k a night. I won’t be booking at much more than 100k per night, however. I will drop the program if they start linking points to cash rates any more than they already are.
Gary,
It is all about supply, demand and cost of the property. Obviously no one should expect to get a $7000 a night property for 100,000 points a night (7 cent a point versus .7-.8 which is how Marriott is typically valued which you correctly pointed out). However, I have no problem extending this to properties like Al Maha (and there may be other current or future such properties). If the property is so expensive that a room would go for 3x or more the “typical” value of the points why shouldn’t the hotel be allowed to raise the redemption level.
Personally, I look at every hotel I stay in or airline ticket I buy, regardless of cost, and if I don’t get at least approximately the value that you, TPG, OMAAT, etc state the points are worth I just buy it for cash. The hotels should be allowed to do the exact same thing for very high end properties that don’t fit within their normal award chart. Or they could just go to a dynamic award process like Hilton (even though they claim to have an award chart). I’ve seen standard NYC properties near Times Square around Christmas on Hilton’s site for 200,000-250,000 a night! Frankly I’d rather do what Marriott is doing (and Hyatt) to preserve the award chart (both recently added off-peak and peak exceptions to the stand pricing) but have an “out” for unique properties that don’t fit.