Major changes are coming to the World of Hyatt loyalty program in the next few months, Hyatt confirmed with TPG, including the biggest update to its award chart since peak and off-peak pricing were introduced in 2021.
No, the program is not transitioning to full-on dynamic pricing. But the overhaul does involve a more complicated system for redeeming points that will go into effect this May. So, start thinking through what awards you can book now in order to avoid possibly higher pricing in a few months.
New award night redemption tiers
Starting in May, the World of Hyatt award chart will ditch its three-tier system of off-peak, standard and peak pricing in favor of a new five-level model with the following redemption zones:
- Lowest
- Low
- Moderate
- Upper
- Top
World of Hyatt’s chart will still consist of eight hotel categories, though the new stretched pricing structures will significantly change award pricing, as shown below.
Hyatt has separate award charts for its all-inclusive resorts and Miraval properties. Both of these charts will also expand to five redemption rates.
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A lot of redemptions are going to be more expensive
There’s a lot to take away from these changes, including the potential for some significant price increases at the top end of the spectrum.
For example, Category 8 properties could now cost as much as 75,000 World of Hyatt points per night in the “Top” segment, a nearly 67% increase from the old “Peak” pricing of 45,000 points per night. So if you have your eye on in-demand resorts like the recently renovated Park Hyatt Beaver Creek or the beach-chic Andaz Costa Rica Resort at Peninsula Papagayo at peak times like around school holidays, you’d better start strategizing how you’ll rack up all the extra points you will need once these changes take effect.
But it’s not just Category 8 that’s affected; all categories will see at least a 30% increase on the most expensive nights, with the “Top” night awards in Category 2 and Category 5 both increasing by over 50% from the current “Peak” pricing.
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Comparing the new “Moderate” redemption structure to the old “Standard” one, World of Hyatt members should still expect to take a hit.
On average across all eight categories, rates will be roughly 25% higher. However, Category 8 is moving from 40,000 points per current “Standard” night to 55,000 in the new “Moderate” tier, which represents a 37.5% increase, and Category 4 is moving from 15,000 to 20,000 points per night, a 33.3% increase.
On the positive side, some rates will actually see price drops … at least, on the ultra-low end. Category 1 properties will now bottom out at 3,000 points per night, down from the old “Off-Peak” rate of 3,500 points, for a roughly 14% savings. Categories 1, 2, 5 and 6 will also have lower bottom-rate pricing.
On the all-inclusive front, top-tier Category F properties, like Impression Isla Mujeres by Secrets in Mexico, will now cost a whopping 85,000 points per night (based on double occupancy) in the “Top” segment; that’s compared to the old chart’s rate of 58,000 points on a “Peak” date. And it’s just as rough at Miraval, where, for example, a “Moderate” rate for a standard room with double occupancy will start at 70,000 points, up from 65,000 points previously, and no matter what type of accommodation you book, you can expect to redeem 23,000 to 25,000 points more per night for “Top” rates over the old “Peak” pricing.
The new redemption structure adds significant complexity to Hyatt’s award chart. And while we can roughly compare the new top, middle and bottom (“Top,” “Middle” and “Lowest,” respectively) pricing to the old “Peak,” “Standard” and “Off-Peak” rates, respectively, only time can really show how the “Low” and “Upper” segments will be at play.
What these changes really hinge on is how many nights fall into each pricing tier per hotel and whether there will be caps on the number of the most expensive award nights in the “Upper” and “Top” sectors that hotels will be able to categorize as such. A Hyatt spokesperson confirmed with TPG that “Upper” and “Top” thresholds will be based on predictable demand patterns like seasonal travel periods, major events and sustained high occupancy. Additionally, Hyatt’s “Points Calendar” feature will remain the same.
“We are the only global hospitality loyalty program left that has a published award chart, and we are very much committed to maintaining that fact because our members know and love and expect it from us,” Laurie Blair, Hyatt’s senior vice preisdent of global marketing and loyalty, told TPG ahead of the announcement, adding that the move was made to strengthen the long-term stability of the program.
Though these changes will begin rolling out in May, Blair was quick to point out that everything isn’t changing overnight. Rather, Hyatt expects to grow into this award chart over the next few years.
“When we go live with this [in May],” Blair said, “members are not going to wake up and see something completely different.” In fact, this year will see “limited adjustments,” Blair noted, and “broader changes in the years that follow because it allows us longevity with this new award chart.”
These changes, Blair suggested, will help Hyatt (and individual hotels) better manage peak demand while also reducing the number of hotels that shift categories each year. This movement typically occurs in late March or April of each year, so stay tuned for further news on that.
While this certainly brings Hyatt’s fixed-award chart closer to dynamic pricing, Hyatt insists it doesn’t make changes lightly and remains committed to “transparency and predictability.”
Either way, expect a full TPG analysis as these changes begin to roll out and more data becomes available to quantify.
Elite members and credit card holders get early access to award night availability
Another change to the World of Hyatt program is that select elite members (Explorist and above) and World of Hyatt credit card holders will receive one month of early access to award night availability. Specific details on how this will roll out and be executed are yet to come.
7 hotels are changing category now
Despite Hyatt’s goal of ultimately reducing the number of hotels that shift category each year, seven properties will shift categories effective immediately, as reflected below.
| Hotel | Old category | New category |
|---|---|---|
|
Andaz Pattaya Jomtien Beach in Thailand
|
4 |
5 |
|
2 |
3 |
|
|
Hyatt Regency Kotor Bay Resort in Montenegro
|
4 |
5 |
|
Hyatt Place San Antonio-Northwest/Medical Center
|
1 |
2 |
|
Grand Hyatt Incheon in South Korea
|
3 |
4 |
|
Grand Hyatt Grand Cayman Resort & Spa (2026 opening)
|
6 |
8 (up two categories) |
|
The Barnett, JdV by Hyatt in New Orleans
|
5 |
4 (down one category) |
According to Hyatt, these hotels are shifting to “better reflect current market conditions.”
Easier to share points
Later this year, World of Hyatt members will be able to share points digitally, though a specific date has not been announced. Currently, Hyatt allows members to share points by filling out a form, having both members sign it before emailing it directly to Hyatt. Being able to digitally share points with other members without having to fill out any paperwork will be a significant improvement.
Now, alongside Milestone Rewards (like a Category 1-4 free night award or a Guest of Honor award earned through staying a certain number of nights or hitting a certain points threshold), points will be easier to share with friends and family.
No changes to credit card benefits
At the moment, no changes are being made to the World of Hyatt Credit Card (see rates and fees) or the World of Hyatt Business Credit Card (see rates and fees). In TPG’s conversation with Hyatt, Blair hinted that there might be changes down the line, but nothing is changing at the moment.
Bottom line
There’s been a lot of volatility in the world of points and miles over the last few years, but Hyatt’s award chart has, for the most part, stayed the same. It’s not surprising, then, that a shake-up was looming. Unfortunately, the expansion of the chart’s redemption levels might see many top-tier hotels pricing out significantly higher than before, though lower-tier, off-peak dates might offer some savings.
There are some wins, though. Certain elite members and cardholders will now have early access to award availability, and it will be easier to gift Milestone Rewards and World of Hyatt points.
Most changes will not go into effect until May, meaning you also have plenty of time to make any reservations ahead of time to lock in possibly better points rates now rather than waiting for these shifts to occur.
As always, TPG will be on top of the changes and how they play out in real-world scenarios as they begin rolling out in May.
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