If Hyatt buys Starwood (Update: Marriott will buy Starwood)

[red259]

This is not good as less competition is never a good thing. I can see how starwoods fits into Marriott's system because marriott tends to have lower end properties (nice properties but standard accomadations), some low-mid level and then it jumps up to higher end properties. Starwoods properties fill in the gap for mid to high-mid level (they lack the low-end properties). If the loyalty programs merge down the line it will screw a large segment of the starwoods clientle, since Marriott has one of the toughest qualifications for status, which requires more stays than SPG 75 nights for marriott plat for top spg status you only need 25 stays. The SPG benefits will get degraded I am sure.  

[kdm31091]

Wouldn't the loyalty programs merging be not just a maybe, but basically guaranteed? In most mergers, the prevailing company likes to erase any evidence of the past company. Not always of course, but Id expect starwood points to be extinct once things are finalized.

Lack of competition isnt good, but there are still plenty of hotel chains, and it is what it is.

[elim]

sounds like a may be apping for the Chase SPG card next year    :]      or maybe i'll just use the RC (when the bleeping bonus offer finally shows up!)

[red259]

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@kdm31091 wrote:
Wouldn't the loyalty programs merging be not just a maybe, but basically guaranteed? In most mergers, the prevailing company likes to erase any evidence of the past company. Not always of course, but Id expect starwood points to be extinct once things are finalized.

Lack of competitionisnt good, but there are still plenty of hotel chains, and it is what it is.

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It will be awhile before we get to that point. It most certainly is not guaranteed that the programs will merge. These are companies geared towards different clientele, so it would not surprise me if they kept the programs separated beyond the normal merger time line. That being said I believe there will be changes in the SPG program either way (most likely after 2016 though).

[Open123]

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@Anonymous wrote:

I would assume the AmEx card will be dying off then as Marriott has all the cards with Chase.  I don't see them keeping both cards but boy has AmEx been losing business lately!  I keep waiting to hear about new cards moving to them or them getting some new offerings but no, only people taking business away from them.

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At present, Chase has a contract with Marriott, while Amex has one with Starwoods.  While it's a given Chase will maintain the Marriott relationship, there is considerable uncertainty on Amex's SPG offerings.  It could be purged.  Marriott could extend their offerings, much like Hilton does with Citi and Amex. Or, it could be similar to Barclays where Amex SPG cardmembers will be converted into legacy Marriott cards.

For those with SPG points & status, the only thing one can control are the points.  It's important to use up the majority of your points by Q4 2016, at the latest.  Ignore anything in the media, SPG or Marriott PR, or any blogs espousing a "wait and see" approach.  The programs will merge, and SPG will be devalued; don't stick around, use them up. Churn the Amex SPG one more time and redeem, if you can.

At the same time, apply for Marriott promos.  Marriott points are better to hold, since they can only increase in value, whereas SPGs can only decrease.  In short, harvest Marriott points, and churn and burn SPGs.

[Open123]

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@red259 wrote:

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@kdm31091 wrote:
Wouldn't the loyalty programs merging be not just a maybe, but basically guaranteed? In most mergers, the prevailing company likes to erase any evidence of the past company. Not always of course, but Id expect starwood points to be extinct once things are finalized.

Lack of competitionisnt good, but there are still plenty of hotel chains, and it is what it is.

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It will be awhile before we get to that point. It most certainly is not guaranteed that the programs will merge. These are companies geared towards different clientele, so it would not surprise me if they kept the programs separated beyond the normal merger time line. That being said I believe there will be changes in the SPG program either way (most likely after 2016 though).

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It may take 12 - 18 months, but I believe they will merge.  I'm looking at using up SPGs before 12 months, to be safe.  At least, now I've got the answer to the 1.5 MR vs. 1 SPG conundrum!

[bobbay]

looks like it may be time to trim/consolidate some cards.  Ritz/marriott premier/SPG will have alot of overlap.  It also makes Platinum loose yet more luster.  Is there any reason to wait to close.  I am thinking of transferring points to Delta and moving the line to my Delta card.  Also makes rolling my Marriott line to Ritz. 

Any thoughts?

[Open123]

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@bobbay wrote:

looks like it may be time to trim/consolidate some cards.  Ritz/marriott premier/SPG will have alot of overlap.  It also makes Platinum loose yet more luster.  Is there any reason to wait to close.  I am thinking of transferring points to Delta and moving the line to my Delta card.  Also makes rolling my Marriott line to Ritz. 

Any thoughts?

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Here's what I'm planning to do.  

Before this announcement, I was always willing to bank SPG points given the 25% transfer to over 30 Arilines.  After the announcement, I'm going to use SPG points asap for highest category hotel stays, and any left over transferred over to various Airlines.  Under no circumstances will I hold any SPG points and allow them to covert over to Marriott points.

In the meantime, it's fine to earn SPG points, so long as you're planning to either use them or transfer them before conversion, whever that might be.  Can't stress this enough, have ZERO SPG points whenever conversion takes place.

[jsucool76]

Marriott still offers a free night, and the ability to earn elite qualifying nights, which ritz does not.

We don't even know if the deal is going through yet, so I'd say it's too early to close cards.

[bobbay]

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@jsucool76 wrote:
Marriott still offers a free night, and the ability to earn elite qualifying nights, which ritz does not.

We don't even know if the deal is going through yet, so I'd say it's too early to close cards.

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Thanks JSUCool.  I have been itching to consolidate some of this I will be patient.  I was already considering closing SPG prior to this.  I will wait a couple of months to get a better idea on where this is going.

Open123   I agree.