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American Introduces AAdvantage Car and Hotel Rewards

Nov. 04, 2010
3 min read
American Introduces AAdvantage Car and Hotel Rewards
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Non-flight rewards are nothing new, but they usually offer very little value (less than a penny a mile return). However, American launched their new portal and at first glance, it seems to have the potential to offer great value for those frequent flyers who may not want to use their miles for flights. They are even offering 10-20% introductory discounts if you have AA Elite Status, thus enhancing the value of these rewards.

Initial research (I don't have AA Elite status)
I always get slammed with hefty bills while renting cars in NYC, so I did a search for a compact rental picking up this Saturday at LGA.
Cost from AA Rewards- 3,200 miles+tax
Cost from Nationalcar.com for the same car- $68 (plus tax)
Value of AA mile: 2.1 cents (WOW)

I checked out Los Angeles hotels for Nov 20-21 and saw an "Exclusive deal" for the Intercontinental Century City
Cost from AA Rewards- 18,500 miles (which includes taxes)
Cost from intercontinental.com for the same room- $249 (without tax)
Value of AA mile: 1.4+ cents depending on final tax (which was not shown on intercontinental.com)

I wanted to see if I could book a suite at the W South Beach Dec 15-20 and sure enough, multiple room types, including suites, were available. Not only that, but they have a buy 4 nights, stay for 5 promotion.
Cost from AA Rewards- 241,500 miles (which includes taxes)
Cost from spg.com for the same room- $4005 (incl tax, $801/night)
Value of AA mile: ~1.7 cents

While this wasn't the most comprehensive sampling, I think this program is a serious enhancement to the AAdvantage program.

Things to note:
1) I doubt stays/rentals will earn points and count towards elite status, but it's possible
2) Most reservations are non-refundable but can be changed for $30 change.
3) Boutique hotels are not included in the program. It seems to be all major chains.
4) Suites can be reserved, which is a nice feature
5) Exclusive specials seem to generally be a great value
6) For Hilton redemptions, remember that you can transfer AA miles to Hilton at a 2:1 ratio. So if you want to stay at a Hilton, check to see if transferring and redeeming through Hilton will require less miles.
7) Some car rentals don't include tax, but hotels do. Resort fees may apply for hotels.
8 ) No blackout dates- if theres a hotel room/car available, it should be available through the portal.

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Please feel free to post your comments/experiences with the program below. Overall, I see this as a win and hope the other Car/Hotel portals (ah hem, that means you Delta and United) up their game!

[card card-name='Citi® / AAdvantage® Platinum Select® MasterCard®' card-id='22144516' type='javascript' bullet-id='1']

TPG featured card

Rewards rate
4XEarn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
4XEarn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
5XNew! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
3XEarn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
2XEarn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
1XEarn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
Intro offer
Open Intro bonus
As High As 100,000 points. Find Out Your Offer.
Annual fee
$325
Regular APR
See Pay Over Time APR
Recommended credit
Open Credit score description
Excellent to Good

Pros

  • Valuable dining and food-related credits
  • Flexible rewards with airline and hotel transfer partners
  • Multiple travel and purchase protections
  • No foreign transaction fees
  • Access to Amex Offers for additional savings (enrollment required)

Cons

  • Not as useful for those living outside the U.S.
  • Some may have trouble using Uber and other dining credits
  • You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
  • Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
  • Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
  • New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
  • Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
  • Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
  • Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
  • Pay It® lets you tap in the American Express® App to quickly pay for small purchase amounts throughout the month and still earn rewards the way you usually do. Plan It® gives you the option to split up big purchases into equal monthly payments with a fixed fee. You’ll know upfront exactly how much you’ll pay.
  • Updated! $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
  • $100 Resy Credit: Get up to $100 in statement credits each calendar year at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American Express® Gold Card. That’s up to $50 in statement credits semi-annually. Enrollment required.
  • $84 Dunkin' Credit: Earn up to $7 in monthly statement credits after you pay with the American Express® Gold Card at U.S. Dunkin’ locations. Enrollment required.
  • $120 Uber Cash on Gold: Enjoy up to $120 in Uber Cash annually with your Gold Card. Just add your Card to your Uber account and you'll get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an Amex Card for your transaction.
  • New! As an American Express® Gold Card Member, you can enjoy complimentary Hertz Five Star® Status. Enjoy benefits like skipping the counter at select locations, adding an additional driver at no additional cost*, and vehicle upgrades**. Benefit enrollment and Hertz Gold+ registration are required. *Additional drivers must meet standard rental qualifications and must be a spouse or domestic partner to qualify as complimentary. Other additional drivers subject to fees. **Benefits are subject to availability and vary by location. Additional Hertz program Terms and Conditions including age restrictions apply.
  • Take advantage of a $100 credit towards eligible charges* at over 1,300 upscale hotels worldwide when you book The Hotel Collection through AmexTravel.com or the Amex Travel App **. *Eligible charges vary by property. **The Hotel Collection requires a two-night minimum stay.
  • Book your travel through the Amex Travel App with added peace of mind – backed by American Express® service and support. Only for American Express® Card Members.
  • Whenever you need us, we're here. Our Member Services team will ensure you are taken care of. From lost Card replacement to statement questions, we are available to help 24/7.
  • No Foreign Transaction Fees.
  • Annual Fee is $325.
  • Terms Apply.