Memo to loyalty programs: Slashing benefits and earning rates impacts my booking decisions

This week, two major loyalty programs made updates that were not favorable for customers. On Tuesday, Marriott Bonvoy updated its terms and conditions to indicate that members will earn points at a reduced rate and earn no elite night credits at StudioRes properties. Then, on Wednesday, Southwest Rapid Rewards drastically reduced points earnings for select fares.

As I thought about these updates, I considered how they would affect my interactions with these programs. I already take earning rates for points and elite night credits into account when booking hotels, but it's a bad sign that Marriott Bonvoy now has a brand that awards no elite bonus points or elite night credits on stays. And although I rarely book paid Southwest Airlines flights, I'll now be even less likely to do so.

Loyalty programs exist to incentivize engagement and spending with a program. So, one easy way to protest negative loyalty program updates is with your wallet. Here are some ways I'll protect myself from these negative updates and how you can, too.

Avoid affected hotel brands

For years, several major hotel loyalty programs have singled out some brands as earning at lower rates. But Marriott Bonvoy has by far the highest number of brands with lower earning rates. Marriott Bonvoy is also the only major hotel loyalty program that doesn't give an elite night credit per night stayed at all its brands.

You'll earn 10 Marriott base points per dollar spent on qualifying charges at most brands. However, you'll only earn 5 base points per dollar spent at nine Marriott Bonvoy brands, 4 points per dollar spent at StudioRes and 2.5 points per dollar spent at Marriott Executive Apartments. To add insult to injury, you'll only earn one elite night credit per two nights stayed at Protea Hotels, City Express and Four Points Flex by Sheraton, one elite night credit per three nights stayed at Marriott Executive Apartments and no elite night credit for stays of any length at StudioRes.

As a result, I avoid booking paid rates at Marriott brands that earn less than 10 base points per dollar. I also avoid staying at Protea Hotels, City Express, Four Points Flex by Sheraton and Marriott Executive Apartments — and now StudioRes — since stays at these brands earn fewer points and elite night credits. My husband and I strive to maintain hotel elite status with several programs, so every night counts. Plus, out of principle, I don't want to frequent these brands if Marriott Bonvoy will give me fewer earnings for doing so.

On a recent trip to Turkey, the Four Points Flex by Sheraton Istanbul Taksim Square looked appealing because of its location and price. But then I remembered I'd earn points and elite night credits at a reduced rate, so I stayed at a similarly priced Holiday Inn instead. Even if I'd wanted to stay at a Marriott Bonvoy property in Istanbul, I could have booked the equally convenient DeCamondo Galata, a Tribute Portfolio Hotel for a similar cost and better earnings.

Likewise, although I enjoyed staying at several Protea Hotels properties in South Africa when I got full elite night credits and points earnings for these stays, I now avoid Protea Hotels. Instead, I now choose Hyatt or IHG properties in Cape Town and Johannesburg. You can't go wrong with these cities' great Category 1 Hyatt properties.

As a traveler, it's annoying that $1,000 in qualifying charges on a six-night stay at a Four Points Flex would get me 5,000 base points and three elite nights while the same charges at a Four Points would earn me 10,000 base points and six elite nights. But it would be really frustrating for this to happen to a member who didn't know about it — especially if they're counting on a stay to reach the next status qualification threshold.

Daily Newsletter

Reward your inbox with the TPG Daily newsletter

Join over 700,000 readers for breaking news, in-depth guides and exclusive deals from TPG’s experts

Email address

Sign up

By signing up, you will receive newsletters and promotional content and agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.

It's worth noting that Marriott Bonvoy is far from the only hotel loyalty program with brands that earn points and elite nights at lower rates. For example, you'll earn World of Hyatt points at a lower rate when staying at Hyatt Studios and IHG One Rewards points at a lower rate when staying at IHG Army Hotels, Staybridge Suites, Candlewood Suites and Residences. Meanwhile, Choice Privileges has a brand — WoodSpring Suites — that doesn't participate in its loyalty program at all.

Related: Love it or leave it: My airline and hotel elite status plans for 2025

Redeem rewards

For Southwest Rapid Rewards and Marriott Bonvoy, you can avoid the lower earning rates brought about by this week's changes by redeeming points. Unfortunately, redeeming points still won't give you elite night credits on stays at StudioRes properties. But if your primary concern is the slashed earning rate, redeeming points is a good solution.

I love a good extended-stay hotel with a kitchen, but these properties often earn points at lower rates. So, I usually redeem points for these stays and save my cash for stays that earn at a higher rate. Best of all, I often get a fourth or fifth night free when redeeming points with select hotel loyalty programs.

For example, I often redeem IHG One Rewards points for stays at Candlewood Suites and Staybridge Suites, which earn at a decreased rate of 5 points per dollar instead of the standard 10 points per dollar. If I redeem points for a four-night or longer stay, I can enjoy the IHG fourth-night-free reward benefit, a perk of my IHG One Rewards Premier Credit Card (see rates and fees).

In the case of Southwest, I've already been redeeming points for flights when I decide a Southwest flight is my best option. After all, Southwest could decrease the redemption value of its points at any time — such as how it decreased the value of Southwest points at the start of 2024 — while travel funds don't expire and should maintain their face value.

My husband and I typically alternate earning a Southwest Companion Pass every other year, and we usually accrue a sizable balance of Southwest points through credit card welcome offers while doing so. Then, we use those points to book as many of our Southwest flights as possible. We aren't planning to earn a Companion Pass this year, but I still have a lot of Southwest points in my account from when I earned a Companion Pass in 2021, so I'll use these as needed to book Southwest flights.

Related: How to earn and use the Southwest Companion Pass

Use a different program

Finally, it's worth considering whether negative loyalty program changes are enough to change your loyalty or encourage you to use a different program. Of course, even if you decide you're done with Southwest Rapid Rewards, Marriott Bonvoy or another program, switching will take time as you finish traveling on existing reservations and use up your remaining points. Or, you may not want to completely break with the program but instead continue using it when it makes sense.

For example, I'm not flying Southwest much this year since my husband and I don't have a Companion Pass. But if Southwest has a modestly priced nonstop flight on a route I need to fly, I'll likely redeem Southwest points to book the flight.

It's easy to keep using the programs you've always used. You know how they work, and you might have elite status (or even lifetime status). I'll admit that the Marriott lifetime elite status program compels me to keep earning at least Platinum Elite status. After all, I currently have lifetime Marriott Gold Elite status, and — assuming Marriott doesn't change its program — will earn lifetime Platinum Elite status after earning Platinum Elite status (and the required elite night credits for this status) for four more years.

But, especially with status matches and the ability to automatically receive or earn elite status through select credit cards, like the Marriott Bonvoy Brilliant® American Express® Card, it may be relatively painless to start using a new-to-you loyalty program.

Related: How and why you should maximize your hotel stays by using multiple loyalty programs

Bottom line

Loyalty should be a two-way street. So, if you aren't happy with your loyalty programs, it may be time to become a free agent or more involved with another loyalty program. I love certain elite status benefits, such as guaranteed 4 p.m. late checkout, confirmed suite upgrade awards and Oneworld Emerald status, so I focus on programs that provide these benefits.

I'm still giving Marriott Bonvoy some nights each year, as I'm only four years away from earning lifetime Platinum Elite status. However, I've grown frustrated with the loyalty program's many exclusions and how its benefits and earning rates often vary by brand. Plus, now that Marriott Bonvoy has started offering no elite night credits or elite bonus earnings at one brand, I expect more brands will follow.