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Bad news: World of Hyatt announces annual category changes ... and they aren't good

Feb. 14, 2022
6 min read
Bad news: World of Hyatt announces annual category changes ... and they aren't good
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Even though it's Valentine's Day, there's no love from the World of Hyatt program today.

Hyatt has announced its upcoming annual category adjustments for its properties, and they're largely unfavorable for those who like to redeem Hyatt points, especially at some higher-end marquee properties.

Specifically, on March 22, 146 Hyatt properties will be changing categories. Of those, 76 hotels are moving to lower categories and 70 hotels are moving to higher categories. But don't let that breakdown give you false hope for this year's changes.

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This year, nine Hyatt properties will move from Category 7 to Category 8. While that top-end category isn't technically new, it has historically only been utilized for a small handful of Small Luxury Hotels of the World properties and Destination by Hyatt residences. The usual assortment of traditional Hyatt properties has previously topped out at Category 7, with a price of 30,000 points per night.

Now, with the movement of these properties from the Category 7 to the Category 8 level, and the March implementation of peak and off-peak pricing, what today costs a max of 30,000 points per night will cost as much as 45,000 points per night in a matter of weeks.

Inflation across the board is painful right now, but a 50% increase in the number of points required for some Hyatt properties in a matter of weeks feels ... especially high.

Further, several popular Category 4 hotels will move to become Category 5 properties. This is especially disappointing for those with Category 1-4 free night certificates earned with cobranded credit cards and as part of Hyatt's Brand Explorer perk.

The complete list of hotels that are moving categories is available here, but these are some of the main announced shifts that you should be aware of now:

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PropertyCurrent award categoryNew award category (as of March 22)
Park Hyatt New York78

 

Park Hyatt Paris-Vendome78

 

Park Hyatt Sydney78

 

The Confidante Miami Beach45

 

Alila Ventana Big Sur78

 

Alila Marea Beach Resort Encinitas67

 

Park Hyatt Milan78

 

Gild Hall, a Thompson Hotel45

 

Hyatt Place Moab24

 

Hyatt Regency Chesapeake Bay Golf Resort, Spa And Marina45

 

Hyatt Residence Club Dorado, Hacienda del Mar45

 

Hyatt Centric Center City Philadelphia54
Hyatt Centric Key West Resort & Spa67
Alila Napa Valley78
Andaz Maui at Wailea Resort78
Grand Hyatt Bali21
Park Hyatt Kyoto78
Park Hyatt Niseko Hanazono78

As you can see, many of Hyatt's best and most sought-after properties are moving up to Category 8.

Related: Ways to earn more Hyatt points

For context, last year, Hyatt moved just 11 hotels to different categories. This year, we're seeing nearly 14 times that many make moves.

As a refresher, here is the World of Hyatt award chart so that you can see the point pricing implications of these category changes for yourself.

World of Hyatt Award Chart
(Screenshot courtesy of Hyatt)

As discussed, those with the World of Hyatt Credit Card will no longer be able to use your free night certificates at hotels that are moving from Category 4 to 5.

Notably, this includes Gild Hall, a Thompson Hotel, which was one of the only opportunities to use a free night certificate in Manhattan. It also includes The Confidante in Miami Beach, which has been a popular way to redeem free night certificates for a beach vacation.

Additionally, those who earn the normally very valuable Category 1-7 award via hitting 60 nights per year or otherwise now see themselves holding a certificate that soon won't be valid at a number of Hyatt's most aspirational spots.

What makes that particularly egregious is that these soon-to-be-excluded hotels are not boutique fringe members of the program, but instead are name-bearing flagship properties of the Hyatt brand. The World of Hyatt program tells TPG that there are no plans to introduce a Category 1-8 award at this time.

The Park Hyatt New York. (Photo by Jonno Rattman for The Points Guy)

Bottom line

This announcement is a devaluation of World of Hyatt points, a trend that has hit a number of loyalty programs during the pandemic.

And while it appears that the number of properties moving up and down is roughly equal, a closer look quickly reveals that a disproportionate number of the hotels that are moving to higher award categories are the ones that are in the United States and the most popular European cities, while it's the hotels in the Middle East and Southeast Asia that are moving to lower award categories at a greater frequency.

If you plan to use your Hyatt points at any hotels that are moving to a higher category, you should make your reservations now. These changes go into effect on March 22 at 8 a.m. CDT.

Keep in mind that you can keep your reservation at its current award category by booking now, even it is for after March 22.

Featured image by (Photo by Andrew Kunesh/The Points Guy)
Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

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Card Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
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10XEarn unlimited 10X miles on hotels and rental cars booked through Capital One Travel
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The Capital One Venture X card is one of the best all-round travel credit cards ever launched. Not only is it offering a tremendous welcome bonus, but cardholders can earn tons of miles on everyday spending and receive a 10,000-mile anniversary bonus to boot. Its annual fee is $395, but cardholders can count on up to $300 in statement credits toward travel booked through Capital One Travel each year and other valuable benefits like access to Priority Pass lounges and Capital One’s own growing family of airport lounges.

Pros

  • Excellent welcome offer worth 75,000 miles after you spend $4,000 on purchases in the first three months.
  • Up to $300 in annual travel statement credits toward bookings make through Capital One Travel.
  • 10,000 bonus miles (worth $100 toward travel) each account anniversary.

Cons

  • The $395 annual fee might be expensive for some, but this card’s benefits provide much more value than that.
  • If you don’t travel frequently, this might not be the best card for you.
  • Earn 75,000 bonus miles when you spend $4,000 on purchases in the first 3 months from account opening, equal to $750 in travel
  • Receive up to $300 back annually as statement credits for bookings through Capital One Travel, where you'll get Capital One's best prices on thousands of options
  • Get 10,000 bonus miles (equal to $100 towards travel) every year, starting on your first anniversary
  • Earn unlimited 10X miles on hotels and rental cars booked through Capital One Travel and 5X miles on flights booked through Capital One Travel
  • Earn unlimited 2X miles on all other purchases
  • Unlimited complimentary access for you and two guests to 1,400+ lounges, including Capital One Lounges and our Partner Lounge Network
  • Receive up to a $100 credit for Global Entry or TSA PreCheck®
  • Use your Venture X miles to easily cover travel expenses, including flights, hotels, rental cars and more—you can even transfer your miles to your choice of 15+ travel loyalty programs
  • Named editors' choice for "Best New Credit Card of 2021" by The Points Guy
  • Earn 10 miles per dollar when you book on Turo, the world's largest car sharing marketplace, through May 16, 2023