Hyatt To Move to Dynamic Pricing in 2020

Hyatt has always been one of my favorite hotel brands out there, but we’ve gotten some bad news that really has me questioning my loyalty for them. 

The Changes

There will be two different changes that are coming in March of 2020. The first change is that they are introducing dynamic – peak and off peak pricing for award stays. The second change has to do with the number of points needed when redeeming for dining, spas, and other packages. If you book a room, and the price of the room goes up after you’ve booked it, you will not have to pay the difference. Additionally, if the price goes down in value, you will be refunded the difference. If you choose to redeem with points and cash, you will need at least 50% of the value in points. 

The breakdown for peak and off peak pricing can be seen in the tables below:

Hotel Category Off Peak  Standard Peak
1 3,500 5,000 6,500
2 6,500 8,000 9,500
3 9,000 12,000 15,000
4 12,000 15,000 18,000
5 17,000 20,000 23,000
6 21,000 25,000 29,000
7 25,000 30,000 35,000
8 35,000 40,000 45,000

Below you will find how much your points will now be worth when redeeming for things other than hotel stays such as dining, spas, and other packages. 

U.S. Dollar Credit Previous Points Required New Points Required
$10 2,000 1,000
$25 5,000 2,500
$50 10,000 5,000
$75 12,000 7,500
$100 15,000 8,000
$150 20,000 12,000
$250 32,000 20,000
$500 60,000 35,000
$1000 120,000 65,000

Final Thoughts

When it comes down to it, it’s never good news to report on peak and off peak pricing. When tables are fixed, it makes it easy to really see how much value you’re getting, and how many points you need to save up for a certain redemption. In theory, if you went and got an off peak price for something, you would save some points, but I’m still skeptical until we see what really happens in the long term.

On the plus side, it will not be universally cheaper to use your points for additional services while on site such as dining and spa packages. While overall much better, they seem to be cutting the pricing is about half, they are still expensive for me to recommend, I think you’d get better value by just paying cash for these, or charging them to your room. Still, they’re your points, and you can use them how you wish.

One final thing to note is that with dynamic price changes like this one, we have seen some finagling with the free night certificates. I’m referring to Marriott specifically. What was once broken down my category, was changed to the pricing for the free night. It made it no fun when we realized that the hotels were increasing in price most of the time, and how 35,000 points got users almost nowhere. As far as we know, the Hyatt free night certificate is still tied to category, so we should be ok. Let’s hope for the best they don’t mess with the free night cert.

How do you feel about these changes? Are you seeing better deals for your travel plans? Do you think redeeming Hyatt points for dining or spa packages is a better deal now? Let us know down in the comment section below. 

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