Announcing Annual Marriott Rewards Hotel Category Changes and Cash + Points Launch
This year, in addition to the annual news, the program is ready to announce the launch date of a revamped Cash + Points redemption. As communicated late last year, we are continually evolving the Marriott Rewards program in order to increase its’ convenience and attractiveness to Next Generation travelers while retaining Elite member preference. Due in part to the many changes we’ve communicated over the past few years, there are fewer annual category changes this year and they are expected to be better received by the membership.
New Cash + Points Launching March 24
The new Cash + Points redemption option will provide a new revenue opportunity for hotels during their need times and is fully yieldable. Hotels will be reimbursed at the cash portion of the rate or their blended rate, whichever is higher. Nights redeemed for Cash + Points will count fully toward the blended rate calculation.
As you may recall, the revamped Cash + Points will offer members the ability to use a mix of cash and points within a redemption night. Today, members are able to mix cash and points for the entire stay. This key member benefit will provide instant gratification – with flexible and attainable currency for members with lower point totals.
We are preparing to launch this new member benefit on March 24. In advance of this date, Front Office and Operations associates will receive details and training, which will be communicated via the February 15 Weekly Update.
Annual Changes
Hotel Categories
Along with most hotel loyalty programs, Marriott Rewards reviews hotel categories each year and makes system-wide changes based on the average reimbursement rates at all hotels. We completed this year’s review and are only moving 13% of hotels up and 5% of hotels down a category level, globally. Last year, we moved 36% of all hotels, either up or down a category level.
As a reminder, hotel categories are based on each hotel’s overall average reimbursement rate (total reimbursement revenue received divided by total redeemed nights). Hotel category changes impact the points required by members to redeem at your hotel(s), but do not impact your Marriott Rewards annual blended reimbursement rate or reimbursement policy.
On Thursday, February 18, Marriott Rewards will announce which hotels are changing categories as part of the annual review. The changes are effective for all redemption reservations booked on or after March 24, 2016. The Marriott Rewards category award chart will remain unchanged and the points values required at each category level are not changing.
Inventory Control Dates (ICDs)
Marriott Rewards is also reviewing the ICD allotments for hotels. In light of the reimbursement changes last year, we want to continue to provide hotels with additional flexibility to manage redemption demand. Hotels may appeal their ICD allotments at any time during the year.
Key Upcoming Dates
- February 18, 2016: Marriott Rewards to announce 2016 Category/ICD changes and provide Cash + Points information to hotels
- Email delivered to all hotels via contact listed in HPP starting Monday February 22
- February 18, 2016: Member Notification of Hotel Category Changes and Cash + Points launch date
- Posted on MR Insiders (Marriott Rewards’ Social Forum) & FlyerTalk.com
- Complete listing of hotels moving a category and FAQs will be available on MGS
- March 24, 2016: Hotel Category/ICD changes to be updated across all touch points, including Marriott.com and MARSHA. In addition, HPP will update ICD screens to reflect each hotel’s allowable ICDs for 2016
- Please note: Available changes for ICDs were reset on January 1, 2016 to four (4) changes for the upcoming year
- March 24, 2016: Cash + Points to become available to hotels and members
For more information and answers to some frequently asked questions, please review the FAQs on MGS.
