Starwood And Delta Air Lines Announce ‘Crossover Rewards,’ Joint Loyalty Program Benefits

crossover rewards delta and starwoodThere’s news this morning of a new partnership called Crossover Rewards that’s forming between two juggernauts in the travel industry. Starting March 1, Delta Air Lines and Starwood will be sharing some benefits from their loyalty programs, meaning members of SkyMiles and Starwood Preferred Guest will soon be able to enjoy perks extended to their partner program without earning status on the other side.

Shared benefits vary by the level of elite status but will not include the entire spectrum of perks. Delta Platinum and Diamond members, for example, will be allowed a late checkout and free Wi-i, but will not get complimentary room upgrades. Similarly, SPG members will enjoy a free checked bag, priority boarding and priority seating, but will not get upgrades. In both programs, booked travel will earn points for each loyalty account.

The move aims to target loyalty members from a different market sector and hopefully entice them to bring loyalty to another program. Simply put, this is an easy way for each brand to target highly profitable and highly loyal customers at low risk, so it’s an easy partnership to forge.

This isn’t the first time that loyalty programs have teamed up for earnings. Hilton Hotels has been using a double dip program in HHonors for several years where loyal travelers can allocate a part of their earnings to an airline mileage account.

Unique to Crossover Rewards though is the elite benefits that are being shared. Under this program, even if the Delta Platinum has never set foot in the same city as an SPG property there are still benefits to be collected. It’s a great incentive to loyal travelers and a savvy move by Delta and SPG. Hopefully the other carriers and hotels catch on.

[Flickr photo via Ed Yourdon]

Loyalty Programs Change, Evolve With Mergers

Loyalty programsLoyalty programs keep travelers coming back, granting more perks and benefits the more they use a service provider. But what happens as the world of travel evolves and companies merge to gain efficiency and price advantage or just to stay in business? In some cases, the customer comes out ahead.

Southwest Airlines’ merger with the AirTran Airways subsidiary is well underway. Though not yet complete, the company is bringing the benefits of each carrier’s frequent flier program to the members of both.

Air travelers who are members of both Southwest’s Rapid Rewards program and AirTran’s A+ Rewards plan can shift program credits between the two in order to redeem award travel on either airline.

The move gives Southwest Rapid Rewards members some new vacation options. AirTran flies to destinations Southwest doesn’t serve in Mexico and the Caribbean. Still, only credit transfers between accounts are allowed, as the two loyalty programs remain separate.

“Rapid Rewards members can transfer 1,200 program points or one Rapids Rewards credit into one A+ Rewards credit. AirTran frequent flyers can switch one A+ credit into one Rapid Rewards credit. The A+ program requires 16 credits for one round-trip coach ticket on AirTran, and Southwest’s program requires 16 credits for one Standard Award ticket. Thirty-two A+ Rewards credits are worth one Freedom Award in the Southwest program,” said an article in Executive Travel Magazine.

Thinking of other frequent flier programs, a common question is raised: What might happen to accumulated points if a proposed merger of American Airlines and US Airways occurs?

Experts agree: probably not much.

“All things being equal, I would expect a merged American-US Airways frequent flier program to be somewhat less generous than the two airlines’ programs today,” said Seth Kaplan, managing partner of Airline Weekly in a Reuters report. “Maybe you’ll need more miles for free tickets to certain regions, or maybe award seats will be more scarce, or maybe it’ll be harder for elite fliers to get first-class upgrades.”

Kaplan offers the following advice:

  • Start using up your miles, particularly if you’re interested in flying on a carrier in an alliance that might not be available to you when the deal is done.
  • Shop around to see whether another airline would meet your needs. But make sure the carrier flies the routes you most travel. This way when one of them starts dangling offers to lure you, you’ll know if it’s a smart move to shift your loyalties.
  • Take advantage of deals still being offered in the current programs, such as free upgrades.

The notion that travelers are “married to their frequent traveler programs” may not be a stretch. In a survey conducted in January by Starwood Preferred Guest, 73 percent of participants chose their loyalty program benefits over a spouse if they could take just one on the road.

Frequent Flyer Diet



[Flickr photo by Thomas Hawk]

Best Strategies for Hotel and Airline Loyalty Programs

LoyaltyWorking loyalty programs for airlines, cruise lines, hotels or rental car agencies can be tricky business. Core benefits of one program are often overshadowed by promotional offers from another. Navigating our way around them in an organized manner to get the most benefit, then keeping track of what we earn can take a lot of time that few are willing to invest. Those who do not travel all that much often find themselves belonging to a bunch of programs with little value racked up on any of them. Still, the benefits of being a member can be worth our time, even for an occasional traveler, armed with the right strategy.

“To make sure you get more benefits, either in free flights or elite traveler perks, consolidate your miles into as few airlines as possible,” recommends iFly. “The more miles that you can build on one card, by using that airline or its partners, the faster you get your rewards.”

That strategy works for hotel chains as well and focusing on programs that offer more can help. Third-party web sites like FindTheBest rank airlines, hotels and others for us, consolidating benefits, perk thresholds and more to easily see which programs are a good fit for an individual’s travel profile.

“At FindTheBest, we present you with the facts – stripped of any marketing influence – so that you can make quick and informed decisions. We present the facts in easy-to-use tables with smart filters, so that you can decide what is best,”says FindTheBest on its web site.

Once points start coming in, another helpful website, AwardWallet, can make keeping track of them easy. AwardWallet is a free service that helps us manage reward balances, supporting over 400 loyalty programs. AwardWallet is also used by businesses to manage their corporate reward balances.

Loyalty pays off, but as new offers come along, getting in on them can be to our advantage as well. Another site, BoardingArea, features the latest offers for airlines, hotels and more.

Occasional travelers can also benefit from being a part of a loyalty program at work. Hotels are going after businesses with bonus programs that give top-tier benefits, normally reserved for heavy users to occasional travelers signed on under the company program.

Best Western, for example, has a new Business Advantage program where members get an across-the-board 10 percent discount off the hotel’s lowest rate, automatic elite-level membership benefits and a 10 percent bonus of all the points earned. When these programs initially roll out, expect extra value too.

A special bonus offer through April 8 gives Best Western Business Advantage participants who stay with the chain just one night during its Spring Promotion a free membership to Trip It Pro (normally $49), a personal program that helps business travelers keep track of their trips and their rewards.

Frequent traveler programs are a hot topic and relationships with hotel loyalty programs run deep, often causing members to lie, cheat or pose as someone else to get ahead said a survey Gadling reported on earlier this month.

In a survey by Starwood Preferred Guest respondents said they would try subterfuge to get upgrades and were not above telling little white lies to get a better hotel room or a hotel/airline travel upgrade,” Starwood said in TravelAgent. Nearly half of respondents claimed they would pretend it was their honeymoon to get an upgrade. 25 percent would pretend they had a family emergency and 20 percent would pretend to be someone important.

All they really had to do was have a strategy for their loyalty program participation that included joining the right program, keeping track of awards and taking advantage of other offers that may come along.



How to Get Travel Perks with Loyalty Club Membership

Flickr photo by Larry Johnson

Starwood first to launch user ratings and reviews on its hotel websites

Reader-generated hotel reviews – and the sites that host them – have gotten a bad rap lately. But, it’s for a good reason. In July, TripAdvisor came under scrutiny when it was revealed that some hotels were paying TripAdvisor users to post positive reviews of their properties. There have also been concerns that hotel employees and management were posting positive reviews of their properties in order to improve their online ratings and, thus, improve their rankings and visibility.

Knowing that a few bad reviews can break a hotel, hotel companies understandably have been resistant to allow customers to post reviews on their websites. This week, however, Starwood announced that it will be the first hotel company to host reader-generated ratings and reviews on its websites. Starwood Hotels and Resorts, the parent company of such brands as Westin, Sheraton, W Hotels, St. Regis, and Le Meridien, will allow hotel guests to post both positive and negative reviews in order to provide a more honest and transparent relationship with its customers, particularly members of the Starwood Preferred Guest (SPG) program. In turn, potential reviewers must have verified hotel reservation confirmations in order to post a review. Customers will be able to post reviews and ratings on room comfort, staff helpfulness, cleanliness, and SPG recognition, among other factors, as well as provide context to their reviews, such as purpose and frequency of travel. Users also will be able to share Starwood reviews on social media sites like Facebook and Twitter.

Starwood’s move to allow reviews on its websites is a way to bring more customers directly to the source rather than via third-party booking and review sites. Says Chris Holdren, Senior Vice President of Starwood Preferred Guest, “Our goal is to provide everything a guest needs to select and book their best hotel experience and there’s no better place to offer this information than on our own websites.”

Starwood makes checking in a social affair

Starwood and foursquareStarwood Preferred Guest, the rewards program for such brands as Sheraton and Westin, just took “checking in” from the front desk to the iPhone, BlackBerry and Android. The hotel company is launching a new program with social media company foursquare to increase member benefits.

According to foursquare’s blog, this partnership is “the first truly global loyalty integration of its kind,” an appropriate statement for a corporate blog, of course. Here’s the upside for you: when you check in (on foursquare) while checking in (at a Starwood), you can pick up more points, get free nights and win contests.

In the past, foursquare has worked with Heineken, American Express and others, but this appears to be its first foray into travel, a natural fit for a company that has built its business around location.