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Marriott announced in late 2016 that it was acquiring Starwood, and in the process becoming the world’s largest hotel chain.
While the two loyalty programs until now have operated as separate entities, yesterday Marriott finally revealed its new combined loyalty program, which will start on August 1st.
As most of our users aren’t road warriors, I’ll be focusing on what matters the most for those who are leisure travelers.
What’s New?
Effective August 1st, Marriott will reorganize elite members from both programs into a new elite tier system consisting of silver, gold, and various levels of Platinum.
Current Starwood points will be converted to Marriott points at a ratio of one Starwood Point to three Marriott Points.
Under the new program, Marriott is making Platinum status, which requires staying 50 nights annually, the starting point for any real benefits such as five suite night rewards, lounge access, and complimentary breakfast.
If you don’t travel often but have a credit card that currently gives complimentary SPG gold status, such as the AMEX platinum, you’ll no longer receive free breakfast nor lounge access.
JW Marriott Jakarta Lounge – No longer accessible for AMEX Platinum Members
The number of Marriott categories will be condensed from 9 to 7, with subsequent point increases across the board. In 2019, Marriott will add Off-Peak and Peak awards, with corresponding slight increase or decrease in the number of points needed.
However, this does mean that ultra-high-end Starwood hotels will end up costing less, with the most expensive points redemption capped at a mere 20,000 SPG (60,000 Marriott) points. This does seem to be too good to be true, as, under the old Starwood program, a few top-tier hotels would set you back 35,000 SPG points.
World Famous Hotel Danieli will go from 105,000 Marriott points to 60,000 Marriott points
It is unclear which hotels will be placed in a specific category, but one can assume Marriott will eliminate quite a few sweet spots that remain.
There are several pieces of other good news, noticeably the things that Marriott did not change.
The new Marriott program keeps intact the ability to transfer your points to various airlines such as Alaska Airlines & Asiana.
Fly Cathay Pacific First Class to Johannesburg for 180,000 Marriott Points
The customary 25% transfer bonus will still apply for every 20,000 SPG Points (now 60,000 Marriott Points).
Additionally, my favorite award redemption, the Marriott travel package, remains untouched and as of now, the number of points required remains the same.
New Credit Cards Coming Soon
Alongside the new Marriott program, two new credit cards will launch within the coming months: the Starwood Preferred Guest American Express Luxury Card and the Chase Marriott Rewards Premier plus Credit Card.
Starwood Preferred Guest American Express Luxury Card
American Express will launch a brand new ultra-premium card with a rather hefty $450 annual fee. The main benefits are a $300 yearly credit for purchases at Marriott properties, Priority Pass membership, and an annual free night for a Marriott Property up to a category 6 (50,000 points), along with Marriott Gold Status.
Marriott Renaissance Seoul
Like the Marriott Rewards Premier Plus card, purchases on the AMEX SPG luxury card would receive 2x points on all purchases made, 3x spend on dining in the US, and 6x for all Marriott spend.
If you frequently stay at a Marriott property, this card could make sense, given that most category six hotels would retail over $150.
The additional perks such as Priority Pass membership would be useful for those who don’t have it.
However, I am disappointed the card doesn’t offer complimentary Platinum status, given the high annual fee. You could theoretically earn platinum by spending $75,000 annually, but that seems like a bit of overkill.
The low general spend earnings rate also fails to inspire excitement. In fact, the current SPG AMEX card earns 3x Marriott points per dollar spent (due to the favorable transfer ratio).
In addition to the newly launched card, AMEX is also making changes to its two existing SPG card products, the Starwood Preferred Guest Credit Card & the Starwood Preferred Guest Business Card.
Both cards will now give complimentary silver elite status, earn 2x Marriott points for every purchase, and come with a free annual night for any Marriott hotel up to category 5 (35,000 points).
Business card users will also receive 4x Marriott points for gas, dining, and phone services within the US. However, SPG Business Card cardholders will no longer be eligible for Sheraton club access.
Overall the new earnings updates are a significant devaluation from the previous 3x Marriott points earned for each purchase made. However, the addition of the free annual night certificate will make these two cards a keeper for me.
Imminent End of the Starwood Preferred Guest Personal Card
As part of the new combined award program, American Express will soon no longer issue new Starwood Preferred Guest Personal Cards.
The Starwood Preferred Guest Personal Card has always been among my favorite personal cards out there, and although the decrease in earning Marriott points will hurt, the opportunity to receive a sign-up bonus of 25,000 SPG Points (75,000 Marriott Points) makes the card worth applying for.
Update, 4/19: SPG Personal Card no longer has a signup bonus.
Fly on Japan Airlines Business Class within Asia for just 20,000 SPG Points
Plus, having an extra card that will bestow cardholders an annual free night for Marriott hotels up to a Category 5 (35,000 points) should more than cover the annual fee.
See Also: Best Ways to Use SPG Points
Marriott Rewards Premier Plus Credit Card
The new Chase Marriott Rewards Premier Plus Card will have a sign-up bonus of 100,000 Marriott Points, and cardholders will receive an annual free night certificate, valid for any hotel up to a category 5 (35,000 points).
Bangkok Marriott Sukhumvit Soi 57
Additionally, cardholders receive Marriott Silver or Marriott Gold if they spend $35,000. Both new status levels offer very few meaningful benefits for the casual traveler. However, cardholders do receive complimentary free premium Wi-Fi.
One significant upgrade over the current Marriott Rewards card is the ability to earn 2x Marriott points for every purchase made.
Even with additional bonus spend, the card is a bit underwhelming, and wouldn’t be among the first hotel cards I would apply for.
However, this does present an opportunity as you’re still currently able to apply for the Marriott Rewards Premier Card, which offers similar benefits.
As with previous card launches, you’re eligible to receive a sign-up bonus for all new products, which means you could sign up for both cards and receive both sign up bonuses.
Keep in mind that Marriott cards do count under Chase’s 5/24 rule, and although you could double dip, I’d advise doing so only if you’ve already applied for the major Chase cards.
Update, 4/19: The Marriott Rewards Card is no longer available.
You can view the current sign up offer for the new Marriott Rewards Premier Plus Credit Card Below:
Optimal Card Strategy Going Forward:
If you are a heavy spender, the lower earnings on purchases made with the SPG Personal & Business card will hurt.
However, with American Express discontinuing the Starwood Preferred Guest personal credit card soon, I’d advise those haven’t applied for the card to do so as soon as possible.
As a reminder, if you’ve already applied for the Starwood Preferred personal credit card before, you’re not eligible to receive another sign-up bonus.
The current sign up offer of 25,000 SPG (75,000 Marriott points) is not an all-time high but is still worth an application for American Express discontinues the card.
There is the chance to double dip and earn two Marriott sign up bonuses before May. You can find the current SPG Personal & Marriott Card offer below:
Summary:
Overall Marriott seems to have done an excellent job of combining new programs. For those who aren’t gunning for top-tier elite status, the number of points for specific mid-level properties will probably go up, while a few high-end Starwood properties will go down.
The addition of peak periods in 2019 will limit the value of future award redemptions. However, as the best use of Marriott points will be to transfer to various airlines or redeem them for a Marriott Travel Package, this isn’t too much of a concern.
Leisure travelers who hold the AMEX Platinum card will lose free breakfast and lounge access, and there won’t be an easy way to achieve Marriott Platinum Status.
However, the addition of two new cards is always exciting news and presents a limited time opportunity to double dip.
