Trying to understand award redemptions

Discussion in 'Hilton | HHonors' started by Singapore Flyer, Oct 8, 2013.  |  Print Topic

  1. Singapore Flyer

    Singapore Flyer Silver Member

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    I don't know if this is a normal thing or not, but there are no standard rooms available at the Conrad Singapore for one of the days that we are going to be there next year. It is typically 60K. The only rooms available or either business, executive, or accessible rooms. The redemption for the room is ~225K each. The revenue price is about $780SGD or about $625USD.

    How is it that the price jumps up that much on the award redemption? It makes no sense. I get that it isn't a standard room. Double the points needed and i would understand, but to go almost 4x? That is over the top IMO. Our first choice was the IC as it is in a much better location, but they are having the same availability issues. Actually almost every (chain) hotel that I checked did not have availability for that day.

    This is more a rant than anything else. :mad:
    I do wonder if anyone knows why Feb. 13th is pretty much sold out around Singapore....my in-laws have no clue other than to say it is the end of CNY and the day before V-day. I don't quite "buy" that but I also have no other explanation to go with... :rolleyes:
     
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  2. MSPeconomist
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    MSPeconomist Gold Member

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    Try the Westin which is opening soon.
     
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  3. Singapore Flyer

    Singapore Flyer Silver Member

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    I currently have a reservation at the W and the Westin for that one day. If we are going to switch hotels, then I may give my parents a day visit to Sentosa or not...depends on the plans as it gets closer.
     
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  4. PedroNY
    Original Member

    PedroNY Silver Member

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    Just to provide the reason why the price jumps so much, is because Hilton prices their rooms based on $/point ratio. So once all standard rooms are sold off, then all other rooms are priced at about $1 = 300 or 400 HH points. That formula varies from hotel to hotel, but basically they attribute a value between $.0033 or $.0025 for each HH point. So if your price is $625 for a room they charge you 625 x ~350points = about 220,000 total points. My calculations may be off by a little bit, but I hope you get an idea of what I mean here.

    It is a shame as it would make more sense for us, point redeemers, to say that if standard room is $500 and the cost is 60,000 points, that means a room at $625 should be 60,000 points + ($125 x 350points) = 135,000 total price. At least, that would make sense to me if they attributed a specific value to each point, but only start pricing it at that rate above the standard rate room price. Again, this is Hilton Honors, so maybe you should consider SPG property instead for this time around.

    Cheers,

    PedroNY
     
  5. NYCUA1K

    NYCUA1K Gold Member

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    The only explanation for such high redemption rates is that those dates surround the Spring Festival (aka CNY). Why? Well, because rates at the Hilton SIN are just as high around the same time. On the other hand, the rates seem normal around mid-December '13 and Mid-March '14. In 2014, the official CNY day is on Jan 31, with the Spring Festival itself lasting typically15 days. It might just mean that folks will be visiting their families from all over within 1 month before and after the official CNY.

    Either that or nothing else makes sense...
     
    Last edited: Oct 8, 2013
  6. Singapore Flyer

    Singapore Flyer Silver Member

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    the CNY reason is the best one in my mind but still makes absolutely no sense. It is that week from Monday through Thursday night. All prices drop back down from Friday the actual 15th day and valentines day as well. When I spoke to the Hilton Dione desk to book they said they have no clue why the prices are so high at both locations. We have plans for "Lo hay" Friday night with the family but not much on Thursday. Lo hay = southeast Asian tradition of tossing various symbolic vegetables and fish to "ring in" the new year.

    Sent from my iPhone using milepoint
     
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  7. Singapore Flyer

    Singapore Flyer Silver Member

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    thanks for the point explanation. I never knew that. It would make a lot of sense if they used the standard room as a point basis for the higher prices rooms. I wouldn't be happy but I would pay that price point since I know that everything else is sold out. Oh well.

    Sent from my iPhone using milepoint
     
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