United Airlines Mileage Plus now allows the use of airline miles for a large selection of hotel awards.
The number of miles needed for a free night is related to the actual room rate, yet there is a wide range of redemption values depending on the hotel you choose. While many hotel free night redemptions will only have a value of about $7 to $9 per 1,000 miles, there are hotels with a redemption value in the $10 to $14 range per 1,000 miles. Loyalty traveler compared room rates with Mileage Plus redemption rates for some 4 and 5 star hotels in San Francisco and Las Vegas.
Mileage Plus Hotel Awards link.
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Mileage Plus Hotel Awards |
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San Francisco Hotels, Monday October 5, 2009 |
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Hotel |
Room Rate |
Mileage Plus Award |
Redemption Value per 1,000 miles |
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InterContinental Mark Hopkins |
$173 |
42,000 |
$4.12 |
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Hyatt Regency |
$206 |
27,200 |
$7.57 |
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Grand Hyatt |
$191 |
21,200 |
$9.01 |
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Westin St. Francis |
$310 |
26,400 |
$11.74 |
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Hilton San Francisco |
$205 |
17,450 |
$11.75 |
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InterContinental San Francisco (10-5) |
$304 |
22,250 |
$13.66 |
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Las Vegas Hotels, Friday October 16 |
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Paris Las Vegas |
$201 |
27,250 |
$7.37 |
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Mandalay Bay |
$235 |
31,500 |
$7.46 |
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Caesar’s Palace |
$269 |
34,600 |
$7.75 |
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Trump Hotel |
$175 |
21,900 |
$7.99 |
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Planet Hollywood |
$235 |
29,000 |
$8.10 |
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Hilton Grand Vacations on Strip |
$127 |
15,550 |
$8.17 |
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Palms |
$291 |
34,700 |
$8.39 |
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JW Marriott |
$246 |
28,550 |
$8.62 |
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Hard Rock Casino |
$139 |
14,950 |
$9.30 |
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Hotel at Mandalay Bay |
$394 |
40,550 |
$9.72 |
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Venetian |
$336 |
31,850 |
$10.55 |
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Ritz Carlton Lake Las Vegas |
$339 |
29,500 |
$11.49 |
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Palazzo Resort |
$370 |
31,850 |
$11.62 |
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Westin Casuarina |
$158 |
12,550 |
$12.59 |
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Four Seasons |
$461 |
31,850 |
$14.47 |
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The redemption values in the table above show a wide range between hotels, from a low value of $4.12 per 1,000 miles to a high value of $14.47 per 1,000 miles. The good news is these hotels listed in the table above are just a small portion of the high end hotels available. Hotels in the 2 star and 3 star category are under 10,000 miles per night in many locations.
Careful comparison shopping of Mileage Plus miles to prevailing rates for the dates of your stay is vital for getting the best value from a hotel award.
Airline and Hotel Comparative Redemption Value
A typical domestic economy class airline award of 25,000 miles redeemed for a San Francisco SFO – New York JFK with a retail price of $304 has a redemption value of $12.16 per 1,000 miles.
First Class SFO –JFK priced out at $5,489 or 70,000 miles. This is a high redemption value of $78/1,000 miles.
But seriously, would you ever spend $5,500 to fly first class in a 3-cabin aircraft domestically?
Frequent flyer experts will generally advise you to save up your miles for Business Class or First Class international travel to get the best value. For example, San Francisco, SFO – London, LHR in First Class can easily be a $10,000 ticket or 135,000 Miles. This ticket will have a redemption value in the range of $75 per 1,000 miles.
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Airline Ticket Nov 10-Nov 17, 2009 |
Class of Service |
Ticket Cost = Redemption Value US$ per 1,000 miles |
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San Francisco – New York |
Economy Class = 25,000 miles |
$304 = $12.16/1,000 miles |
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First Class = 70,000 miles (3-Class) |
$5,500 = $78.41/1,000 miles |
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San Francisco – Miami |
Economy Class = 25,000 miles |
$270 = $10.80/1,000 miles |
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First Class = 50,000 miles (2-class) |
$1,376 = $27.52/1,000 miles |
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San Francisco – London |
Economy Class = 55,000 miles |
$720 = $13.10/1,000 miles |
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Business Class = 105,000 miles |
$3,593 = $34.22/1,000 miles |
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First Class = 135,000 miles |
$8,995 = $66.63/1,000 miles |
The value of your miles increases greatly when redeeming for domestic or international Business Class or First Class tickets.
However, if you typically redeem your miles for economy class tickets, then you may find similar value using miles for hotel free night redemptions.
Previously Mileage Plus miles could be redeemed for a hotel certificate free night. This option is still available but hotel certificates are valid at only a select few hotel brands including Hyatt, Marriott, and Radisson.
Mileage Plus Hotel Certificates link:
http://www.united.com/page/article/0,5046,51237,00.html
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Hotel Brand |
Free Night Certificate |
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Hyatt Premier Certificate |
21,000 miles |
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Hyatt Inspire Certificate |
40,000 miles |
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Marriott Premier Certificate |
40,500 miles |
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Marriott Worldwide Elite Certificate |
45,500 miles |
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Marriott Participating Properties for Worldwide Elite Certificate |
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Radisson 1 Free Night |
28,000 miles |
Getting the best value from your Mileage Plus account miles requires selective use of awards for hotel rooms.
Spending 21,000 miles for a $300 per night hotel room is a decent redemption value on par with an economy class ticket.
Spending 40,000 miles for a $200 per night room is like spending 25,000 miles for a $125 economy class ticket and not a good value for your miles.
Your Mileage Plus miles can be redeemed for good value with hotels. Just be sure to compare your hotel options carefully and compare hotel rates in miles with cash rates to find good value.
