Hyatt Expands Portfolio with Over 700 Mr & Mrs Smith Boutique Hotels, More Additions Expected

June 16, 2024
Partnerships, M&A

World of Hyatt, the loyalty program for Hyatt hotels, has formed a major new partnership by integrating the Mr & Mrs Smith boutique hotel collection. This adds over 700 luxury and boutique properties to the Hyatt portfolio in destinations like Fiji, Namibia, and the British Virgin Islands that were previously lacking Hyatt representation.

The Mr & Mrs Smith brand was founded by a couple, James and Tamara Lohan, who wanted to curate a collection of trusted, high-end boutique hotels after having some underwhelming travel experiences themselves. The brand has a rigorous vetting process to select unique, intimate properties like treehouses, manor estates, and even animal sanctuaries.

For World of Hyatt members, this hugely expands the redemption opportunities, especially for those seeking distinctive, locally-immersive stays. Members can earn and redeem points at these properties just like regular Hyatt hotels. Elite members will also get benefits like bonus points and space-available upgrades.

However, unlike standard Hyatt properties, there is no fixed award chart for the Mr & Mrs Smith hotels - pricing will be dynamically tied to the cash rate. Globalists also won't get guaranteed free breakfast, though some properties may offer it.

This is a major coup for Hyatt to attract over 1,000 boutique luxury properties and better compete with other major hotel loyalty programs that have similar boutique brand integrations. It's part of Hyatt's broader push into the luxury space as they double down on lifestyle/resort offerings.

From my perspective, this is an exciting development that significantly enhances the value proposition of World of Hyatt, especially for those looking for more unique, intimate luxury hotel experiences off the beaten path. The unpredictable dynamic pricing could make it harder to maximize redemptions, but having the option alone is valuable. Hyatt is wise to make such an aggressive move to remain competitive.

Maximizing Points and Status with Mr & Mrs Smith Hotels

One of the biggest questions for World of Hyatt loyalists is how to best leverage this new partnership to earn points and elite night credits toward higher tiers of status. While the fundamentals remain the same as other Hyatt properties - earning 5 points per $1 spent and elite bonuses on that - there are some nuances to be aware of.

For starters, only room rates and certain fees like resort fees will earn World of Hyatt points when staying at Mr & Mrs Smith properties. Incidental charges like dining, spa, and activities will not accrue points. This is different from most other Hyatt hotels where all on-property spending earns points.

There's also the question of using the World of Hyatt Credit Card for these boutique hotel stays. Typically, Hyatt co-branded credit cardholders earn 4 bonus points per $1 spent at Hyatt hotels. However, that 4x bonus will not apply for Mr & Mrs Smith properties since they are considered a separate travel program.

On the elite side, paid stays at these boutique hotels will count toward elite qualifying night credits, one of the two metrics Hyatt uses for determining status levels each year. So Globalist members chasing that 60 night threshold can leverage Mr & Mrs Smith hotels to help get there.

The benefits you receive on these stays will depend on your World of Hyatt elite tier. Lower tiers like Discoverist will likely only get the "Smith Extra" amenity, while Explorists and Globalists can expect space-available upgrades. However, unlike at regular Hyatt properties, Globalists will not receive guaranteed free breakfast at Mr & Mrs Smith hotels.

So in summary - earn the standard 5x points on room rates, take advantage of elite night credits and potential space-available upgrades, but don't expect elevated credit card earnings or guaranteed breakfast as a top-tier elite. It will take some strategic planning, but this partnership absolutely opens up many more options to earn status.

The Award Traveler's Guide to Redeeming at Mr & Mrs Smith Hotels

With over 700 boutique luxury properties currently participating from the Mr & Mrs Smith collection, and more being added every month, redeeming World of Hyatt points at these hotels is a prime consideration for many award travelers. However, it works a bit differently than standard Hyatt award redemptions.

The first key difference is that, unlike standard Hyatt properties which have a fixed award chart, Mr & Mrs Smith hotels will have dynamically-priced awards based on the nightly cash rate for a given date. This means the points required could fluctuate significantly.

While that may seem like a disadvantage at first glance, there is a bright side - if a standard room is available for sale, you can redeem points for that room type. At regular Hyatt hotels, only certain "standard"room categories are made available for award night redemptions.

Another unique aspect is that resort fees are waived on award redemptions at these boutique properties. Those pesky fees can often add $30-50 per night to the cash rate, so having them eliminated takes some sting out of the dynamic pricing model.

So how can you maximize your redemptions? Using historical pricing data from cash rates, it appears many Mr & Mrs Smith properties price around 0.8 - 1.2 cents per World of Hyatt point in value. This is actually quite good compared to many standard Hyatt redemptions.

The award traveler's best strategy is to focus on airline and credit card transfer partners to accrue large points balances for free nights at these luxury boutiques. Also be sure to leverage Hyatt's periodic promotions like bonus points on award redemptions.

With some planning and strategic timing, a 7 night award stay at a stunning Mr & Mrs Smith property could easily be had for under 200,000 World of Hyatt points - a bargain for such distinctive, upscale hotels. Just be prepared for the rates to fluctuate based on demand periods.

Source: Forbes

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