Get More Out of The Occasional Hotel Stay

Next time you check into a hotel, consider signing up for its loyalty program.  Even if you are not a frequent flier, or usually stay with friends or relatives when traveling, you should still make the most out of your occasional hotel stay.

Most large hotel chains have loyalty programs through which you can earn hotel points or airline miles for your stay.  Even if you travel infrequently, you can still sign up for the program and opt to earn miles in the airline program of your choice.  This way, even if you don’t stay at hotels enough to score a free night, you can at least boost your frequent flier account. Continue reading

Advertisements

Best Buy Makes Changes to Its Loyalty Program, and You May be Out

In July, we wrote about Best Buy’s Reward Zone loyalty program, showing how it fit into our strategies for double/triple dipping on points and bonuses when shopping.  As of the end of this week, however, the Reward Zone program may no longer be that great of a deal.

On October 31, 2009, Reward Zone rules will change so that any points accumulated through the program will expire at the end of the calendar year and members have to make a purchase every 12 months to maintain their account.  So, while it will still be the case that Reward Zone members receive one point for every dollar spent at Best Buy, and every 250 points can be exchanged for $5 in store credit (effectively a 2% discount), this program will no longer be attractive to those who visit Best Buy only sporadically and don’t make big-ticket purchases.  Of course, Reward Zone is a loyalty program and should focus on its larger, most frequent customers.  Nonetheless, even those customers will likely lose out, since, after the changes, any points over a multiple of 250 will be lost at the end of the year.  That is, if a loyal customer spent $900 at Best Buy one year, for example, she will receive $15 in store credit and the remaining 150 points will be forfeited.

Only the most loyal customers are protected from that.  You can qualify as a Premier Silver member by spending $2,500 within a calendar year at Best Buy, and your membership is carried over through the following year.  Premier Silver members earn an extra quarter-point on every purchase, and their points roll over each calendar year they remain qualified.

Reward Zone is also still a good deal for gamers.  If you enroll your Reward Zone card into the “Gamers Club,” you will get 500 bonus points for every $150 you spend on videogames, computer games, and videogame accessories at Best Buy, on top of the regular points you earn.  If you spend $300 on eligible purchases, for instance, you will receive 300 regular points plus 1000 bonus points, or $5 (with 50 points remaining) plus $20 – essentially an 8% discount.

With these upcoming changes, it is likely that Reward Zone will loose its attractiveness to most people, making it similar to the Borders Rewards, where the principal membership perks are the coupons received rather than the points system.  But unlike Borders, which sends new coupons by email on an almost weekly basis, Best Buy’s Reward Zone coupons only come every few months, and are usually a 10% discount on one item from a very restricted list.

My advice for Best Buy’s less-loyal shoppers: Create or keep your Reward Zone membership just in case you make $250 or more in purchases within a calendar year or you receive a useful coupon; but if you don’t, don’t be disappointed.  Reward Zone is clearly being redesigned for Best Buy’s most loyal customers and gamers.

A Note of Encouragement

I am a firm believer in loyalty programs, but I know that with some of them it almost feels pointless to give your number/card since it looks like it could take years to reach a reward level.  But these past two weeks were great for me on that front, and I want to offer you a note of encouragement.

Two weekends ago, I received $2.50 Extra Bucks back (a free ½ gallon of milk or cereal?) from CVS for purchases I made during the spring.  A few days later, I redeemed $20 in cash back I had accumulated on Discover for a $25 gift card on Banana Republic, which I used over the weekend to get a top for free!  I use my Discover card mostly for purchases that give me a 5% cash back bonus, which means it takes me a little longer to accumulate cash back than if I used it as my primary card, but I still usually accumulate $20 every 3 or 4 months.

A $5 certificate on Best Buy also came through my Inbox last week.  Their Reward Zone program gives $5 for every $250 spent, and the netbook I bought for my mom last month was $250 and some change.  In the mail, I also got a $10 certificate from DSW just to welcome me to their rewards program (I have only ever made one purchase there before) – and there, $10 goes quite a long way.  And, a year since we first started using OpenTable, we finally reached the points for a $20 gift certificate, which can be redeemed at any member restaurant.  Admittedly, $20 is not much compared to how much we spent dining out over this past year, but being rewarded for using a service that makes life more convenient (no calling restaurants for reservations) is always great.

And in terms of future rewards, thanks in part to my AAdvantage/Citibank credit card, I recently reached enough miles on American Airlines for a free flight to Europe.  While I haven’t booked my ticket yet, I am planning on going to England in a month, and if my recent experiences with reward programs are any indication, I expect redeeming my miles for a flight will be a breeze, too.

Some rewards programs are obviously more generous than others, and I think that the instances in which it may make sense to spend money just to get a reward are few and far apart.  Nonetheless, if you diligently use your loyalty number/card whenever you do make a purchase, there just might be a reward coming your way sooner or later.