The Starwood Preferred Guest credit card, issued by American Express, has long been the darling of the miles-and-points set. But with the pending merger of Starwood with Marriott, the card’s future is in doubt.
27.07.2023 - 18:51 / smartertravel.com / Tim Winship
In February, when Starbucks announced it was converting its frequent-drinker program to a revenue-based scheme, there was a collective groan from the caffeinated crowd. As with similar conversions by the major airlines, Starbucks’ new earning rules would mean fewer rewards for most customers.
Under the old scheme, program members earned one Star per visit, and attained Gold status after 30 visits. Having reached Gold status, members received a free drink or food item after every 12 visits. (Sub-Gold members receive little beyond a free birthday drink.)
Under the new scheme, which took effect on April 12, members earn two Stars per $1 spent, but need 300 Stars to reach Gold status. And a free drink or snack will require 125 Stars.
RELATED: The 10 Most Expensive U.S. Cities for Business Travel
So before the transition, a Gold member could earn a freebie after spending as little as $24, for 12 $2.00 cups of coffee. With the new spend-based system, the same freebie requires at least $62.50 in purchases. And the freebie calculation is moot unless you can qualify for Gold status, which requires $150 in purchases during a calendar year.
Time to Redesign the Redesign?
Likely in response to drinkers’ displeasure with the program’s devaluation, Starbucks this week announced a limited-time promotion, providing Rewards members with a fast track to Gold status.
Through May 2, Rewards members will be awarded Gold status for a year after just a single Starbucks purchase. And current Gold members will have their status extended an extra year after a single purchase.
Gold Rewards members will still have to spend at least $62.50 to earn enough Stars for a free drink. But at least the initial hurdle, of qualifying for Gold status, has been effectively obviated.
The very fact that Starbucks has launched this promotion suggests that the company suspects the new requirements for Gold status are too high, and will be a disincentive to many prospective program participants. No doubt many Rewards members would agree.
Time for another program redesign already?
Reader Reality Check
Is Starbucks’ new program, with its high hurdle to attain Gold status, meaningful for you?
More from SmarterTravel: Win a Disney Cruise and Resort Stay for 4 When It Comes to Airports, Smaller Is Better American Nixes No-Fee 24-Hour Reservations HoldAfter 20 years working in the travel industry, and 15 years writing about it, Tim Winship knows a thing or two about travel. Follow him on Twitter @twinship.
We hand-pick everything we recommend and select items through testing and reviews. Some products are sent to us free of charge with no incentive to offer a favorable review. We offer our unbiased opinions and do not accept compensation to review
The Starwood Preferred Guest credit card, issued by American Express, has long been the darling of the miles-and-points set. But with the pending merger of Starwood with Marriott, the card’s future is in doubt.
It’s been awhile since Hyatt’s last systemwide bonus promotion. That will be remedied beginning next month, with a new offer that, at least for high-frequency travelers, will have been well worth the wait.
In a first for a U.S. airline loyalty program, Alaska Airlines is offering members of its Mileage Plan program the option to redeem miles to pay for TSA PreCheck service.
There’s a storm brewing in the rarefied air occupied by the priciest of the travel-rewards cards.
Alaska Airlines is justly lauded for its Mileage Plan loyalty program, which among other features boasts 17 airline partners, allowing program members to earn and redeem miles for flights throughout the world.
Until yesterday, American Airlines customers dismayed at the airline’s August 1 pivot to a spend-based mileage program had a fallback option: Earn miles for their American flights in Alaska Airlines’ Mileage Plan program, which still awards miles the old-fashioned way, according to the distance flown.
Tickets go on sale today from a brand-new airline.
Enter the Liberty Richter “Kitchens of India” sweepstakes by June 15, 2016, for a chance to win the grand prize: a six-day trip for two to New Delhi, India, including air, transfers, and hotel.
By traditional measures, Alaska Airlines is a carrier of decidedly modest size, even after its acquisition of Virgin America. Its own flight network is small, compared to those of American, Delta, and United. And it’s not a member of one of the three global airline alliances.
On Friday evening—traditional timing for bad-news announcements that companies hope will go unnoticed by the public and unreported by the media—American published the new mileage-earning rates, effective from August 1, for travel on AAdvantage partner airlines.
InterContinental Hotel Group’s next points promotion, Share Forever, begins next month and features bonuses for both the member’s own IHG Rewards account and to share with other program members.
Enter the Babich Wines “Trip to New Zealand” sweepstakes by August 31, 2016, for a chance to win the grand prize: a seven-night trip for two to New Zealand, including air to and within New Zealand; hotels in Auckland, Marlborough, and Queenstown; choice of activities; and a NZD$1,000 gift card.