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The end of Hotels.com Rewards? Expedia Group to merge all of its loyalty schemes

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With unfortunate timing – given that we’ve run two articles on Hotels.com and Hotels.com Rewards in the past week – it seems that Hotels.com Rewards is going away.

This is, probably, going to be bad news.

Most people don’t realise that Hotels.com is part of Expedia Group. Other sister companies include Vrbo, Travelocity, eBookers and Orbitz.

Expedia Group to merge all of its loyalty schemes

Many of these brands have their own loyalty programmes. Expedia Group claims that, globally, it has 145 million members across its programmes, which puts it on the same level as the main hotel loyalty programmes.

The problem is that – apart from Hotels.com Rewards – these loyalty programmes are rubbish.

Who do you think is going to win out when the schemes are merged?

What do we know about the new Expedia Group loyalty programme?

According to Expedia Group:

customers can soon enjoy the most complete travel rewards offering in the industry. The program will consist of unique member pricing discounts and the ability to earn and redeem rewards across all Expedia Group brands, such as Expedia, Vrbo, Hotels.com, Travelocity, and Orbitz. The new program will span flights, hotels, vacation rentals, car rentals, cruises, and activities.”

Members will find that “their current rewards will be even more valuable, as they will gain access to the world of Expedia Group through one consolidated, easy to use program.”

Expedia to merge loyalty schemes

Why am I doubtful about this plan?

There are a few structural reasons why this idea may struggle to gain traction and, specifically, why it may be bad news for Hotels.com and its loyal users.

The first is that, for years, Expedia Group has actively avoided telling people that it owns all of these brands. If customers are looking for a hotel and they only check Hotels.com, eBookers and Expedia, then Expedia Group wins either way. A combined loyalty scheme will make it clear that these companies are, effectively, the same.

Secondly, my view of Hotels.com is that it was specifically designed to appeal to customers who want rewards. It was always weird that you could book a hotel on Hotels.com and get 10% back in reward credit, whilst the same room booked on eBookers or Expedia got you very little. This strategy seemed to work though.

Thirdly, by being purely ‘hotel only’, it was easy for Hotels.com to strike partnerships with airlines. This may get trickier when Hotels.com customers are signed up for a loyalty programme which encourages you to book your flights with them too.

Fourthly, the money in travel is in hotel bookings. You can’t make any money off flights because airlines effectively stopped paying commissions years ago. This is why online platforms add fat fees to flight only bookings and/or try to force you into booking a hotel during the same transaction. How do you make a loyalty scheme which works well across both flight and hotel bookings?

Expedia Rewards and eBookers BONUS+ are duds

We reviewed Expedia Rewards here.

How good is it? Put it this way, you would need to spend £1,750 on hotels to get £25 back.  You’d need to spend £700 on flights to get just £1 back.

If this is the basis for the new combined programme, heaven help us.

We reviewed eBookers BONUS+ here.

Base members who book via the website get 3% back on hotels, 2% back on holidays and 1% back on flights.

Compared to the 10% you get back on hotel bookings via Hotel.com Rewards, these schemes are a joke. Whatever Expedia Group decides, I’m sure that the one thing it WON’T do is keep the rewards on hotel bookings at 10%.

What happens next?

Let’s wait and see. There is no timeline yet for the rollout of the new programme. More specifically, we have absolutely no idea what will happen to existing but unused Hotels.com Rewards free nights or ‘stamps’ earned towards future free nights.

On the upside, if you are an active member of Expedia Rewards or eBookers BONUS+ (but why?!) then I think you will end up better off than you are now.

You can read the full news release here.


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Comments (96)

This article is closed to new comments. Feel free to ask your question in the HfP forums.

  • BC says:

    Completely disagree regarding Ebookers. Nearly always at least a 10% discount code (12% at the moment) over the last few years, plus 5% rebate credit for booking through app. Makes it a winner over hotels.com almost every time.

    • Beardless Hipster says:

      Ebookers most certainly is a better scheme than hotels.com In addition to the instant discounts you get 2 lounge passes per year with platinum (1 pass with gold). Book rooms for other people from your account and still get night credits.

      • CarpalTravel says:

        Already this is backfiring for Hotels.com. I didn’t know much at all about ebookers but now I do, I’ll be looking towards them for potential future bookings.

        Once I’ve used up my collection of rewards nights, at least.

      • Jon says:

        Ebookers is owned by Expedia too. You get to share in crappy ‘rewards’

        • Rob says:

          Hotels.com also lets you book for others from your account and get the night credits.

          The airport lounge pass benefit is decent, which we stress in our review.

        • CarpalTravel says:

          Two reading fails in two days. I’m on a roll… 🤦

    • A13 says:

      Completely agree. 5% instant rebate through the app and stacks with discount codes which have pretty much always been available too. Has been my go-to scheme for years.

    • Rob says:

      The discount code is separate to the loyalty scheme – and Hotels.com discount codes, in some (not all) cases, trigger the free night credits too.

  • John says:

    You don’t receive 10% back with Hotels.com. You get 11 nights for the price of 10. That’s getting back 9.19% by participating which should reasonably be rounded down to 9%.

  • Jon says:

    Bugger. They better not cancel the £500 worth of spendable reward nights I have banked. Time to cancel my next stays and rebook as rewards.

    We should not be surprised I suppose. I always thought it was odd that Expedia group had such different operating models.

    • Mark says:

      I think they’d find themselves on the receiving end of a few MCOL actions if people aren’t given a reasonable opportunity at least to cash in existing reward nights, as existing stamps / stamps due on existing bookings. On the assumption it changes to a credit off future bookings type approach I’d expect the value of that to be rolled into the new scheme.

  • A13 says:

    Ebookers BONUS+ is the better reward scheme, and if we’re losing that then that is the unfortunate thing, not hotels.com rewards.

    • pauldb says:

      +1

      I wonder if cash back/discount codes is part of their thinking as well as loyalty %s. Somehow booking.com seem to do nicely out of paying zero to 4% cash back and only some opaque discounts.

    • Aso40 says:

      Agreed, much prefer ebookers – better cash discounts overall up front, which is good as only book independent hotels occasionally. Really never seen the appeal of hotels.com.

      • Rob says:

        That’s fine – you’re the eBookers sort of customer with that profile. There is a guy who responded to my LinkedIn post who has booked 500 nights with Hotels.com, banking 50 free nights. That’s the Hotels.com sort of customer, and the one they may now lose. He is worth 100 of you, commercially.

        • KBuffett says:

          Hotels.com is/was fantastic for people who expense bookings or book for others.
          Surely they know that and I’d be surprised if the completely terminate the current scheme

          • tony says:

            Well perhaps they launch a RocketMiles type scheme which to me seems little like an elaborate tax dodge for road warriors.

            You pay over the odds for a hotel, get a huge wad of air miles in return and your employer is hopefully none the wiser.

            So if the demographic is split as clinically as that, you get lower prices across the board and no or limited rewards for the 95%, vs an exceptionally high price and generous rewards for the 5% who want that sort of thing.

          • Rob says:

            No VAT receipts from RocketMiles, so employer is not happy.

          • John says:

            That’s disputable. You know, if your employer allows you to keep miles/points/CB, you could as well book direct. E.g., Accor gives up to 14% CB through the pertinent portals. That directly beats hotels.com. And you get the points on top. Of course, other programs such as Marriott don’t pay more than 5% CB. But depending on the promos they’re running, you still may come out ahead of hotels.com.

    • Alan says:

      @Rob no VAT receipts from Expedia either though? Certainly not on my recent booking.

      • AL says:

        Long time Hotels.com user here. Lack of VAT receipts is number one thing that irks me.

        • CarpalTravel says:

          Yeah, has been a bit of a pain for me. And their woeful map search, moving about on its own once you ask it to refresh the search and resetting the filters. Won’t miss those things.

        • Chris says:

          Look for “Pay at property available” on the hotel page, select “Pay at hotel” if you get a payment option pop up and for good measure check before confirming the booking that “Your card won’t be charged – it’s only needed to guarantee your booking” shows below card details and the “Payment schedule” on the right shows 0 due now and the full amount due at property.

          Once at the hotel they will require your payment card to check in as they have not yet had any monies. On checkout ask for the VAT receipt. If they start going on about Expedia/hotels.com just point out as it was paid at the hotel deal the hotel needs to issue the VAT receipt.

          All still a faff and wish they would streamline this process.

          • Alan says:

            Ah OK, yep I can see would still be possible on post payment, this was a prepaid booking.

  • BJ says:

    Agree 100% with the comments here that ebookers bonus+ is the better scheme, it is certainly not a dud. The perks in combination with port@ls yield a high return, especially if staying close to the platinum qualification requirement. However, there always was a need to check eboojers rates versus the competition as they were often higher but we got substantial wins sometimes too. If anything it was hotels.com that was closer to a dud for reasons others have already posted but I would not go that far, it just depended whether people preferred the simple option of a bit less than 10% back to use on hotels com by sticking with their own loyalty scheme or if they preferred 10%+ back in hard cash to spend as they wished for a little bit more hassle via the port@ls. Personally I preferred 10%+ option with ebookers as the lounge passes were always useful when flying Air Asia at points when I was without PriorityPass.

    • meta says:

      I value lounge passes at £0 as at any point we have lounge access either via Amex Plat or HSBC cards. I also sometimes get extra money on hotels.com via port@ls even when using a reward night (I’d say a bit more than half of the time). As of last year, when using codes you can also earn reward night stamps and also there are Secret Prices available to members which are pretty good. I had huge discounts in the past…

  • BJ says:

    As readers though, we are not all that interested in what we are worth to the loyalty schemes, we are much more interested in what they are worth to us. So much so that we will all sometimes go on a bender (pun intended) knowing full well the potential consequences to the opportunity, and even the scheme/company itself.

  • Tracey says:

    Have 3 reward nights banked at around £500 each. Wasn’t planning on spending them until the next long haul rewards trip late Summer 2022.
    Have also made bookings for son’s wedding, I think 12 x 2 nights across 3 accounts for next Spring.
    Would be a pain if things changed on either. Wedding isn’t such an issue, as the hotel also has given us an allocation, but the hotels.com rate was at a time when they were offering a great discount.

  • Mikeact says:

    I need to dig out Rob’s recent one on Booking.com which seemed to be better in some respects if I remember correctly.

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