How Are Hotels Paid When You Redeem Points, And For Elite Perks?

There’s a real thrill to redeeming points for stays at luxury properties, and getting outsized value. I’m sure many people have wondered about the economics of that. How much is the hotel getting reimbursed for your stay? Who is paying for any elite perks that you receive? Does the hotel care if you redeemed points or not? Let’s talk about those various points in this post…

Apr 19, 2025 - 17:41

How Are Hotels Paid When You Redeem Points, And For Elite Perks?

There’s a real thrill to redeeming points for stays at luxury properties, and getting outsized value. I’m sure many people have wondered about the economics of that. How much is the hotel getting reimbursed for your stay? Who is paying for any elite perks that you receive? Does the hotel care if you redeemed points or not? Let’s talk about those various points in this post…