Hilton Hotel Finds “Club” Loophole To Deny Diamond Members Lounge Access

Hilton Hotel Finds “Club” Loophole To Deny Diamond Members Lounge Access

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At the beginning of this year we saw Hilton Honors introduce the new Diamond Reserve tier, which annually requires 80 nights or 40 stays, plus $18,000 in spending. The status comes with all kinds of new perks, including access to “premium” lounges. The idea is that a select number of hotels and brands didn’t offer regular Diamond members access to executive lounges, but Diamond Reserve members do receive access on a complimentary basis.

However, it looks like we’re about to see a new trend, whereby “standard” Hilton hotels claim that their lounges are “premium” as well. I can’t say I’m surprised, but it’s really sad to see the increasing delta between what loyalty programs promise and what they deliver.

Hilton Cleveland Downtown claims it has a “premium” lounge

Hilton publishes a page where it lists its premium lounges, which are lounges that Diamond Reserve members get access to, but other elite tiers don’t get access to (though of course you can always pay for access).

Most of the lounges you’ll see on there are what you’d expect, at brands (or sometimes just individual hotels) that didn’t previously offer elite members lounge access. This includes select properties belonging to brands like Conrad, LXR, Signia, Waldorf Astoria, etc.

But here’s where it gets interesting — the most recent addition to the premium lounges list is… the Hilton Cleveland Downtown?! This is just a run-of-the-mill Hilton, and historically if a plain Hilton had an executive lounge, it would be accessible by eligible elite members.

The Hilton Cleveland Downtown has a “premium” lounge

How is the hotel getting away with this? Well, I guess it’s calling this newly introduced lounge “The Club at Hilton,” rather than calling it an executive lounge. Actually, the hotel is referring to this as “the first of its kind,” suggesting this could also be coming to more properties going forward.

The Club at Hilton is described as offering “elevated dining, thoughtful design, curated mixology, and personalized concierge service.” When you go to the hotel’s website, it mentions “all-day, chef-crafted dining plus beverages including full bar and coffee service,” and “standout cocktails featuring Hiltons renowned mixology with a local twist, including zero proof options.”

To be fair, if alcoholic drinks are actually included, that does represent a significant step up over the old setup. Furthermore, if there’s actually food all day (beyond packaged snacks midday), that’s also a big improvement.

Is this within Hilton Honors’ terms & conditions?

Can standard Hilton hotels simply choose whether their lounges are considered premium or not, for the purposes of elite member access? Here are the relevant terms:

Executive Lounge Access – Diamond Elite Tier Status will receive complimentary access for the Member and up to one (1) additional registered guest to Executive Lounges, even if you do not receive a room upgrade, (excluding executive suites, villas, specialty accommodations / floors / towers, and “Club” accommodation types, such as but not limited to the Sakura Club at Conrad Washington, DC, Club Signia at Signia by Hilton hotels, Citrus Club at the Arizona Biltmore, the Enclave and Club Category rooms at All-Inclusive resorts, unless the initial booking was also an Enclave-level accommodation), at hotels with Executive Lounges. Members with complimentary access to an Executive Lounge that provides complimentary breakfast seven days a week are not eligible for the daily Food & Beverage Credit.

As you can see, some specific properties are named, but that list isn’t exhaustive. The key here seems to be that any hotel can have a premium lounge by claiming that it’s not an “executive lounge,” but instead, a “club accommodation type.”

And that also explains the Hilton Cleveland Downtown situation — it’s not an executive lounge, it’s The Club at Hilton… you see, it’s a special accommodation type!

The Club at Hilton concept is debuting in Cleveland

I’m not surprised that we’ve gotten to this point

Obviously I find this development to be incredibly frustrating, and I suspect that this will be the first of many “standard” executive lounges to be rebranded as “clubs.”

However, I totally see how we got here:

  • Hilton centrally has been massively profiting off of its loyalty program by minting Diamond status, and it’s up to hotel owners to provide most of the benefits associated with that status; it went from a reward for loyalty, to something that you can get for simply holding onto a credit card
  • Hotel owners got fed up with the costs associated with operating money-losing lounges (both in terms of the direct cost of operating them, plus the lost food & beverage revenue), so around the start of the pandemic, we saw so many hotels permanently shutter their lounges
  • For that matter, executive lounges at hotels in the United States got so bad anyway, to the point that it’s not like they generated much goodwill
  • Now hotels see an opportunity to once again make lounges profitable (or at least less unprofitable), by only restricting it to the very top tier elite members, and hopefully selling some rooms as well

I recently covered the frustration that many Marriott hotel owners have at the moment, where they feel like they’re being screwed over by the Bonvoy program. The truth is that I think this is something that all the major hotel groups will increasingly be dealing with.

The biggest hotel groups are publicly traded, and investors always demand more profits. There’s not that much appetite for new hotel developments, and that means loyalty programs are one way they see a lot of growth, even if it’s not in the best interest of hotel owners (along with adding more hotels through conversions, by relaxing brand standards).

I’m of course not happy to see this change, but at least for those who do have lounge access, maybe we’ll finally slowly start to see standards improve again?

Hotel lounges in the United States have been getting quite sad

Bottom line

Hilton has long had some lounges that Hilton Honors elite members haven’t received access to. With the recent introduction of the Diamond Reserve tier, we’re seeing Hilton create a list of “premium” lounges, which only Diamond Reserve members get complimentary access to.

That’s fair enough for properties that previously didn’t offer elite members lounge access. However, I think we’re about to see the start of a new trend, as the Hilton Cleveland Downtown is opening The Club at Hilton, which is not an executive lounge… or so they claim. Therefore it’s open to Diamond Reserve members, but not to other elite members.

I can’t say I’m surprised to see this, given how many hotels have shuttered club lounges, given how the landscape has changed. I have to imagine that this is the first of many properties we’ll see with such a concept.

What do you make of the Hilton executive lounge “club” loophole?

Conversations (55)
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  1. sunguy Guest

    Herin lies a problem.....

    Outside of the US, its practically impossible to get Diamond with a credit card - the closest we get in the UK is the debit cards with X nights for £30,000 of spend....again its just huge sums of money and doesnt get you anywhere near diamond (you can get gold/silver on a card - but thats not at the nights required level - if you are aiming for diamond - you...

    Herin lies a problem.....

    Outside of the US, its practically impossible to get Diamond with a credit card - the closest we get in the UK is the debit cards with X nights for £30,000 of spend....again its just huge sums of money and doesnt get you anywhere near diamond (you can get gold/silver on a card - but thats not at the nights required level - if you are aiming for diamond - you have to do it the hard way).

    Now, in the US, I totally get it....cards apleanty ....but where does this leave people like me - Diamond, done the hard way....with a measly $15 which in most hotels doesnt cover a coffee anymore let alone breakfast - and now no lounge access (probably soon!)...

    Why would I bother to continue with Hilton stays? Someone needs to remind those in Houston, TX at Hilton Worldwide - that they are actually worldwide....and if their sales teams have done dumb stuff in the US market, they cannot ruin the experience for those folks like me from the rest of the world who have spent the money.

  2. Rusty Guest

    Goodbye Hilton, Hello Marriott. I am Titanium for Life with Marriott. I have hilton diamond for 7 years and am throwing it away. I may not be in Hilton every 4 nights but Marriott appreciates my business, Hilton doesnt. Thanks Hilton for making Marriott my easy choice with your devalued Diamond changes

  3. The Perspective Guest

    Hilton continues to drive down the value of loyalty. Stunning. The Diamond member often receives the same benefits as the person who stays ONE night. And I say this as a long time Diamond member with millions of HH points.

  4. Charles Guest

    I have never seen any value to hotel membership programs for people like myself. They seem to only work for road warriors honestly. The basic rewards seem very chintzy.

    I just use the Amex Find Resorts program and pay to stay in a nice hotel. The rewards still are pretty solid.

  5. AnthonyJoseph Guest

    I disagree with a couple of comments you made on "how we have got here".
    A franchisee signs up to the Hilton brand to get lucrative access to Hilton Honors customers. They should factor in ancillary costs/discounts for perks and award redemptions for rooms.
    The main problem with all the major USA-based hotel brands are:
    1. Not enforcing the terms of franchisee agreements (lack of obersight) on property quality, Hhonors perks....
    ...

    I disagree with a couple of comments you made on "how we have got here".
    A franchisee signs up to the Hilton brand to get lucrative access to Hilton Honors customers. They should factor in ancillary costs/discounts for perks and award redemptions for rooms.
    The main problem with all the major USA-based hotel brands are:
    1. Not enforcing the terms of franchisee agreements (lack of obersight) on property quality, Hhonors perks....
    2. Pissing off franchisees by devaluation of re-imbursements from Hilton for award redemptions.
    3. Percentage/fee that Hilton charges to franchisee to fund Hhonors benefits.

    It so stupid how these executives are permanently sullying brand, services resulting in a significant reduction in customer loyalty. Unfortunately GenY and GenZ are too young to know what a good level of service is in hospitality industry unless they travel to Asia.

  6. TravelWarr Guest

    Totally saw this coming back when they announced it and the number of lounges were only (4). What an easy way to increase the number, huh?

  7. TMagee Member

    In the US, this is a moot point. There are maybe 20 Hiltons that have an executive lounge? Basically, they have been winding down the executive lounge offering and starting a new “club at Hilton” program, so they can gut the diamond benefit without actually changing the terms.

  8. WhoCares Guest

    1. Hilton killed the loyalty program by offering Diamond status to every Tom, Dick and Harriette with a cheap Amex card
    2. They now need better clubs because the quality of most existing clubs has IMHO become so bad many would rather not set foot in most clubs…they are not clubs but like cheap railway station lounges with terrible food
    3. The regular clubs are overcrowded with freeloaders too cheap to buy breakfast...

    1. Hilton killed the loyalty program by offering Diamond status to every Tom, Dick and Harriette with a cheap Amex card
    2. They now need better clubs because the quality of most existing clubs has IMHO become so bad many would rather not set foot in most clubs…they are not clubs but like cheap railway station lounges with terrible food
    3. The regular clubs are overcrowded with freeloaders too cheap to buy breakfast or dinner….ever see the people stuffing their pockets and handbags with fruit and rolls? Anyone with a few dimes to their name will prefer to go to a nice restaurant with better atmosphere, food and drinks

  9. Neil Guest

    stop supporting these hotels ...vote with your dollars folks

  10. Anthony Guest

    Looking for that class action lawsuit to be in the news shortly. A lawyer somewhere will realize we've been duped by the lounge name change, ie; its is just semantics isn't it.

  11. Stanley C Diamond

    Why are some people complaining about Hilton Aspire CC? A while back, DCS defended this practice by Hilton by saying something along the line of Hilton can handle and honor the diamond elite benefits whether earned or through CC. And yeah this was also before Hilton introduced the new tier and IIRC before the silly breakfast credit at Hilton U.S. locations. For Hilton, a diamond surely does not last forever unless in the mindset of...

    Why are some people complaining about Hilton Aspire CC? A while back, DCS defended this practice by Hilton by saying something along the line of Hilton can handle and honor the diamond elite benefits whether earned or through CC. And yeah this was also before Hilton introduced the new tier and IIRC before the silly breakfast credit at Hilton U.S. locations. For Hilton, a diamond surely does not last forever unless in the mindset of DCS. Though, it is not just Hilton. Hyatt and Marriott have been doing the same or similar things to their loyal members too. And not just hotels but with airline loyalty programs as well.

  12. omarsidd Diamond

    The ultra luxury offering in the Ohio mainline hotel lolsigh.
    Not a good portent for us plain ol' Diamonds.

  13. 808Taco Guest

    If diamond no longer grants lounge access I'll take my business elsewhere; vote with your wallet.

    1. Anthony Guest

      Absolutely agree with you.

  14. grayanderson Diamond

    If Hilton was willing to enforce clear standards for "what must be included for a lounge to be 'Premium'", and those standards were significant, that would be one thing.

    But if you believe that's going to happen, I've got a bridge to sell you.

  15. Lieflat19 Diamond

    Well when bloggers like LUCKY keep pushing all these credit cards that offer top level status for doing absolutely nothing other than holding the card, what do you expect will happen? Everybody and their brother has a platinum card now and lounges are full. Everyone and their brother is platinum or higher with Marriott, same with Hilton, etc. You fly any airline in the US on a business route and 3/4 the plane is "elite",...

    Well when bloggers like LUCKY keep pushing all these credit cards that offer top level status for doing absolutely nothing other than holding the card, what do you expect will happen? Everybody and their brother has a platinum card now and lounges are full. Everyone and their brother is platinum or higher with Marriott, same with Hilton, etc. You fly any airline in the US on a business route and 3/4 the plane is "elite", the other 1/4 pre boarded! Too many "elite" members!

    1. Eve Guest

      That is the truth. As much as this blog is brilliant, complaining feels a bit ironic considering it is also the same platform pushing and popularizing all these cobranded credit cards with unlimited perks to the mainstream. Those cards are the reason most of these programs have devalued. It is soo easy to get platinum or diamond with MB and HH respectively in US. It is so unfair that one market of members controls the...

      That is the truth. As much as this blog is brilliant, complaining feels a bit ironic considering it is also the same platform pushing and popularizing all these cobranded credit cards with unlimited perks to the mainstream. Those cards are the reason most of these programs have devalued. It is soo easy to get platinum or diamond with MB and HH respectively in US. It is so unfair that one market of members controls the entire global membership who put stays and money into each stay to get status. I spend 25 stays every year with HH and go through the mess of Q1 Global promo with MB to gain my status, while a guy with a decent credit score in US can just get a credit card, and get those status automatically

    2. Ben Schlappig OMAAT

      @ Lieflat19 -- Oh, I completely agree, I'm not surprised to see the direction things are going. Of course stuff like this was inevitable. Ultimately in the miles & points game, we take advantage of the opportunities that exist, and over time, they evolve.

      And I think I painted a pretty fair picture of that in this post, explaining the disconnect between the incentives of Hilton corporate and the individual hotel owners.

  16. Matthew Guest

    Also parent travelling with someone under 21 .. no access?? Breakfast denied etx??

  17. Loungeabuser Guest

    I read the headline and skipped to comments . There are few loyalty programs worth joining for elite benefits . Very few. Most of the airlines and now hotels have reached way too far.
    I’ve stopped caring. Thats really the breaking point for these programs: members who don’t care about the benefits.
    Sure, you may be able to use points at a good rate to replace cash but otherwise I don’t bother with...

    I read the headline and skipped to comments . There are few loyalty programs worth joining for elite benefits . Very few. Most of the airlines and now hotels have reached way too far.
    I’ve stopped caring. Thats really the breaking point for these programs: members who don’t care about the benefits.
    Sure, you may be able to use points at a good rate to replace cash but otherwise I don’t bother with the program . I’m not going to beg for food .
    The hotels are in a much worse bargaining position as one cannot just go out and start a new airline for the same price as building a hotel.

  18. robbo Guest

    Hilton are bloody liars, they are like the Australian Prime Minister. Where does this leave Lifetime Diamonds who played under the rules, paid under the rules and suffered some horrendous hotels under the rules.

    1. Cam Guest

      Go back to the Chairman’s lounge, Pauline.

    2. Matthew Guest

      Suffered hotels under what rule?? Forced to stay at a certain place??

    3. grayanderson Diamond

      I mean, all of the big brands have properties that deserve to be de-flagged and have the owner's shorts hoisted in place of the brand. And sometimes you get stuck staying there trying to make nights/spend for the year.

  19. Fred Guest

    The Hyatt CEO made comments that could only have portended a devaluation. Now, the Hilton CEO has made comments: you can't deliver a high-end offering when you have millions of Diamonds. BOHICA.

  20. UA-NYC Diamond

    Please please please a DCS TR

    Want him to shove his dated laminated HH T&Cs page in their face. Hilarity ensues.

  21. Kevin Guest

    We look for loopholes , they look for loopholes. The dance continues.

  22. John Guest

    Hilton as a loyalty brand lost its appeal to me years ago, despite having Lifetime Diamond status. Points per visit are skimpy, award stays have been jacked up to make it a non-benefit and the rewards are pitiful now. Even ten years ago it was worth it to be a Hilton member, now it's a non-factor. Marriott have far better facilities and I now stay at some very nice boutique hotels when I travel instead of the sad, tired Hilton properties.

  23. Traveling L. Guest

    As a Life-Time Diamond, this is beyond insulting. Partially due to the fact that I was told by the Hotel they would have a Honors lounge prior to my soon to be stay!!! I could have made reservations elsewhere, but trusted the Hotel. Looks like dishonesty at its worst!!!

    1. robbo Guest

      Agree, Hilton behaving like the liars they are. Is this an Australian or India chain? How do these liars get away with this fraud.

  24. Tim H Guest

    First, we were Bonvoyed, then we were Hy-jacked, and now we're being Dis-Honored.

  25. Russ Gold

    It sort of sounds like the deviation between Ritz Carlton Club and other Marriott Bonvoyed lounges.

  26. Florian Guest

    And then we have common articles complaining about ZS people getting ripped off in the world,

    Find the mistake

  27. Christian Guest

    This is a squabble between Hilton and the property owners. There's no reason that engaged loyalists should be getting screwed because they're caught in the crossfire. If hotel owners are getting Bonvoyed by the big chains then they should fight back. Just not at the expense of a third party.

    1. Bob Guest

      Lol are you kidding? That's why there are strikes in the world. One of it's purpose is to make the customer angry in hopes mgmt will do something.

    2. Christian Guest

      The purpose of a strike is to deprive a company of revenue.

    3. robbo Guest

      Agree, Hilton behaving like the liars they are. Is this an Australian or India chain? How do these liars get away with this fraud.

  28. AC Guest

    Lounges used to be fun if you're not into the bar scene at locations but you want to drink. But for someone who no longer drinks, most of the lounges don't mean much, some of the ones in Asia offers pretty good food but more often than not, those are also in cities where there are better food to have outside the hotel.

  29. BBT Guest

    We have got attuned to viewing everything from the standpoint of poor corporations. The line "The biggest hotel groups are publicly traded, and investors always demand more profits." Why should i as a consumer care for that.

    I feel for the army of lifetime Diamond status holders, who spent pretty penny to get that status and now its essentially worthless. As a consumer the one thing is certain, the US corporation hotel chains like...

    We have got attuned to viewing everything from the standpoint of poor corporations. The line "The biggest hotel groups are publicly traded, and investors always demand more profits." Why should i as a consumer care for that.

    I feel for the army of lifetime Diamond status holders, who spent pretty penny to get that status and now its essentially worthless. As a consumer the one thing is certain, the US corporation hotel chains like Marriott and Hilton don't give a damn and will try to always find ways to keep providing the customer less. And its evident in their cleaning standards, their product offerings and their loyalty program offerings.
    Best to avoid these chains unless your corporation forces you to book with them.

  30. Samo Diamond

    The premium lounge feature should only be permitted where regular lounge exists (e.g. the setup in Conrad Abu Dhabi). Otherwise it's gonna turn into a joke very quickly. I don't give a damn about food, it's a lounge not a buffet, but I need the space. It's the main driver of my loyalty and if it's taken away, I don't see any reason to keep spending 50+ nights a year to keep earning Diamond.

    1. Eliteflyer Guest

      With Diamond status readily available with a Hilton Amex credit card, why spend 50+ nights a year to earn Diamond?

    2. Samo Diamond

      Because a) Hilton Amex isn't available worldwide, b) as much as it may surprise Americans, not everyone wishes to own two dozens credit cards.

  31. FNT Delta Diamond Guest

    Remember, some InterContinental properties were doing this when the IHG lounge access benefit was created.

  32. Gentleman_Jack_Darby New Member

    What we have here is a failure to communicate!

    @Lucky said:

    "sad to see the increasing delta between what loyalty programs promise and what they deliver"

    It's bad enough when the airlines, hotels, etc. use meaningless euphemisms and deliberate mealy-mouthed corporate mumbo-jumbo but c'mon, "delta"?

    Why not just speak the plain truth using a word like "chasm" or "gulf" because those words give a much more realistic picture at exactly how much loyalty programs over-promise...

    What we have here is a failure to communicate!

    @Lucky said:

    "sad to see the increasing delta between what loyalty programs promise and what they deliver"

    It's bad enough when the airlines, hotels, etc. use meaningless euphemisms and deliberate mealy-mouthed corporate mumbo-jumbo but c'mon, "delta"?

    Why not just speak the plain truth using a word like "chasm" or "gulf" because those words give a much more realistic picture at exactly how much loyalty programs over-promise and under-deliver.

    In this case, it's best for all concerned to call a spade a spade because no one is going to make Lucky use it.

    1. Lukas Diamond

      I vote for the word "chasm", you don't see it used often!

    2. Alert Guest

      "Giant deep expensive pothole" .

    3. Loungeabuser Guest

      “Giant deep expensive pothole"

      YES. an ore chasm !

  33. FNT Delta Diamond Guest

    I imagine this also allows them to deny diamond reserve elites a restaurant breakfast. Presumably, the lounge has a cheaper breakfast offering.

    One thing to also note: THIS PARTICULAR HILTON IS OPERATED BY HILTON CORPORATE. So this is not a case of a franchisee cheating elites.

    1. Espresso_Frankfurt Member

      Hey, great point, thanks for sharing. This is really terrible though that the company itself is pushing this junk.

    2. JR Guest

      They don’t get one anyway at US locations but get a $15 dining credit. I don’t believe it matters if they have a club lounge or not

    3. Mark Guest

      No credit due when there is an executive lounge.

  34. Alert Guest

    I can make a better salad at home , and bring it with me in a container , than the sad example in the photo . Pay $ for that ?

  35. Roger Guest

    The CCs selling points along with all
    of the points influencers have effectively killed loyalty. Hotel owners and operators don’t see the value in the loyalty programs and now the customers don’t either.

    The CCs allowed Hilton/Marriott/Hyatt to massively profit post pandemic when hotel construction slowed and now they see no reason not to continue. In response their actual customers, Hotel owners, look for ways to cut costs. As owners we know that...

    The CCs selling points along with all
    of the points influencers have effectively killed loyalty. Hotel owners and operators don’t see the value in the loyalty programs and now the customers don’t either.

    The CCs allowed Hilton/Marriott/Hyatt to massively profit post pandemic when hotel construction slowed and now they see no reason not to continue. In response their actual customers, Hotel owners, look for ways to cut costs. As owners we know that loyalty to a location is essentially nill now that the consultant class of weekly travelers has dwindled. The brands know they can’t piss off the owners so instead they don’t enforce brand standards and in return we deal with unhappy customers as the middle man.

  36. WD Guest

    Unfortunately, this hotel is managed by Hilton... so it had to be green lighted by the higher ups.

  37. Alert Guest

    Spending $ for "lounge access" is a waste of $ .

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FNT Delta Diamond Guest

I imagine this also allows them to deny diamond reserve elites a restaurant breakfast. Presumably, the lounge has a cheaper breakfast offering. One thing to also note: THIS PARTICULAR HILTON IS OPERATED BY HILTON CORPORATE. So this is not a case of a franchisee cheating elites.

6
WD Guest

Unfortunately, this hotel is managed by Hilton... so it had to be green lighted by the higher ups.

3
Roger Guest

The CCs selling points along with all of the points influencers have effectively killed loyalty. Hotel owners and operators don’t see the value in the loyalty programs and now the customers don’t either. The CCs allowed Hilton/Marriott/Hyatt to massively profit post pandemic when hotel construction slowed and now they see no reason not to continue. In response their actual customers, Hotel owners, look for ways to cut costs. As owners we know that loyalty to a location is essentially nill now that the consultant class of weekly travelers has dwindled. The brands know they can’t piss off the owners so instead they don’t enforce brand standards and in return we deal with unhappy customers as the middle man.

2
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