The Gold Passport program has grown to over 9 million members as of June 2009. During the first half of 2009, these members represented 23% of total room nights.
I’m shocked that Gold Passport members only represent 23% of room nights. That means that substantially less than 23% of guests staying at Hyatt hotels are even members of the Gold Passport program, given that on average Gold Passport members stay much more frequently than non-members. So I’d guess that at most, 10% of guests are members of Gold Passport. That’s surprisingly low, isn’t it?
On average, Gold Passport members spend 16% more than nonmembers per stay.
That seems straightforward enough.
Gold tier members generate average annual revenue of $900 per member.
That’s impressive! A non-elite member generating $900 on average sounds pretty high. I guess this means that for the most part, non-elites only register for the program if they stay at least somewhat frequently, given how high the spend is.
Platinum tier members generate average annual revenue of $6,000 per member. Diamond tier members generate average annual revenue of $16,000 per member.
Holy cow, that’s amazing! Platinum status only takes five stays or 15 nights, while Diamond takes 25 stays or 50 nights. Let’s assume the average Platinum spends 20 nights at Hyatt properties and the average Diamond spends 60 nights at Hyatt properties, which I’m betting is on the high side due to the double stay credit promotions. That means the average room rate for elites is right around $300. So I guess it’s safe to assume most elites are staying at hotels outside of the US for the most part, given that room rates in the US tend to be much lower at most properties (although there are exceptions).
This just shows you the power of loyalty programs. $16,000 of annual revenue in exchange for a few benefits sounds like a deal to me from Hyatt’s perspective. No wonder they added elite benefits just recently.