Air Canada Aeroplan & World Of Hyatt Launch Sort Of Useful Partnership

It’s common for airline and hotel loyalty programs to have partnerships, given that those who are frequent flyers are also often frequent hotel guests. Along those lines, we’ve just seen Air Canada Aeroplan and World of Hyatt launch a new partnership, offering reciprocal status, rewards, and points opportunities, for members who link their accounts. There are some potentially lucrative aspects to this…

Details of the new Air Canada & Hyatt loyalty collaboration

Air Canada Aeroplan and World of Hyatt members can now take advantage of accelerated earning opportunities and exclusive benefits across both programs. Before I get into this, let me mention that I roughly value Air Canada Aeroplan points and World of Hyatt points equally, which is important to understand, as you consider the value of these opportunities (of course apply your own valuation).

Here’s what this partnership includes on the points earning and redemption front:

• Aeroplan members can choose to earn 500 Aeroplan points per Hyatt stay, in lieu of earning World of Hyatt points
• Aeroplan credit card members with cards issued in Canada can earn World of Hyatt bonus points and additional Aeroplan points on stays at participating Hyatt properties; the catch is that you’re forgoing some Hyatt points
• World of Hyatt members can convert World of Hyatt points into Aeroplan points at a 2:1 ratio, starting at 5,000 points
• Aeroplan elite members can convert Aeroplan points into World of Hyatt points at a 2:1 ratio, up to 100,000 Aeroplan points per day, or 250,000 Aeroplan points per week
• Aeroplan members can redeem Aeroplan points for World of Hyatt free night awards, with Category 1-4 free night awards starting at 25,000 Aeroplan points
• World of Hyatt members can earn a 30,000-point Aeroplan flight reward certificate by redeeming 50,000 World of Hyatt points

Perhaps the more interesting opportunity here involves elite status, with fast tracks (eventually) available for both programs:

• Aeroplan elite members and eligible premium credit card members can unlock World of Hyatt status with a 90-day challenge; Discoverist status requires four nights, Explorist status requires 10 nights, and Globalist status requires 20 nights
• Aeroplan premium credit card members also receive complimentary Discoverist status, five elite nights toward status annually, and two attempts each year toward a 90-day challenge
• Later this year, World of Hyatt elite members will get access to an Aeroplan status challenge, but that’s not available yet
• While not status related, World of Hyatt elite members receive an annual C$20 Air Canada flight credit for linking their accounts

Which of these opportunities is actually valuable?

More partnerships are generally a good thing, assuming nothing is being taken away (perhaps aside from swelling elite ranks). Ultimately more flexibility with points is something some people value, since some travelers may have a lot of airlines points but not enough hotel points, or vice versa.

That being said, just about all of the opportunities here involving points and certificates represent a massive loss in value. When I value points equally, I don’t want to transfer them to another program at a 2:1 ratio.

Here’s where I do see value:

• If you’re a World of Hyatt elite member, a C$20 Air Canada flight credit is better than nothing
• If you’re eligible for the World of Hyatt status challenge, that gets you elite status much faster than the normal pathway; it’s interesting how premium card members can even take advantage of that twice per year, which seems… a bit aggressive
• Later this year we should see an Aeroplan status challenge for World of Hyatt elite members, so that could be interesting as well

For now, this partnership is definitely better for Aeroplan members than World of Hyatt members. I suspect World of Hyatt sees growth opportunities in Canada, which is why we’re seeing the partnership rolled out in this way.

Bottom line

Air Canada Aeroplan and World of Hyatt have just launched a partnership, offering reciprocal opportunities. There’s quite a bit of depth to this, in terms of the number of ways to earn and redeem points, plus the potential for elite status.

The catch is that very little here represents good value. The exception is that World of Hyatt elite members can get a C$20 Air Canada flight credit annually, while Aeroplan elite members can take advantage of a World of Hyatt status challenge.

What do you make of this Aeroplan and World of Hyatt partnership?