February 6th, 2018 London UK/Spokane WA
Magnuson Hotels, America’s fastest growing brand and the world’s largest independent hotel group, recently announced the launch of their new Magnuson Rewards loyalty program. Giving members a $25 Amazon.com gift card for every 10 nights they stay; the move away from the traditional points structure has prompted many other hotel chains to follow suit.
Most recently Hilton Honors has reconsidered the stagnated approach to customer reinvestment, now allowing their customers to redeem points for Amazon credit. However according to the information available on their website, in order to return $25 worth of points with Hilton Honors base earning, a guest would need to stay 10 nights in a $125 a night room. Conversely, the average room at Magnuson Hotels is $50 a night and after 10 nights direct – in any of their participating hotels- Magnuson Rewards members earn a $25 Amazon.com Gift Card.
Chief Executive Officer Thomas Magnuson comments, “Hotel chains cannot continue to re-invest less and less in the customer while increasing their loyalty fee structures for their franchises. The complexity of points programmes along with the typical small print that confuses customers is exactly the reason we opted to change our rewards programme. We want to provide real value for all customers; not just those spending the most”.
Majority of traditional hotel brands and franchises are financed by fees ranging from 2% to 6% of reservation revenue. With Magnuson Rewards, partners enjoy all the upside without any extra overheads. Magnuson Rewards is included FREE as standard. Plus Magnuson Rewards customers enjoy higher reinvestment levels on their money spent.
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