Three Mindset Shifts for Booking with Points

Earning points is often the easiest part of this hobby to grasp. Deciding how to use your points can be more challenging. Booking with points doesn’t have to be difficult, but to get the most out of your points, you may need to shift your approach.

If you’re new to this hobby, you might be thinking that your only options are using your points for cash back or using them to book through a bank travel portal. But there are some other options I want to talk about when it comes to hotels and flights. These options can help you stretch your points further. It also might help you use the same number of points to upgrade your experience in a way that matters to you. 

While earning points is relatively straightforward, using them effectively requires a different approach compared to booking trips with cash. So, let me introduce you to three important mindset shifts. 

Mindset Shift #1: Prioritize Sweet Spots

When planning trips with points, it’s important to start with a strategic approach. Instead of simply searching for the cheapest flights or hotels, begin by identifying “sweet spots” – airlines and hotel programs that offer exceptional value for your points.

What are Sweet Spots?

Most sweet spots come from transferring your points to airlines or hotels. Or sometimes by earning points directly with airlines and hotels. 

• Airlines: These are airlines that allow you to book flights to certain destinations for fewer miles. Often because of favorable award charts.
• Hotels: These are hotel programs that offer generous points earning opportunities, valuable free nights, and excellent redemption rates.

Examples of Sweet Spots

• Hyatt: Known for its World of Hyatt program, offering excellent value for points redemptions at luxury properties.
• Southwest: Offers the Companion Pass, allowing you to bring a travel companion for free on most flights.
• Singapore Airlines: Offers excellent value for flights to Asia and beyond when booking with KrisFlyer miles.
• Turkish Airlines: Low pricing for flights to Hawaii
• Virgin Atlantic: Low pricing to London

Not all Points are Equal in Value

When you use your Chase Ultimate Rewards for cash back or within the Chase Travel portal, you have a predictable redemption rate. This provides a consistent and reliable value for your points.

However, there are certain sweet spots of value when you introduce points transfers. Chase Ultimate Rewards have an impressive list of transfer partners, including airlines and hotels. You can typically transfer your points at a 1:1 ratio – 1,000 Chase Ultimate Rewards points become 1,000 points in the partner program (e.g., 1,000 Chase points become 1,000 Hyatt points, 1,000 Chase points become 1,000 Aeroplan miles).

This flexibility is great, but it’s important to remember that not all loyalty programs are created equal. The value you receive for your points can vary significantly depending on the program and how they price travel.

Hotel Booking Example

Here’s an example of a luxury hotel stay in New York City. You could book the Park Hyatt (valued at $1,836 per night) for 45,000 Hyatt points per night. OR you could book the Ritz-Carlton (valued at $1,338 per night) for 142,000 Marriott points per night.

 

 

 

The Park Hyatt costs more in cash than the Ritz-Carlton, but it requires way fewer points to book. The same is true for mid-range and budget hotels as well. Hyatt typically charges significantly less points for a comparable hotel than Marriott, Hilton, or IHG. 

One reason for this type of pricing is the difference between award charts and dynamic pricing. 

Award Charts

• Predictable: These charts offer a fixed price for flights or hotel nights based on factors like distance or region. For example, a flight within North America might always cost 12,500 miles.
• Limited Availability: Award charts often have a limited number of seats or rooms available for redemption, so early booking is helpful.  
• Predictable Budgeting: Knowing the fixed cost makes it easier to budget and save for specific trips.

Dynamic Pricing

• Fluctuating Costs: Similar to cash fares (and often mirroring cash fares), the cost of award flights or hotel rooms varies based on demand, seasonality, and other factors.
• More Availability: Dynamic pricing often means more award seats or rooms are available, as the price in points simply increases as demand grows.  
• Less Predictability: It can be harder to budget and plan, as the cost can change significantly.

So let’s take the example of transferring points to hotel loyalty programs. Even though the points transfer will be the same with Hyatt, IHG, and Marriott (1,000 Chase points become 1,000 Hyatt points, 1,000 Chase points become 1,000 Marriott points, etc), the only one it really makes sense to transfer points to is Hyatt, and that is because Hyatt has an award chart that can bring you significantly more value for your points. 

How to Find Sweet Spots:

• Research: We’ve done a lot of the work for you. Check out all of our sweet spots here. 
• Utilize online tools: Tools like Google Flights and PointsYeah can help you compare prices and identify potential sweet spots.
• Experiment: Try different search combinations to see which programs offer the most value for your desired destinations.

By prioritizing sweet spots, you can:

• Maximize the value of your points: Redeem your points for the most rewarding travel experiences.
• Reduce decision fatigue: Narrow down your options and simplify the planning process.
• Find hidden travel opportunities: Discover destinations and travel experiences you might not have considered otherwise.

Identifying and leveraging sweet spots is an ongoing process. As you gain more experience with points travel, you’ll develop a deeper understanding of which programs and destinations offer the best value for your travel style.

Mindset Shift #2: Flexibility is Key

Mindset shift number two when it comes to planning trips with points: flexibility. Now, I know what you might be thinking: “Katie, I have a family and I have a job! I can’t just jet off anywhere, anytime!” And I get it. I really get it. But hear me out, because a little bit of flexibility can go a long way in the points world.

When paying with cash, you’re usually locked into specific dates and destinations based on things like school holidays, work schedules, or maybe even a specific event you want to attend. But with points, things can be a little different. Award availability (those seats or rooms airlines and hotels set aside for points bookings) can fluctuate wildly depending on the day, the week, or even the time of year.

Think of it like this: imagine your favorite bakery. On Saturday mornings, there’s a huge line out the door for their famous croissants. Everyone wants one! But on a Tuesday afternoon? You can stroll right in and grab one with no wait. Award availability is kind of like that. Some dates are “Saturday mornings” – high demand, low availability. Others are “Tuesday afternoons” – less competition, more chances to snag those sweet spots.

Be Flexible with Dates

Now, I’m not saying you have to throw all your plans out the window. But even a little bit of wiggle room can make a huge difference. For example, instead of saying “We have to go to Disney World the week of Christmas,” maybe you could say, “We’d love to go to Disney World sometime between Thanksgiving and New Year’s.” That little shift opens up a whole range of possibilities.

This is something we’ve really embraced as a family. I’m going to be honest, I find it really hard to plan trips more than six months out. Even six months feels like I’m planning way too far in advance! 

Be Flexible with the Destination

We don’t really have a big family bucket list of specific places we have to see. We’re pretty open to new adventures, and that’s helped us find some incredible deals with points.

For example, we recently went on a family trip to Iceland and Scotland.  We knew we had some ANA miles we needed to use up, and we had a general timeframe in mind, but we were flexible on the exact dates and the exact destination.

We ended up flying into Iceland and out of Scotland, booking a separate cash flight in between. This wasn’t our original plan, but because we were flexible, we got to see two amazing places on one trip! If we had been dead-set on flying round-trip to Edinburgh on specific dates, we might have missed out on the whole adventure.

So, here’s the key takeaway: even if you can’t be completely flexible with your travel plans, try to find some areas where you can bend a little. Maybe it’s shifting your trip by a few days, considering a nearby airport, or being open to different destinations.

You might be surprised at how much further your points can take you! If you enjoy looking for deals, it can be a lot of fun when you find the sweet spot that works for you.

Mindset Shift #3: Book in Advance, When Possible

We’ve talked about starting with sweet spots and embracing flexibility, and now we’re tackling the final mindset shift for planning trips with points: planning in advance.

Now, I know this one can be a little… challenging. Especially for those of us who are more spontaneous or used to booking trips last minute. Trust me, I get it! I’m not the best long-term planner myself. But in the world of points and miles, a little bit of planning ahead can make a huge difference.

More Deals Available when Booking Ahead

When you’re using points, you’re often dealing with a limited number of “award seats” or rooms. These are the seats and rooms that airlines and hotels set aside specifically for points bookings. And guess what? They can get booked up fast, especially for popular routes and during peak travel times.

The earlier you book, the better chance you have to grab one of those in demand rooms or flights.

It’s like trying to get tickets to a popular concert. If you wait until the day of the show, you’re probably going to be out of luck (or paying a ridiculous price on the resale market). But if you plan ahead and buy your tickets as soon as they go on sale, you have a much better chance of getting the seats you want.

If You Need Something Specific, Booking in Advance can Help

If you’re okay with being flexible (like we talked about in the last section), you don’t have to book a year out. That’s what we do as a family. We’re usually able to find somewhere amazing to go with our points, even if we’re only planning a few months in advance. But that’s because we’re very open to different destinations and dates.

If you need something specific (for whatever reason) you’re more likely to find a good deal if you book in advance.

You don’t always have to book a year in advance, especially if you’re flexible, but planning ahead is generally a good idea when using points. It gives you more options, increases your chances of finding those sweet spots, and ultimately, helps you get the most out of your hard-earned points.

It’s about shifting your mindset from “I’ll book it when I’m ready” to “Let’s see what’s available now for when I want to go.” Trust me, a little planning can go a long way!

My Favorite Sweet Spot for Using Chase Ultimate Rewards

When it comes to using Chase Ultimate Rewards for hotels, there’s a clear winner: Hyatt. Here’s why Hyatt stands out as the ultimate sweet spot:

• Easy Points Stretching: Hyatt offers exceptional value for your Ultimate Rewards points. Transferring your points directly to Hyatt at a 1:1 ratio makes it a breeze to maximize their worth.
• Simplified Decision-Making: Struggling to choose which hotel to book with your points? Hyatt takes the guesswork out of it. By focusing your search on Hyatt properties, you can quickly browse available options and make informed decisions.
• Consistent Value: Hyatt consistently delivers on its promise of good value. You can be confident that you’re getting a solid return on your points investment when you book with Hyatt.

This approach has been a game-changer for my family. We’ve streamlined our hotel booking process by transferring most of our Ultimate Rewards points to Hyatt. Now whenever we need a hotel, we simply explore Hyatt’s website to see what gems they have in store.

Of course, Hyatt won’t cover every single destination. As you delve deeper into the world of travel points, you’ll likely build a diverse portfolio of points across different programs. But for those times when a Hyatt property fits the bill, you can rest assured you’re getting excellent value for your Chase Ultimate Rewards.

My Favorite Beginner Card for Points

Benefits of Using Points Strategically

While these mindset shifts might seem challenging, they can unlock significant benefits:

• Stretch Your Points Further: By prioritizing sweet spots and being flexible, you can spend fewer points, allowing you to travel to more places or experience higher-end accommodations.
• Upgrade Your Travel Experience: Points can help you elevate your travel by booking premium cabins, luxury hotels, or unique experiences that might not be feasible with cash alone.
• Open Up New Destinations: The flexibility that comes with points allows you to explore destinations you might not have considered due to cost limitations.

Remember, the key to success is to embrace the shift in mindset. By prioritizing points sweet spots and being flexible, you can unlock the incredible travel opportunities that points can offer.

Bonus: Mindset Shifts from the Katie’s Travel Tricks Community

The Katie’s Travel Tricks community shared valuable insights on how their trip planning has changed with points:

• Start Somewhere and Learn as You Go: Don’t get bogged down in details. Embrace the learning process and enjoy the journey.
• Book Flights First, Find Companions Later: As a solo traveler, this strategy allows you to lock in the best deals without being limited by companions’ travel limitations.
• Maximize Companion Passes: If you have access to companion passes, prioritize using them for longer or more expensive flights.
• Openness to New Destinations: Points remove limitations, allowing you to explore destinations you might not have considered before.
• Flexibility is Key: Be willing to adjust your plans to find the best deals and maximize the value of your points.

By using points strategically and embracing a flexible mindset, you can make your points go further toward what you value! If you want to start dreaming about sweet spot opportunities for your points, here are some of our favorites:

• Flying to Europe on Points
• Guide to Southeast Asia on Points
• Fly to Japan with Points
• Fly to Hawaii with Points

Look into a few sweet spots and pick one or two as a small goal to get started: Inspiration For Using Ultimate Rewards Points 

Download my free guide for Six Ways to Slash Travel Costs with Points: Get Started