Wyndham Solves Loyalty by Charging for It

Wyndham just launched Wyndham Rewards Insider, a $95/year subscription that feels more like a Costco card for travel than a traditional loyalty tier. Members get hotel discounts, airfare and cruise deals, concierge access, Gold status, and a few extras tossed in.

They’re not alone in the loyalty-for-cash game. IHG has its $200 Ambassador program. And not to be outdone by the global brands, Hawai’i’s own Outrigger offers a $299 Platinum Membership, with upgrades, resort credits, and other perks across its Hawaiʻi and Asia-Pacific portfolio.

Recurring revenue models (aka subscriptions) have been Wall Street’s favorite business model for over a decade, and, as usual, hotels are late to the game but are finally giving it a shot.

What sets Wyndham apart is the scope. This isn’t just about hotel perks; it’s about bundling in non-Wyndham perks. Flights, cruises, events, even a concierge. And notably, Wyndham says it’s absorbing the discount costs, not pushing them to franchisees. I am guessing that is until someone in accounting remembers how franchise math works.

If loyalty is going to evolve, why not turn it into a product people are actually willing to buy?

What do you think?

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