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Award Sweet Spot, or Slippery Slope?

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Award Sweet Spot

Award Sweet Spot

Much of the points and travel discourse revolves around the award sweet spot concept – the current, latest, or next versions.  Even the dead ones get pub, which I totally understand – I’m a nostalgic person within and beyond this hobby.  But I generally refrain from using this term.  Indeed, I focus more on redemptions directly related to my prioritized goals.  Those will always be the highest-value ones for me.  But I get that people are enamored with award sweet spots, where individuals obtain a relatively large value for a smaller amount of points or miles currency.  But overly focusing on award sweet spots can be a pitfall in a variety of ways.  Consider these dangers as you traverse.

Distraction

Award sweet spots can unnecessarily distract individuals from pursuing the redemptions they most truly desire.  Indeed, it can lead some to go all-in on certain bank currencies and transfer partners that don’t necessarily align with their goals.  Or some remember what they want, but they diversify to other rewards currencies in a way that prevents them from more actively realizing their original plan.  Diversifying can be a solid method for mitigating risk, but it can also flatten out what people can earn with reasonable spending.

I strongly believe that while points, miles, and cash back rewards can augment my life, they do not redefine it.  Know who you are and your goals first.  After defining those, if an award sweet spot fits, great.  If not, don’t bother.  It was never an award sweet spot for you.

Award Sweet Spot

Unrealistic Expectations

Getting caught up in an award sweet spot play can lead to unreasonable expectations.  Along the way, individuals assign inflated cent per point valuations to rewards currencies.  People who do stuff on the internet for money contribute to this.  (Here are MtM’s average valuations.)  In seeking out an award sweet spot, many give up perfectly reasonable redemptions as they chase the dragon.  It’s as if individuals fall in love with the cent per point valuation more than the actual experience the points provide.  This is how some end up in an award sweet spot’s exotic locale and spend time searching for that next award sweet spot’s availability.

Even if people accept those reasonable, more frequent, everyday redemptions – which I’m a big fan of – some seem inhibited to share.  Or they seemingly apologize or make excuses for their redemptions when they do.  On several occasions, I’ve met individuals who talk about their redemptions and feel the need to justify why they didn’t redeem for what others deem an award sweet spot!  I’m confounded how backward things have gotten.

Groupthink

But things got that way because so many fall in love with the same award sweet spots that internet people (again) idealize.  I can understand how this happens.  Rather than come up with their own plans, many outsource their vacation decisions to such types.  But how boring things become when so many focus on so few redemption types!

Indeed, it can take more work to find and tailor your personal award sweet spot (dare I say “curate” – one of my least favorite words).  But the outcomes can justify the time and effort – more on that next.

Futility

Finding customized value for you, your family, and other travel partners can lead to more enduring redemptions.  Indeed, this probably isn’t the cliche award sweet spot that hoards are chasing.  With more demand, homogenized award sweet spots invariably devalue quicker.  And for all those sweet spot chasers, a vanishing option can lead to a bunch of currency for which they may or may not have a viable use.

Remember, what you truly want should not devalue.  Or, at the very least, it won’t devalue as quickly as a given rewards currency will.

Award Sweet Spot – Conclusion

By no means have I covered all the dangers of sweet spots today, but this is enough to get that mental conversation started.  I also want to underscore that some of those popular, mass-appeal award sweet spots are worth it for many.  But ensure it’s what you wanted in the first place.  Just because those pancakes are on sale doesn’t mean I want more of them.  Mitch Hedberg agrees.

When did you recently use points or miles on an award sweet spot?  Which did you pass up?  Why?

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Benjy Harmon
Benjy Harmon
Benjy focuses on the intersection of points, travel, and financial independence (FI). An experienced world traveler, husband, and father, he currently roams throughout the USA close to expense-free. Benjy enjoys helping others achieve their FI and travel goals.

Responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.

5 COMMENTS

  1. In 2020 I planned a trip for my wife and I and 4 family members using points and miles to Munich and Vienna. The trip was worth $100K using all Business Class airline tickets and the hotels were Ritz Carlton in Vienna and Hilton and Marriott premium properties in Munich and Salzburg. Fees and taxes came in around $1,200.00.@ Because of Covid and all of the venues we wanted to see, including the Oberammergau Passion Play being cancelled, I had to cancel the entire trip. Luckily, I was able to retrieve all my points and miles upon cancelling my reservations.
    Now it’s 2025 and schedules have changed but I was finally able to get everyone together again to reattempt the trip. The first thing I attempted doing was to recreate the same trips in Business. Forget it. I waited and waited for Delta, United or AA to release award space but that was a pipe dream. So wanting to travel in June and realizing that those wonderful award redemptions were a distant memory, I redeemed 480K miles in economy round trip with a free trip between Munich and Vienna on United. Return is Vienna to Boston via Frankfurt, and the kids on the trip are super excited to be flying on a 747. We’re all sitting together 2 rows with 3 seats. Not exactly Business but it’s going to get us where we need to be and at least we know who we’re sitting next to.
    In Munich we’re going to use the Holiday Inn City Center instead of the Hilton Munich City because of the big difference in redemption rates. I’m Diamond in both programs, so we’ll all receive free breakfast each day of our stay. I pulled the trigger on these rates because I believe they are only going to get more expensive the longer I wait. In 2020, it would have been Hilton. Because of redemption inflation, I’ll be using Best Western and IHG points for my nights between Fussen Germany and Salzburg.
    Back in 2020, I could have redeemed 600K from Marriott to reserve 3 rooms on the Club level floor for 3 days. No sweet spot here anymore. I’m sitting on 265K Hyatt points. Hyatt has a beautiful historic property right near the center of Vienna. So I redeemed 263K points and €2,200 to redeem for 3 rooms, 3 nights for a King, 2 Queens and a Diplomat Suite which is an €8,400 value. While not exactly free, I am very happy with the value I received for the points and money spent. I am also happy to finally be able to divest myself of all my United and Hyatt points and miles. My wife sits on the same amount of points and miles since I would always use her to apply for the same credit cards that I would.
    The lesson here is don’t wait for things that probably aren’t going to happen. It’s amazing how much points and miles have devalued over a 5 year period. Those old prices aren’t coming back. Planning a trip and pulling the trigger on a trip is so important when you participate in this hobby.

    • That should have read, 600K at the Carlton Ritz using Marriott points to reserve 3 rooms on the Club Level Floor.

  2. Interesting take on things. I largely disagree.

    Most people don’t MS so their ability to generate large amounts of points and miles is extremely limited. That means that the no-notice devaluations and incredible paucity of saver award space in premium cabins for that big trip people save for to redeem on a sweet spot has largely been destroyed. Conversely that makes sweet spots all the more valuable because normal people don’t have 300K+ Amex points for two round trips to Europe or Asia in business class for that 20th anniversary or similar.

    As to letting sweet spots dictate where you go, my travels would have been much more limited in scope if I hadn’t said “Wow, Alaska has two first class award seats available on Cathay to Hong Kong so let’s go check out Cambodia for a few weeks”. This applies to cash also like when I saw a $329 round trip from my home town to Zagreb. I’ve since been back three times. Or staying at the (at the time) crazy cheap on points Radisson Blu in Budapest. Sweet spots can easily be viewed as an enticement to visit places you otherwise might have back burnered year after year.

    Many people will want to use their miles and points for mediocre-to-low value, and while that’s kind of like using a really nice bottle of wine to cook with it’s their choice. If that makes them happy, so what? However that should not preclude getting great value from miles and points which is my goal and I’m particularly happy when I manage to get great value from a loyalty program. One view does not preclude the other.

  3. I’ve given up on using VA for ANA First mainly because I have now flown ANA new first. Also wanting to use VA and forget about it, I’m flying VA JFK LHR in May with visit to Delta D1 lounge.
    This replaced a trip with sweet spots using AA. I got DCA LAX SYD for 70K with the Swivel seat first. Then 100AA First or Qatar SYD DOH AUH

    • I’ve given up on using VA for ANA First mainly because I have now flown ANA new first.

      How do you mean? Is the new first so bad that you don’t want the experience again?

      And how on earth did you find first class award space to Australia? You’re my hero.

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