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With the recent return of the all-time-high 35,000-point SPG signup bonus (and since SPG was acquired by Marriott, this card should disappear in 2018, this may be the last chance to get that all-time-high offer), attention on SPG has once again reached a new level. So here I won’t repeat the benefits of SPG points or the need to apply for this SPG card; instead, let’s compare the SPG nights&flights package and the Marriott flight&hotel package.

Introduction to the SPG Package

Official link: SPG nights&flights package details

First, let’s introduce the SPG package (nights and flights), because many readers generally feel that the SPG package is far less familiar than the Marriott package, and some people don’t even know the SPG package exists.

Redemption requirements:

The SPG package lets us book five nights at a category 3 or category 4 hotel plus 50,000 airline miles. The cost is:

  • 60,000 SPG points can be redeemed for five nights at a category 3 hotel plus 50,000 airline miles
  • 70,000 SPG points can be redeemed for five nights at a category 4 hotel plus 50,000 airline miles

The 50,000 bonus miles only apply to airlines that have a 1:1 redemption ratio with SPG points. These are:

  • Aeroplan/Air Canada, Alaska Airlines Mileage Plan, All Nippon Airways (ANA) Mileage Club, American Airlines AAdvantage, Japan Airlines (JAL) Mileage Bank
  • Aegean Airlines, Aeromexico Club Premier, Air Berlin, Air China Companion, Alitalia MileMiglia, Asia Miles, Asiana Airlines, British Airways Executive Club, China Eastern Airlines, China Southern Airlines Sky Pearl Club, Delta Air Lines SkyMiles, Emirates Skywards, Etihad Airways, Flying Blue, Hainan Airlines, Hawaiian Airlines, Jet Airways, Korean Air, LifeMiles® of Avianca, Miles and More, Qatar Airways, Saudi Arabian Airlines, Singapore Airlines KrisFlyer, Thai Airways International Royal Orchid Plus, Virgin Atlantic Flying Club, Virgin Australia.

The value of the SPG package:

Normally, redeeming one night at an SPG category 3 hotel requires 7,000 points, while a category 4 requires 10,000 points. After booking four consecutive nights, the fifth night is free. That means staying five nights at an SPG category 3 hotel requires 28,000 points, and five nights at an SPG category 4 hotel requires 40,000 points. Compared with normal redemption, redeeming the SPG category 3 package means we effectively spend an extra 32,000 points to buy 50,000 airline miles, while the SPG category 4 package means we effectively spend an extra 30,000 points to buy 50,000 airline miles. So the redemption formula is:

  • Package points needed = points needed to redeem 5 hotel nights directly + airline miles obtained at 1:1.56-1:1.66

In fact, the normal SPG points-to-airline-miles redemption ratio is 1:1, plus you receive 5,000 extra airline miles for every 20,000 SPG points converted. So the effective redemption ratio only improves from 1.25 to 1.56-1.66.

Introduction to the Marriott Package

Official link: Marriott flight&hotel package details

The basic Marriott package chart is below (UA miles = the values in the chart * 1.1, Asian airlines = the values in the chart * 0.71):

Comparing the hotel redemption chart with the Marriott package and combining the hotel points-to-airline-miles ratios from the other chart (package chart summary), we can summarize it as follows:

  • Package points needed = points needed to redeem 7 hotel nights directly + airline miles at 1:0.71~1.1

More specifically, the package points are split into two parts: one part is used to redeem seven hotel nights (in practice you only pay for 6 nights, since points stays have a 4-pay-1-free benefit), and the other part is converted into airline miles:

  • UA redemptions get a 10% bonus, with a 1:1.1 ratio
  • North American and European airlines redeem at 1:1 (including AA, Delta, BA, AC, AS, SW, etc.)
  • Asian airlines redeem at 1:0.71 (including ANA, Air China, China Eastern, etc.)

For a more detailed analysis, please refer to the two full Marriott package guides on our blog: (1); (2)

Overall Redemption Value Comparison

We need to note that, since Marriott has acquired Starwood (SPG), Marriott points and SPG points can be converted between each other at a 3:1 ratio. Therefore, if you have enough points, you can freely choose between the Marriott package and the SPG package. So first, let’s compare the two packages from the perspective of overall redemption value.

Using the SPG and Marriott package formulas above, and combining them with the 3:1 conversion ratio, we will use Marriott points as the common benchmark:

  • Marriott package: 200,000 = 7 nights + 50,000 miles; 270,000 = 7 nights + 120,000 miles
  • SPG package: 180,000 = 5 nights C3 + 50,000 miles; 210,000 = 5 nights C4 + 50,000 miles

When redeeming for 50,000 miles: the points required for the two packages are about the same; the difference is simply Marriott’s 7 nights in categories 1-5 versus SPG’s 5 nights in categories 3/4. Personally, I think SPG category 3/4 properties may be a bit better than Marriott category 1-5, but Marriott gives you 2 extra nights, so if you can use them, of course the longer stay is better. So in terms of value, the two are basically the same. In other words, if your total points are around 200,000, the value of either package is similar; you only need to decide which hotel chain suits you better.

When redeeming for more miles: because of the SPG package’s limitation, it can only be redeemed for 50,000 airline miles. The Marriott package, however, can be redeemed for up to 120,000 airline miles, and it effectively converts Marriott points into higher-value airline miles at 1:1 (Marriott points are worth about 0.8c, while the airline miles are worth about 1.5c). So, from the standpoint of improving point value, the Marriott package is far ahead of the SPG package. Viewed another way, those 70,000 Marriott points = 23,000 SPG points; 23,000 SPG points turned into 70,000 airline miles, which is equivalent to redeeming SPG points for airline miles at 1:3—far better than the normal 1:1.25! In other words, if your total points are 270,000 or more, and the hotel difference is not significant, just choose the Marriott package without hesitation to get more high-value airline miles.

My conclusion on overall redemption value is:

  • The Marriott package beats the SPG package decisively!

Hotel Value Comparison

The differences between the two packages for hotel stays are:

  • Length of stay: the Marriott package provides 7 hotel nights; the SPG package provides 5 hotel nights
  • Redemption level: the Marriott package can be used to redeem hotels in any category, while the SPG package can only be used for category 3 and 4 hotels

If you already plan to stay 7 nights, then you should definitely choose the Marriott package; there’s no need to redeem the 5-night SPG package.

If you only need a 5-night stay and care about hotel value for money, then the SPG package is a better choice. In my view, SPG category 3/4 properties are better than Marriott category 1-5 properties (Marriott category 5 requires 25,000 points, while SPG category 3/4 requires 21,000/30,000 Marriott points). If you prefer higher-end hotels, Marriott gives you many more category choices than SPG. Also, if you are not satisfied with the hotel category you redeem with the Marriott package, you can later add points to upgrade to the level you need.

My conclusion on hotel value is:

  • The Marriott package is slightly better than the SPG package

Airline Miles Comparison

The differences between the two in airline miles are:

  • Maximum miles: the Marriott package can be redeemed for up to 120,000 airline miles, while the SPG package can be redeemed for up to 50,000 airline miles
  • Airline choices: SPG can be used with more airlines than Marriott, but each has its own unique advantages
  • Redemption ratio: SPG is fixed, while Marriott depends on the airline being redeemed

As analyzed above, airline miles are worth much more than Marriott points (roughly 2x), so being able to redeem more airline miles is definitely better. With the Marriott package, it is effectively turning SPG points into airline miles at a 1:3 ratio (direct SPG redemption only reaches 1:1.25 at best), so for anyone who needs miles, the top-mile tier of the Marriott package is the obvious choice.

As for airline choice, SPG’s advantage is that Asian airlines also redeem at 1:1, while the Marriott package only gives 1:0.71. But remember that converting SPG points to Marriott first multiplies them by 3, and then the Marriott package redeems at 1:0.71, which is effectively 1:2.21—still enough to crush the SPG package! In addition, the Marriott package can also get you UA’s 10% bonus and Southwest’s Companion Pass, while the SPG package doesn’t even offer these two airline options.

Finally, the 7-night free certificate in the Marriott package can also be called in to customer service and converted back into Marriott points at a discount; the category 1-5 certificate can become 45,000 points. These 45,000 points can be used as part of a future Marriott package, or converted to SPG and then directly redeemed for airline miles at 1:1. SPG’s free-night certificate cannot do this. So from the extreme perspective of only wanting airline miles, Marriott still wins.

So on airline miles, my conclusion is:

  • The Marriott package crushes the SPG package

My View

As someone who wants to maximize the value of points, I definitely would not choose the SPG package. If you can accumulate 200,000 Marriott points (60,000-70,000 SPG points), then why not push a little further and earn another 70,000 Marriott points (23,000 SPG) to redeem the top-mile tier of the Marriott package. If you are not satisfied with the hotel options, you can also add some points to upgrade the Marriott certificate tier.

For those who prefer hotels, I recommend not considering either of these packages. Using SPG points directly for hotel stays provides even higher value.

As for how to earn enough points for these packages, the easiest way is through applying for new credit cards:

35,000 SPG + 87,500 Marriott = 105,000 + 87,500 Marriott = 192,500 Marriott. Add in the points from signup spending, and that is already enough for the Marriott package.