One of the simple things that often confuses beginners in the wonderful world of travel rewards is the difference between rewards and elite statuses (often called “statuses” alone). These are 2 completely distinct things. Marriott Bonvoy points vs. Marriott elite night credits, Air Canada Aeroplan points vs. Aeroplan status qualifying miles, etc.
It’s a good time to learn this, as there’s currently a great Marriott promotion that offers a shortcut to elite status (Marriott Bonvoy status obviously, but also Air Canada Aeroplan status thanks to their partnership).
The world of travel rewards is not that complicated if you put a little time into it (and you really should if you like saving money). But often, very different things look somewhat similar at first glance (or just have similar names).
You’ll have to get used to it; that will literally never change. You just need to take the time to learn the basics. It’s nothing complex; you can definitely do it. Flytrippers is here to help you sort it all out.
Here is the difference between rewards and elite statuses.
What are the basics of rewards programs?
Airlines, hotel chains, banks, and many other companies have rewards programs.
Rewards and elite statuses are 2 distinct components that exist within programs.
More specifically, both *can* be part of rewards programs:
- Rewards: offered by all programs
- Elite statuses: offered by some programs
Obviously, confusion only arises with rewards programs that *also* offer elite statuses.
But all the best rewards programs offer elite statuses: airline programs and hotel programs!
What are the basics of rewards and elite statuses?
The 2 components of rewards programs aim to reward you and build loyalty… but in different ways. They are completely different.
Here is the basic explanation of each of the 2 components:
- Rewards: a currency (points, miles, etc.)
- Earnable in multiple ways
- Redeemable to get free things
- Elite statuses: levels (Silver, Gold, Platinum, etc.)
- Achievable via qualifying instruments that are earnable
- Gives various privileges and VIP treatment
They seem similar, especially when you’re not familiar with them. That’s normal! If you knew how many times travelers confuse these 2 things.
“My TD Aeroplan Visa Infinite Card gives me 52,000 Aeroplan points; wow, that will give me a good elite status!”
“My Marriott Bonvoy Amex Card gives me 15 elite night credits; wow, that will give me a lot of free nights!”
No, and no. That has nothing to do with it.
What are rewards?
Rewards are by far the most important part of the travel rewards world.
It’s the currency that the program issues, which you can earn and then redeem. It’s almost always called points or miles. These are simply the rewards themselves.
With Air Canada, the rewards currency is called Aeroplan points.
With Marriott Bonvoy, the rewards currency is called Marriott points.
Etc.
Rewards are what you redeem to get free travel.
Simple. This is what most people already know at least a little about.
What are elite statuses?
Elite statuses are less important because it’s not for everyone (unlike rewards). For hotels, it’s really worth it. For airlines, it’s probably not unless you travel a whole lot.
These are the different levels that the program offers, which you can achieve. They have very varied names, like Silver, Gold, Platinum, etc. It’s simply your status in the program. To measure it, there are qualifying instruments.
With Air Canada, the qualifying instruments are SQMs (Status Qualifying Miles), SQSs (Status Qualifying Segments), SQDs (Status Qualifying Dollars), and EDQ (Everyday Status Qualification).
With Marriott, the qualifying instruments are ENCs (Elite Night Credits).
Elite statuses are what give you privileges and a more VIP treatment than regular members.
To be very clear, qualifying instruments just serve to measure your status, not for anything else. They can’t be used for free travel.
What’s the difference between rewards currencies and qualifying instruments?
It’s the elite status qualifying instrument that many confuse with the rewards currencies themselves, because you earn both. Elite night credits or status qualifying miles… those aren’t points, and those aren’t a currency you can do something with.
To measure the achievement of elite status levels, there’s no choice but to have an elite status qualifying instrument.
So you “earn” 2 distinct things with rewards programs that offer elite statuses:
- The rewards currency
- The elite status qualifying instrument
It’s just that the elite status qualifying instrument is less tangible and serves absolutely no purpose other than measuring your status. That’s it.
By taking an Air Canada flight (or on one of the 40+ partner airlines), you earn both:
- Aeroplan points
- Which you can redeem for free flights
- This is the rewards currency
- Which you can redeem for free flights
- SQMs
- Which just serves to measure your status
- This is the qualifying instrument
- Which just serves to measure your status
When staying at a Marriott Bonvoy hotel (30+ different brands), you earn both:
- Marriott points
- Which you can redeem for free nights
- This is the rewards currency
- Which you can redeem for free nights
- Elite night credits
- Which just serves to measure your status
- This is the qualifying instrument
- Which just serves to measure your status
Basically, it’s not complicated now that you know it.
Rewards currencies… allow you to get free travel. That’s it. They don’t give you elite status.
Qualifying instruments… allow you to achieve elite statuses. That’s it. They don’t give you free travel.
Which one do credit cards give?
ALL credit cards give you rewards. With a huge welcome bonus to start (that’s THE most important thing, as you know if you’ve read our guide on how to earn rewards) and on all your purchases afterward.
SOME credit cards also give you benefits related to elite status, but it’s much rarer. Don’t miss a detailed post listing them soon. The most popular ones are the Marriott Bonvoy Amex Card and the Amex Platinum Card (check the “Benefits” tab).
How are rewards and elite statuses interconnected?
The 2 components are quite distinct, but it’s worth mentioning that rewards can help you achieve elite status… and elite status can help you earn rewards.
In the 1st case, this is especially true for hotels: nights paid with your rewards allow you to achieve elite status. You earn status qualifying instruments, like Marriott elite night credits, even by paying for a hotel stay in points.
This is not the case with airline rewards programs, and it’s one of the many reasons why airline elite status is much harder to achieve. Don’t miss our detailed guide on elite status soon.
In the 2nd case, it’s more direct and simple: among the many privileges offered to members who have elite status, there is a better earn rate for rewards (in almost all rewards programs).
For example, a member without status earns 10 Marriott points per US$ spent with Marriott. With my Marriott Bonvoy elite status (Titanium), I earn 75% more points (that’s 17.5 points per US$). This is always in addition to the points earned on the credit card, of course.
How can I learn more about elite status and rewards?
Flytrippers has a ton of content on the rewards currencies themselves. You can read the basics on how rewards redemptions work to get started. You can then read about your redemption options for each rewards currency. And we’ll have a lot more in the coming weeks.
For elite statuses, if you’re interested in becoming a VIP, Flytrippers will be publishing a revamped, comprehensive ultimate guide on the subject very soon. In the meantime, you can read about the easiest elite status to achieve, Marriott Bonvoy elite status for hotels.
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Summary
The difference between rewards and elite status is very important because they are 2 completely separate components of rewards programs! The rewards currencies themselves are what matter most, but if achieving elite status interests you, you need to look at earning the qualifying instrument in question.
What would you like to know about the difference between rewards and elite statuses? Tell us in the comments below.
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