.png)
I know it might seem like we (at Daily Drop) have an endless supply of points and miles with all the trips we talk about, but let us set the record straight: our stash is not bottomless. The secret isn’t having unlimited points—it’s being strategic about how and when to use them. One key strategy we swear by? Diversification.
Why Diversification Matters
Not all points are created equal, and not all programs offer the same value. While many big-name loyalty programs like British Airways and Flying Blue partner with multiple banks, some of the most valuable programs—like Hyatt and Choice Hotels—have limited partnerships.
For example, let’s say you’re planning a trip to Seattle. If you’re sitting on a stack of Ultimate Rewards Points, Membership Rewards Points, and Capital One Miles, you have plenty of options.
Luxury: Transfer 20,000 Ultimate Rewards Points per night to Hyatt and book the Thompson Seattle.
Mid-Range: Use 54,000 Marriott Bonvoy Points for the Residence Inn Seattle.
Budget: Transfer 7,500 Citi ThankYou Points (at a 1:2 ratio) to Choice Hotels and book the Comfort Inn Seattle for 15,000 Choice Points per night.
The Hyatt and Choice options are clear winners here. By having access to programs like Citi ThankYou, you save a ton of points versus overspending on Marriott or IHG.
Real-Life Savings in Action
Let’s switch gears to another scenario: a quick overnight layover in Los Angeles on your way to Asia. You need a hotel near LAX.
Hilton Hotels: Transfer Membership Rewards Points at a 1:2 ratio to Hilton and spend 25,000–30,000 points per night.
Hyatt House LAX: Transfer just 9,000 Ultimate Rewards Points and stay for the night.
The Hyatt option is a no-brainer, leaving you with more points for future bookings. And those 15,000 Membership Rewards Points you saved? You can now transfer them to Flying Blue to book a one-way flight to Europe for just 15,000 miles!
Don’t Forget About Transfer Bonuses
Another reason to diversify? Banks offer transfer bonuses at different times. For example, all major banks transfer to Flying Blue, but a 20% transfer bonus with one program can make a huge difference. That’s why it’s smart to build a portfolio that spans multiple bank currencies—you’ll always have options when these promos pop up.
Building Your Points Portfolio
Ready to diversify? Here’s where to start:
Citi ThankYou Points: The Citi Strata Premier℠ Card is perfect for earning points that can be transferred to Choice Hotels at a 1:2 ratio. Just the welcome offer can get you up to 19 nights at Choice Hotels!
Capital One Miles: The Capital One Venture Rewards Credit Card earns miles on everything, making it easy to rack up points fast. If you want premium perks, the Capital One Venture X Rewards Credit Card is worth considering.
Membership Rewards Points: The American Express® Gold Card is a dining powerhouse, earning 4x points on dining worldwide and 3x on airfare. Plus, its various credits can help offset the annual fee.
Ultimate Rewards Points: Everyone needs a Chase Ultimate Rewards card in their wallet. It’s the most versatile currency out there, and the Chase Sapphire Preferred® Card is an excellent entry-level option.
The Bottom Line
Diversification is a game changer for anyone using points and miles. By building a well-rounded card portfolio, you’ll always have the right points for the right booking, whether you’re splurging on a luxury stay or saving big on a budget-friendly trip.
Start diversifying your strategy today and watch how far your points can take you. Need inspiration? Check out our latest card recommendations here.
