The leading hotel group worldwide announced a three-year growth plan on Monday, March 18 leading to the opening of 1,700 hotels, or 275,000 to 295,000 rooms by 2021.
In order to reach this goal, Marriott relies on a record pipeline of 478,000 rooms of which 214,000 are already under construction (the group had 1,235,512 rooms on January 1, 2018 or 6,431 properties). Moreover, Marriott counts on growth in its RevPAR by 1 to 3% in the years to come, which allows it to generate revenues of up to 400,000 million euros in 2021 and 700,000 million euros in the following years.
Starwood made us an even stronger competitor, thanks to an even richer loyalty program, with brands that are more attractive for our clients and owners, talented collaborators and formidable developments especially on the Asia-Pacific market which is experiencing strong growth, and has pertinent cost synergies and significant size.
Arne Sorenson, President and CEO Marriott International
Among the positive factors cited by the group, there is also Marriott Bonvoy: THE new brand, fruit of 2 years of work that have made it possible to merge Marriott's historic program with that of its former competitor, bought in 2016, Starwood. The group already has 125 million members. A major asset to develop franchisees and especially Starwood's historic franchisees. In this regard, Marriott has revealed that 70% of the pipeline is carried by franchisees that already own a hotel under the group.
Also read: Marriott Bonvoy: THE new brand
Among the group's priorities, the modernization of the Sheraton brand, major brand in Starwood's portfolio, that is in a good position. Well established on three continents with 155,000 rooms that are aging, the group revealed a new Sheraton logo one week ago and announced that this visual change was only the first step in a more in-depth makeover.
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