April 7, 2016 Owner & Franchise Communications

Results from 2015 Owner & Franchise Satisfaction Survey

Marriott’s annual Owner & Franchise Satisfaction Survey provides critical insights into how to strengthen our relationship with our owners and franchisees, and identifies specific areas requiring additional focus. Response rates from the survey conducted in Q4, 2015 reached a new high, and we want to thank those of you who completed the survey and provided valuable feedback.

Based on your input, we noted the following positive themes:

Overall satisfaction across the community increased to a record level, led by sustained high marks in communication, overall strategy and account support, as well as high marks on how we do business (i.e., Marriott’s corporate values).
Marriott’s relationship-driven approach and account management strategy were consistently noted as competitive differentiators.
Preference among owners to choose Marriott as a manager was up meaningfully this year, driven by the select service / extended stay segment. We hope to build on this momentum with the recent launch of the Managed by Marriott (MxM) brand identity.
The survey demonstrated positive feedback on brand direction, with high scores consistent with prior years.

While we are pleased to receive the positive feedback outlined above, we also saw the following areas of opportunity emerge:

Competition and brand distinction trended as top concerns this year. To address these concerns, the team will focus on providing further communication regarding the individual brand strategies and their unique positioning as part of the overall brand marketing strategy, as well as on articulating the value a strong portfolio of brands presents to owners.
Cost and operating efficiency due to both external and internal factors were noted as an ongoing concern. We are committed to engaging with our owner and franchise advisory boards to provide input on new initiatives and collaborate to actively seek every opportunity to reduce costs from the current model.

Looking ahead, we plan to distribute our next Owner & Franchise Satisfaction Survey this summer. We encourage and look forward to your participation. The survey provides an important opportunity to provide feedback, and we also welcome your input throughout the year, via advisory boards or by calling your Account Executive directly. Our goal is to continually seek opportunities to improve your satisfaction with investing in Marriott’s brands and working with our teams.