May 10, 2017 Integration Updates

Former Starwood-Branded Hotels Integration into Marriott Group Intermediary Preferred Partner Agreements


Marriott’s Group Preferred Partnership strategy is designed to grow preference, loyalty and profitable share from our highest-valued group partners. These Group Preferred Partnership agreements enhance Marriott’s competitive advantage, ease the group booking process, and enable hotels to grow incremental group business from these partners within the framework of Marriott’s Distribution Strategy.   

Effective May 15, all former Starwood-branded hotels can begin to leverage Marriott’s Group Preferred Partnership Agreements with HelmsBriscoe, ConferenceDirect, Maritz/Experient and HPN Global. The benefits of moving to the terms of the agreement include:

  • More favorable advance commission parameters
  • No pre-negotiated concessions for premium and select brands
  • More flexibility in negotiation on all terms, including rooms outside the block

Hotel Participation

Hotel participation was communicated via the May 8 edition of the Weekly Update. Outlined below are the terms for hotel participation:

Mandatory:

  • All Managed by Marriott (MxM) full service hotels globally participate in the Preferred Partner Program and will be bound by the Terms of Participation.
  • All MxM Marriott Select Brands hotels in the US and Canada participate in the Preferred Partner Program and will be bound by the Terms of Participation.  

Optional:

  • All franchise hotels globally are encouraged to participate and have the option to opt-in to the four Preferred Partner Agreements and the associated Terms of the Participation. The deadline to opt-in is May 31.

The Advance Commission terms are as follows:

Account

Maximum for
Full-Service Hotels

Maximum for
Select-Service Hotels

HelmsBriscoe

$25,000

$5,000

ConferenceDirect

$15,000

$5,000

Maritz/Experient

$25,000

$5,000

HPN Global

$15,000

$5,000

Advance Commission payout timelines and processes are as follows:

  • Full service hotels: 14 days from receipt of invoice from Partner but no more than 24-months prior to group’s arrival.
  • Marriott Select Brand hotels: 14 days from receipt of invoice from Partner but no more than 12-months prior to group’s arrival.
  • Advance commission payment process for all former Starwood-branded hotels will be paid at the property level until further notice.
  • Advance commission payment process for all Marriott-branded hotels (those that are currently under Marriott’s Preferred Partner Agreement) does not change.

Final Commission

For former Starwood-branded hotels, final commission is due 45 days after group’s departure contingent upon payment of 90% of the Group’s Master account. For all Marriott-branded hotels (those that are currently under Marriott’s Preferred Partner Agreements), the commission terms and processes do not change.

 

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