2018 Pricing Season Update
Thank you for your support of Marriott’s updated cancellation policy. We are pleased to share that we have not seen reduced bookings since introducing the new cancellation policy that changed the minimum standard cancellation deadline for all brands (excluding MVW and Design Hotels) to 48 hours prior to arrival. The majority of hotels in the Americas have adopted the standard as their prevailing policy, which is a strong indication of your support.
While we continue to make progress related to moving special corporate business transient (“BT”) accounts towards the new standard, we are asking for your commitment to ensure sellers are focused on that goal. We have observed hotels agreeing to more lenient cancellation policies during RFP negotiations, and we need your assistance to promote a consistent approach to RFP negotiations to help mitigate the impact of last-minute cancellations.
Given the industry shift to more stringent cancellation policies, it presents a challenge when hotels accept more lenient cancellation terms. Sellers that agree to 6 p.m. cancellation policies put hotels in a position to end the day with empty rooms, limiting short-term availability and hindering the hotels’ ability to serve additional guests. Please note that although more than 500 special corporate customers have requested a same-day cancellation policy, Marriott’s analysis of our top corporate accounts indicates that same-day cancellations amount to less than 2% of all same-day activity. At a minimum, we urge you to consider offering a 24-hour cancellation policy to your best customers as a compromise. To better support sellers during RFP negotiations, Marriott has made an addendum to MarRFP that strongly discourages all same-day cancellation requests for properties in the Americas.
Successful adoption of these changes by sales, front office and revenue management leaders is only possible with your help. We will continue to communicate with sales leaders and give them resources to support their RFP negotiations, with a focus on BT customers. We appreciate your partnership and look forward to your continued support during a successful pricing season.
