Group Booking Commissions

Marriott Delivers Blow to Agents, Cutting Pay on Group Bookings - Travel Weekly

Excerpt from Travel Weekly

Marriott International will reduce the commission rate on group bookings at North American hotels from 10% to 7% on March 31.

Marriott said that cutting commissions was necessary to enable further investment in its product.

"The current business model and environment … present significant obstacles to making the investments needed to deliver a world-class experience for customers. While group intermediaries play an important role in the marketplace, costs for our North American hotels and owners are growing at a faster pace than group revenue, which impacts hotel profitability," Marriott said in a statement Wednesday.

ASTA CEO Zane Kerby said travel agency trade group would "discuss this change with Marriott, our agency and consortia members and other stakeholders with an eye toward ensuring positive business outcomes for all involved."

Click here to read complete article

Logos, product and company names mentioned are the property of their respective owners.