Marriott International reveals three-year growth plan

Marriott International has revealed its three-year growth plan, which includes opening more than 1,700 hotels around the world.

At its meeting today (18 March) with institutional investors and security analysts at the New York Marriott Marquis, the hotel brand will outline its plan to add between 275,000 and 295,000 rooms by 2021, supported by the strength of its record 478,000-room pipeline, including roughly 214,000 rooms already under construction.

Marriott will also disclose that its new room openings during this period could contribute $400m (£301m) in fee revenue in 2021 and $700m (£527m) annually when stabilised. The company’s three-year growth plan assumes, but does not forecast, comparable hotel revenue per available room (RevPAR) growth of as much as 3%, compounded annually.

Arne Sorenson, Marriott International president and chief executive officer, said: “Starwood has made us a more formidable competitor, providing a more valuable loyalty program, brands with strong appeal to loyalty members and owners, talented associates, terrific locations, particularly in the fast-growing Asia Pacific region, significant cost synergies and meaningful scale.

“We launched our newly branded loyalty program, Marriott Bonvoy, just last month. The program reached 125 million members as of year-end 2018 adding roughly 50,000 members per day.”