Monthly Archives

Monthly Archives for September 2022.

Marriott Charges Resort Fees To Hotels That Want To Charge You Resort Fees

Sep 05 2022

Marriott actually makes hotels pay them for the right to charge you a resort fee. Having just audited the franchise agreement for their AC Hotels and Westin brands, I found it fascinating that they charge a one-time $1500 fee, plus $550 per year, to hotels that bill customers resort or destination fees. Marriott also has the right to exempt elite members from paying resort fees, under their franchise agreement, but doesn’t do this.

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American Airlines About To Get Pilots Contract? Some In The Cockpit Are Furious

cockpit with pilot
Sep 05 2022

American Airlines pilots know they’re going to get well paid in a new contract. The company has publicly offered a 17% raise. They want 20%, and changes to work rules that (among other things) keep the airline from altering their schedules and leaving them without lodging on the road. United’s pilot union agreed to a deal offering a 14% raise, but when they heard about what American’s pilots were on the verge of getting – and unwilling to take – they backed out of the deal wanting what American was getting.

Some pilots – including union leaders – are furious with what they appear on the verge of settling for.

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How Much Marriott Hotels Have To Pay When Bonvoy Members Stay

Sep 05 2022

Marriott claimed over 140 million members at the end of 2019. At some brands members represent about two thirds of revenue. Based on franchise disclosures, the average Marriott Bonvoy member pays AC Hotels a $200.74 daily room rate and at Westin hotels it’s a $185 daily room rate. Guests aren’t customers, they’re Marriott’s product – and the product that all hotel chains sell to hotel owners. While hotel chains push ‘book direct’ as a way of lowering costs, distribution isn’t free. Franchisees pay more for Bonvoy members than non-members, on the theory that Marriott is delivering these “leads” to hotels. And those fees fund points that members earn. For Westin in 2021, Marriott is charging 4.2% of “qualifying revenue generated by customers earning loyalty points or miles” for the cost of Bonvoy, not including bonus…

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