Dozens of Marriott’s largest hotel owners are pressing the company to share more of the roughly $1 billion it forecasts it may earn this year from co-branded credit cards.
A March letter to CEO Anthony Capuano and Chairman David Marriott was signed by 51 owners representing nearly 1,000 Marriott hotels, the Wall Street Journal reported on Tuesday.
Why it matters: Loyalty programs have turned into some of the most profitable corners of the hotel business. The tussle over the various streams of income pits the major hotel groups against the franchisees who provide services to the guests cashing in the points. Marriott said in February that it expects “around a 35% increase” in co-branded credit card fees this year, driven by issuers paying the company higher royalties and continued growth in cardholder spending.&nbs