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Are property owners the real “winners” in the merger ?

Are property owners the real “winners” in the merger ?

Old Aug 27, 18, 7:36 am
  #1  
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Are property owners the real “winners” in the merger ?

So , after reading the voluminous posts on the merger and the various “enhancements”, it occurred to me that one group seemingly came out ahead /unscathed - the property owners . This is especially true for the legacy SPG properties . No more 4pm check out or breakfast for the matched SPG Gold /Marriott Gold. A lot more discretion in suite upgrades and potentially less accountability . MAGC point reduction value for SPG legacy properties . It appears that the legacy Marriott guaranteed bed type is also watered down in the new t and c which could result in fewer compensation payments . Etc etc

I believe that one of the stated goals of the merger was to keep the “costs” of loyalty benefits low for the property owners - correct me if I am wrong but I think I remember hearing or seeing that . If I am right , then I think thiat mission was accomplished .
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Old Aug 28, 18, 2:35 am
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and wait until they jack up the point redemption costs in 2019, you know this year was only done to create hoopla about 'things generally stay the same' for SPG members. Based on all the things Marriott has walked back you can be sure points are increasing in 2019.

Last edited by bdschobel; Aug 28, 18 at 6:40 am Reason: moderator removed one word
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Old Aug 28, 18, 11:51 pm
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Originally Posted by itsaboutthejourney View Post
and wait until they jack up the point redemption costs in 2019, you know this year was only done to create hoopla about 'things generally stay the same' for SPG members. Based on all the things Marriott has walked back you can be sure points are increasing in 2019.

I agree 100% agree and great point! Especially with the platinum elite getting 50%, Platinum Premier Elite/Ambassador getting 75%. Anyone that took business classes can forecast that!
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Old Aug 28, 18, 11:56 pm
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Originally Posted by Mister Nice View Post
So , after reading the voluminous posts on the merger and the various “enhancements”, it occurred to me that one group seemingly came out ahead /unscathed - the property owners . This is especially true for the legacy SPG properties . No more 4pm check out or breakfast for the matched SPG Gold /Marriott Gold. A lot more discretion in suite upgrades and potentially less accountability . MAGC point reduction value for SPG legacy properties . It appears that the legacy Marriott guaranteed bed type is also watered down in the new t and c which could result in fewer compensation payments . Etc etc

I believe that one of the stated goals of the merger was to keep the “costs” of loyalty benefits low for the property owners - correct me if I am wrong but I think I remember hearing or seeing that . If I am right , then I think thiat mission was accomplished .
When did SPG Gold benefits ever include breakfast? IIRC Plats got breakfast, points, or sometimes a local amenity while Golds got a free drink coupon or free internet, although the terms varied by region so it's complicated.

If a Gold happened to get an above and beyond upgrade to a club level room, that would mean free breakfast, but golds were only entitled to enhanced rooms (if available) in the same category as what was booked.
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Old Aug 29, 18, 7:34 am
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I was referring to the status match SPG Gold to Marriott Gold regarding the breakfast . When folks matched over , they got breakfast as Marriott Gold but the new Gold does not have that benefit .
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Old Aug 29, 18, 8:33 am
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of course they are..... of course they are. Marriott and the property owners
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Old Aug 29, 18, 9:02 am
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Originally Posted by Mister Nice View Post
I was referring to the status match SPG Gold to Marriott Gold regarding the breakfast . When folks matched over , they got breakfast as Marriott Gold but the new Gold does not have that benefit .
You're conflating the name of the tier with what it takes to earn it. The status link of SPG Gold to Marriott Gold was generous to the SPG Gold members who got it.
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Old Aug 29, 18, 10:52 am
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In some locations, it's easier in principle to compare prices (at least for one night stays, given how MR indicates rates that change during the stay) when more hotels are bookable on the same Starriott website, so this part should be good for consumers, but of course at the brand/chain/corporate level, consolidation has reduced competition.
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Old Aug 29, 18, 11:25 am
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My client owns multiple Marriott-family properties. During the last 1.5 years, I've been assisting in rebranding 3 existing properties and designing 3 new non-Marriott properties. FWIW.
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Old Aug 29, 18, 11:29 am
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Hotel owners can't be happy about increased competition from local hotels that are now within their own chains, such as big city Marriotts and Sheratons almost across the street from each other. In fact, there are reports that some management contracts were supposed to protect them from nearby competition within their own brans, but now that Starriott has about thirty brands, many of which are similar or even indistinguishable to the customer, maybe there will be major defections.
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Old Aug 29, 18, 4:21 pm
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I'm sure Marriott won. But I also feel like I won. I went from a long-time Marriott Gold, years away from achieving LT status at any level, to LT Gold and by end of 2018 or early 2019 LT Plat. I'm not thinking about earning status every year now, which brings a feeling of freedom.

I have many many more hotel choices at which to use my benefits in the future then I did pre-merger.

There were some losses, but overall I feel like I personally came out pretty far ahead.
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Old Aug 29, 18, 4:44 pm
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Shareholders win. That is who is supposed to win.

Every travel industry M&A deal winds up with hundreds of moaning threads about how the world has ended. It has not.

The old model was not financially viable. Hence the deal.

Move on.
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Old Aug 29, 18, 5:41 pm
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Originally Posted by JBord View Post
I'm sure Marriott won. But I also feel like I won. I went from a long-time Marriott Gold, years away from achieving LT status at any level, to LT Gold and by end of 2018 or early 2019 LT Plat. I'm not thinking about earning status every year now, which brings a feeling of freedom.

I have many many more hotel choices at which to use my benefits in the future then I did pre-merger.

There were some losses, but overall I feel like I personally came out pretty far ahead.
I am with you on this. Except for the rather rough rewards program merger, I have been pleased with the combination. I was MR LT silver even though I had 11 years as plat because I wasn't quite to gold in terms of overall points even though I had 628 nights, most of which were BiB. After Marriott allowed account linking and status match, I was able to regain lounge access at Marriotts by doing a 30K spend on the SPG Amex. That 30K is spent the old fashioned way, that is my hard earned dollars, as I am retired and no longer doing reimbursed business travel. With the account combine of my 210 Starwood nights (again most earned by real travel), I am LT PE and should be LT PP come January. I'm also happy in that most of my remaining points were on the SPG side, and once the link accounts was done I could use those points on a larger set of lower category hotels.

My fear here is that Marriott is losing a lot of current and upcoming business because of pissed off elite travelers who travel frequently for business (as I used to do), and don't want the hassle of checking with every hotel to see if their status is being properly recognized.
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Old Aug 30, 18, 7:10 am
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SNA

Folks are reporting that properties are able to determine what constitutes a “suite” when applying SNA . When trying to apply the SNA , fellow FT members are reporting they are only offered premium rooms or executive rooms as the “suite” upgrade options. That , in my humble opinion , is another “win” for property owners.
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Old Aug 30, 18, 8:18 am
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Originally Posted by copyright1997 View Post

My fear here is that Marriott is losing a lot of current and upcoming business because of pissed off elite travelers who travel frequently for business (as I used to do), and don't want the hassle of checking with every hotel to see if their status is being properly recognized.
As a customer, why is that a fear of yours? That's a problem for Marriott to sort out. I will say, the Marriott I'm in this week didn't welcome me as a Plat Premiere. Which is fine with me, as my key card still worked for the lounge. But I'll watch my points, since this is the first stay since the IT merge.

Originally Posted by Mister Nice View Post
Folks are reporting that properties are able to determine what constitutes a “suite” when applying SNA . When trying to apply the SNA , fellow FT members are reporting they are only offered premium rooms or executive rooms as the “suite” upgrade options. That , in my humble opinion , is another “win” for property owners.
It may not be a win or a loss. Could be a short term bug that Marriott will have to sort out with it's properties. But point taken if it isn't corrected.
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