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Old Feb 8, 2009 | 6:30 pm
  #1  
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Is Marriott Clever Enough...

OK, all these threads complaining about service cutbacks while Marriott keeps rates high got me to thinking.

What if this is a deliberate business strategy? Suck up a few years of low occupancy to weed out all the freeloaders (for lack of a better term) whose loyalty is so tenuous that they'd jump ship over a free breakfast. Weed out those who will stay anyplace in town if the nightly rate is $5 less. Weed out those who have come to expect more than the published T&C for elite treatment.

What will be left will be three classes of traveler. One, the person who isn't even a member of a frequent guest program and who just stays wherever their business, conference, or vacation takes them. Two, the die-hard Marriott loyalist who sticks with them through all the changes. And three, the new customer who switches to Marriott because they (having never seen the flush years) see a solid product for the money. Can they then turn that into a sustainable customer set moving forward into the future?

All the nickel-and-dimers will have jumped ship to Hilton or Starwood or whatever, leaving concierge lounges less crowded (and those who are in the lounge are less likely to be the hoard-it-all types). These customers will be used to paying for things like weekend breakfast, parking, internet, etc. and don't mind the extra charges. And when the economy comes back, Marriott can ramp up the level of service (nicer spreads in the lounge, for example) which will thrill their customers--the same ones who are already high-paying, high-tolerance guests. At that point, Marriott may be able to claim a position in the market higher than their current competition in terms of service quality, positioning themselves as a Ritz-Carlton-lite chain.

Just thinking...
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Old Feb 8, 2009 | 6:58 pm
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Marriott Clever enough?

No --not a chance.
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Old Feb 8, 2009 | 7:14 pm
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I don't really get the end game here.
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Old Feb 8, 2009 | 7:40 pm
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Interesting thought, but why would MR have given everyone and their dog Platinum for 2009, even those who stayed only a few nights in 2008 (but who had been Platinum in the past?).
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Old Feb 8, 2009 | 8:15 pm
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Their ingenious plan for the domination of the hospitality world during a time of unprecidented budget cuts in the corporate world and tightening of personal spending.When every single hospitality dollar is in competition.
Marriott is a publicly traded company.And Shareholders would never go for a plan which puposely alienated business=any business these days.

There is one more catagory=the Marriott apologists/blind loyalist(" high-paying, high-tolerance guests")who fails to see that Marriott is showing nothing but disdain for its frequent guests and best customers and yet is willing to give Marriott money anyway.

Last edited by bigguyinpasadena; Feb 9, 2009 at 7:36 am
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Old Feb 9, 2009 | 9:17 am
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Don't give Marriott credit at all. It all comes down to greed with poor business insight. When you are the hotel brand known for its quantity of rooms over quality, you don't keep your rates high while alienating your most frequent customers via your reward program and lack of amenities.

I'm extremely disappointed that my newly acquired Platinum status (110 nights) means absolutely nothing these days due to the sheer number of PLT-lites and the way Marriott treats us. All we really get is 20% extra in points this year as well as an "upgraded room" that is only a room on the CL floor(s) (note use of plural as a floor above or below is considered by Marriott to be just as good. ).
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Old Feb 9, 2009 | 10:18 am
  #7  
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you're nuts if that iswhat you are thinking

where are all these travelers going to come from? all these travelers are just going to appear who've never seen any FS hotels benefits before and think they are getting a deal. even over five years thats never going to happen..

wow
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Old Feb 9, 2009 | 10:26 am
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Marriott is teetering on running their hotel like it's an airline. Peeve off your bread and butter customers in order to get a nickel extra.
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Old Feb 9, 2009 | 11:00 am
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Originally Posted by PhlyingRPh
Interesting thought, but why would MR have given everyone and their dog Platinum for 2009, even those who stayed only a few nights in 2008 (but who had been Platinum in the past?).
I was not given Plat- for the record.
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Old Feb 9, 2009 | 11:09 am
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Originally Posted by MileageGoblin
Don't give Marriott credit at all. It all comes down to greed with poor business insight. When you are the hotel brand known for its quantity of rooms over quality, you don't keep your rates high while alienating your most frequent customers via your reward program and lack of amenities.

I'm extremely disappointed that my newly acquired Platinum status (110 nights) means absolutely nothing these days due to the sheer number of PLT-lites and the way Marriott treats us. All we really get is 20% extra in points this year as well as an "upgraded room" that is only a room on the CL floor(s) (note use of plural as a floor above or below is considered by Marriott to be just as good. ).
Well said.

Original premise is crazy.

The problem with most corporations is that enough is never enough. A fair return for the risk and assets invested quickly goes out the window when more bucks can be extracted at peak times when everything is going right. Then they get used to the greed and have to exceed the previous quarter's earnings to keep the stock market happy. So now they are holding on against hope and reluctant to return to a more normal pricing structure.
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Old Feb 9, 2009 | 11:25 am
  #11  
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Originally Posted by jamflyer
I was not given Plat- for the record.
We all know people who didn't make the 75 night minimum in 2008, but still received Platinum status for 2009 - some missing that figure by double digits!
I don't know what the criteria may have been, but I know of three colleagues who fall into the above description.
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Old Feb 9, 2009 | 11:49 am
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can I get some of what the original post was smoking
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Old Feb 9, 2009 | 12:36 pm
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Originally Posted by joshua362
Well said.

Original premise is crazy.

The problem with most corporations is that enough is never enough. A fair return for the risk and assets invested quickly goes out the window when more bucks can be extracted at peak times when everything is going right. Then they get used to the greed and have to exceed the previous quarter's earnings to keep the stock market happy. So now they are holding on against hope and reluctant to return to a more normal pricing structure.
Your post is well-reasoned. It seems like the properties would rather have the rooms sit empty than fill them at more reasonable rates in tune with the current economic realities. Meanwhile they do stupid stuff like what happened to Sophie in another thread where Silvers get free in-room internet but not Plats, and like at 2 properties (CYs) I frequent where coffee is no longer available all day since the coffee machines are removed after breakfast service ends.
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Old Feb 9, 2009 | 12:38 pm
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Originally Posted by JoeBagodonuts
can I get some of what the original post was smoking
I'm not sure you want any of it. I think it was laced with something. LOL
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Old Feb 9, 2009 | 1:08 pm
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To the OP: No, I just think they wanted to remove liabilities (MR Reward points are liabilities) off their balance sheets.
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