Marriott International (MAR) J.P. Morgan Gaming, Lodging, Restaurant, and Leisure Management Access Forum summary

Strategic priorities and growth outlook

• Focus on building a global ecosystem with minimal leakage, anchored by the Bonvoy loyalty program and best-in-class brands and experiences worldwide.

• Accelerating net unit growth by ensuring the right product is available everywhere for every trip purpose.

• Major technology replatforming underway for property management, central reservations, and loyalty systems, expected to be transformational.

• Emphasis on leveraging emerging technologies, especially AI, to drive efficiency both above property and at the hotel level.

• No significant difference in strategic priorities between the U.S. and international markets, though the U.S. is a more mature market.

Market trends and performance

• Strong global demand and ADR growth in January and February, with March impacted by Middle East conflict, though effects remain regionally contained.

• Middle East represents about 4% of global rooms and fees, with 7% of the pipeline; current conflict has led to cancellations and weak occupancies.

• Europe remains stable, but risks exist if conflict expands; oil price volatility could shift U.S. outbound travel to more domestic, drive-to destinations.

• World Cup 2026 expected to provide 40 basis points of upside in the U.S., with international inbound bookings double the normal rate.

Brand portfolio and development

• Portfolio includes about 40 brands, offering broad choice to guests and owners; ongoing work to ensure distinct positioning for each brand.

• Targeting 4.5-5% room growth, with a pipeline of over 600,000 rooms and a strong mix of new builds and conversions.

• 30-40% of recent signings and openings are conversions, including large portfolio deals like MGM and Fern in India.

• 40% of the pipeline is upper upscale and luxury, while midscale, though only 5% of the pipeline, is among the fastest-growing segments.

• Continued push for growth in both midscale and luxury, with recent committee approvals for new U.S. luxury deals.