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February 20, 2018

Americas: 7 Consequences of Marriott’s Commission Cut

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We are two weeks into Marriott's announcement of commission reduction for third party planning companies from 10 percent to 7 percent. Many were caught off guard by the reduction; others were not surprised, assuming this would be coming shortly after the acquisition of Starwood. There continues to be a lot of chatter about the move, which has created uncertainty for strategic meetings management program funding and uncertainly for agencies to achieve revenue targets for 2018; as well as concern about the fairness of excluding the four largest booking agencies from the commission reduction for an undisclosed amount of time. 

I wanted to add to the conversation by sharing seven corollaries I see as a result of the recent changes:

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