Marriott says it saw 'immediate surge' in bookings after EU announcement
It's no secret that the COVID-19 pandemic walloped the travel industry, but one hotel chain seems optimistic about its future post-pandemic.
The Marriott umbrella encompasses 30 brands and thousands of rooms, from swanky Ritz-Carltons to the wallet-friendly Four Points by Sheraton. The company reported earnings for the quarter today, and said RevPAR -- that is, the revenue per available room -- declined more than 46%, compared to the first quarter of 2020. But Marriott also said 95% of its 7,600 properties worldwide are open again, and that's good news for future earnings.
"In our largest region, the U.S. & Canada, demand increased rapidly as vaccine rollouts accelerated," Marriott's chief executive officer Tony Capuano said in a statement.
Marriott beat Wall Street analysts' expectation on earnings, but revenues of $2.3 billion fell slightly short of expectations for $2.5 billion in the quarter. Revenue was down 51% year-over-year.
In a statement, CEO Tony Capuano said, "We were pleased to see demand improve meaningfully during the first quarter."
Indeed, travel appears to be on the upswing in the United States and Canada, and Marriott also said it saw an "immediate surge" in call volume in the wake of the European Union's proposal to allow vaccinated travelers to enter the EU.
While many details still have yet to be finalized, the EU is expected to welcome vaccinated tourists -- which would include Americans -- this summer.
European Commission president Ursula von der Leyen has been among the EU leaders pushing for a safe reopening ā in a May 3 tweet, she shared a proposal "to welcome again vaccinated visitors & those from countries with a good health situation."
Any U.S. passport holders entering the EU would likely need to present a COVID-19 vaccination certificate. In a press release, the European Commission stated that it would allow entry to "people who have received the last recommended dose of an EU-authorised vaccine." Member countries would be likely to accept vaccinations from Johnson & Johnson, Moderna and Pfizer, since all three have been approved for use in the EU.
Marriott appears to be optimistic that travel demand will rebound as more people are vaccinated worldwide.
"We have seen signs that there is a significant amount of pent-up demand, regardless of trip purpose, and we look forward to welcoming travelers in increasing numbers to our more than 7,600 properties around the world," Capuano said.
The EU is also warning, however, that countries could implement restrictions quickly if new outbreaks sprang up in order to limit the spread of new COVID-19 variants. That could impact vaccinated travelers as well.
TPG featured card
at American Express's secure site
Terms & restrictions apply. See rates & fees.
| 4X | Earn 4X Membership RewardsĀ® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership RewardsĀ® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 5X | Earn 5X Membership RewardsĀ® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel Appā¢. |
| 3X | Earn 3X Membership RewardsĀ® points on flights booked through AmexTravel.com, the Amex Travel Appā¢, or purchased directly from airlines. |
| 2X | Earn 2X Membership RewardsĀ® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel Appā¢ and cruises booked and paid through AmexTravel.com. |
| 1X | Earn 1X Membership RewardsĀ® point per dollar spent on all other eligible purchases. |
Pros
- Valuable dining and food-related credits
- Flexible rewards with airline and hotel transfer partners
- Multiple travel and purchase protections
- No foreign transaction fees
- Access to Amex Offers for additional savings (enrollment required)
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership RewardsĀ® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if youāre approved and find out your exact welcome offer amount ā all with no credit score impact. If youāre approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership RewardsĀ® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership RewardsĀ® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 5X Membership RewardsĀ® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel Appā¢.
- Earn 3X Membership RewardsĀ® points on flights booked through AmexTravel.com, the Amex Travel Appā¢, or purchased directly from airlines.
- Earn 2X Membership RewardsĀ® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel Appā¢ and cruises booked and paid through AmexTravel.com.
- Earn 1X Membership RewardsĀ® point per dollar spent on all other eligible purchases.
- Pay ItĀ® lets you tap in the American ExpressĀ® App to quickly pay for small purchase amounts throughout the month and still earn rewards the way you usually do. Plan ItĀ® gives you the option to split up big purchases into equal monthly payments with a fixed fee. Youāll know upfront exactly how much youāll pay.
- $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American ExpressĀ® Gold Card. Thatās up to $50 in statement credits semi-annually. Enrollment required.
- $84 Dunkin' Credit: Earn up to $7 in monthly statement credits after you pay with the American ExpressĀ® Gold Card at U.S. Dunkinā locations. Enrollment required.
- $120 Uber Cash on Gold: Enjoy up to $120 in Uber Cash annually with your Gold Card. Just add your Card to your Uber account and you'll get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an Amex Card for your transaction.
- Enjoy complimentary Hertz Five StarĀ® Status benefits like skipping the counter at select locations, adding an additional driver at no additional cost*, and vehicle upgrades**. Benefit enrollment and Hertz Gold+ registration are required. *Additional drivers must meet standard rental qualifications and must be a spouse or domestic partner to qualify as complimentary. Other additional drivers subject to fees. **Benefits are subject to availability and vary by location. Additional Hertz program Terms and Conditions including age restrictions apply.
- Book two nights or more with The Hotel Collection through AmexTravel.com and receive a $100* credit towards eligible charges at over 1,300 upscale hotels worldwide.Ā§ *Eligible charges vary by property.
- Book your travel through the Amex Travel Appā¢ with added peace of mind ā backed by American ExpressĀ® service and support. Only for American ExpressĀ® Card Members.
- Whenever you need us, we're here. Our Member Services team will ensure you are taken care of. From lost Card replacement to statement questions, we are available to help 24/7.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.