Marriott Sets Sights On Airbnb – If You Care?



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Marriott has announced that it will soon offer 2,000 high-end home rentals in over 100 destinations, giving Marriott Bonvoy members access to more lodging options.

The biggest threat of the hospitality industry

Just as the taxi industry has been facing competition from carpool services such as Uber, the hosting industry has been facing competition from home-sharing services like Airbnb.

It is interesting to see how the hospitality industry interacts with this trend. Many hotel groups have kept quiet about the radio regarding home sharing, while others have even invested in home sharing companies.

Houses and Villas by Marriott

Next week Houses and Villas by Marriott will launch, which will be a rental house initiative offering 2,000 luxury and upscale homes in more than 100 destinations in the United States, Europe, the Caribbean and Latin America.

This will allow Marriott Bonvoy members to earn and redeem points for a wider variety of accommodations.

This new program is an extension of an essay that Marriott launched in 2018, when Marriott launched Tribute Portfolio Homes. They found interesting trends based on this:

  • Almost 90% of those who booked were Marriott Bonvoy members
  • More than 75% of those who booked traveled for leisure or with friends and family
  • The average guest has spent more than triple as much as he would for a usual hotel stay

What does the house share for Marriott?

Homes & Villas by Marriott will add nearly 40 additional leisure destinations to Marriott Bonvoy members to earn and redeem points. Marriott gives the following examples:

  • A four-bedroom cottage on six private acres in the California wine region
  • A six-bedroom villa in Sorrento, Italy, with an infinity pool overlooking the Mediterranean Sea and a wood-fired pizza oven
  • A beachfront villa in Anguilla with private beach and a personal butler and house staff
  • An eighteenth century Irish castle that seats 17 people and has a private lake for boating and fishing
  • A six-bedroom townhouse in London with a children's playroom and a climbing wall

Marriott is launching Homes & Villas by Marriott International with some property management companies already active in these areas, including TurnKey Vacation Rentals, LaCure, Loyd & Townsend Rose, Veeve, the London Residents Club, Mainsail Lodging and Reserva Conchal.

How to book Homes & Villas by Marriott

Starting next week, you can book Homes & Villas by Marriott hotels directly on their website, homesandvillasbymarriott.com.

In addition, when searching for accommodation on marriott.com for at least three nights in residential inventory locations, the Marriott website will also provide a link to this option.

Marriott still decides to sell Homes & Villas by Marriott through other channels, including the Marriott Bonvoy app and travel consultants.

Earn and redeem Marriott Bonvoy points for homes

Marriott Bonvoy members will earn and redeem points for home stays.. Although the redemption rates have not been shared yet, I suppose they will use a revenue-based system, which will be a very good deal.

The value here comes from being able to earn points for stays, in my opinion. Marriott Bonvoy members will earn five points per dollar in these establishments., which is the points that members earn for other extended stay properties, although it accounts for half of the points earned at most Marriott hotels.

Members will also receive bonus points based on their elite status, and elite members will also receive an elite welcome gift including equipment or special points.

Is this really a big problem?

In general, I think it's a good idea for big hotel groups to recognize home sharing as a concept, because that's something that needs to stay. So I think this Marriott initiative is smart because members will be able to earn and redeem points for more experiences.

That being said, I am not sure that these partnerships will change the game, as some people suggest.

It is important to remember:

  • Marriott does not invest in any existing home-sharing business
  • Marriott has no home sharing expertise
  • Marriott does not start its own home-sharing business

Instead, it's essentially a marketing partnership, in which Marriott is blanking out what other companies are doing.

I guess all they do here is take a commission on what you book through them, and they give you rewards in return. This is a winning solution for all parties, as home-sharing companies have more business, Marriott seems to be in the trend and Marriott Bonvoy members can earn points.

But it's not as if it really changed the sharing of the house, if it was not opening it to a larger number of eyes that would otherwise only consider the hotels.

In terms of loyalty, being able to earn five extra points per dollar spent is equivalent to an additional return that may be worthwhile for some.

At the same time, at a certain level, I have to imagine that the cost of all of this is going directly to the consumer – the Home Distribution Management Corporation is being reduced, and probably Marriott's, so that this money must come from somewhere.

What do you think, does Marriott, a partnership with a home-sharing business, change the game, or is it just a slightly positive development, but especially without consequence?

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