Marriott International Announces 40by2020 Vision in Asia-Pacific
Company targets 1,000 properties open by end 2020,a nearly 40 percent increase,and expects to add an estimated 40 percent more job opportunities in the region
HONG KONG,April 4,2019 -- From the 15th Hotel Investment Conference - South Asia,Marriott International (NASDAQ: MAR) today announced its continued expansion plans in Asia-Pacific with its 2020 vision-- an aggressive target to have 1000 hotels open by the end of 2020. This vision also could create up to 50,000 more job opportunities for the region. In 2019 alone,the company expects to add close to 100 new hotels or close to 20,000 rooms in the region,with several brand debuts in Australia,Hong Kong,The Philippines,Nepal and India. Marriott International's portfolio in Asia Pacific currently encompasses over 710 properties in 23 countries and territories,operating under 23 of the company's 30 global brands.
"The breadth and depth of Marriott International's footprint means that we are able to offer travelers opportunities to experience more destinations,brands and experiences,especially through Marriott BonvoyTM,our industry-leading travel program," said Craig S. Smith,President and Managing Director,Marriott International Asia Pacific.
"As important as our size is our commitment to deliver seamless and quality experiences for our guests at on-brand properties. Today's traveler demands authentic,personalized and transformative experiences,whether for work or for pleasure,as a way of broadening their individual horizons and achieving a deeper understanding of the world. As the world's leading hospitality company,it is in our DNA to strive to be part of our guests' favorite moments and memories. We are dedicated to Marriott International remaining Asia Pacific's favorite travel company."
China,India and Southeast Asia as Marriott International's Growth Drivers in the Region
Marriott International is well positioned to capitalize on global travel trends in China,India,and Indonesia,three of the world's four most populated nations.
China continues to be the strongest growth driver for Marriott International in Asia Pacific,with more than 300 hotels in the pipeline. This accounts for more than 50 percent of the company's pipeline in Asia Pacific. This year alone,Marriott International targets to open more than 30 hotels in China,including the first JW Marriott Marquis Hotel in China,the 515-room JW Marriott Marquis Hotel Shanghai Pudong featuring 6 food and beverage outlets; andthe first Renaissance Hotel in the Fujian province with the planned opening of Renaissance Xiamen Resort & Spa in the fourth quarter of 2019. Outside of mainland China,the St. Regis brand is set to debut with the opening of St. Regis Hong Kong located in the historic Wanchai district.
With its recent 100th Marriott International hotel milestone celebrated in 2018,India continues to be the company's second fastest growth engine in Asia Pacific with more than 50 properties in the pipeline. Marriott expects to reach more than 30,000 rooms open in India by end 2023. Given India's robust economy and rising middle class,the country continues to present exciting growth opportunities,leveraging strong demand for Marriott's select-service brands and growing demand for its upper upscale and luxury portfolios. The company expects to debut the Tribute Portfolio brand in India,with the opening of Port Muziris,Kochi,a Tribute Portfolio Hotel slated for the second quarter of 2019.
At the recent ASEAN (Association of Southeast Asian Nations)Tourism Forum,the ASEAN National Tourism Organizations revealed their collective efforts to marketing initiatives to inspire travel to Southeast Asia. Marriot International is poised to welcome these travelers,with over 140 signed hotels in its Southeast Asia pipeline,with Indonesia leading growth,meeting the growing demands of travel and tourism. In the Philippines,the company expects to more than triple its hotel portfolio by 2023. Sheraton,Marriott International's most global brand,recently debuted in the country with the opening of Sheraton Manila Hotel.
Marriott International continues its growth momentum in the Pacific region,with 50 hotels anticipated to be open by 2020. Australia should see several brand debuts in coming years,including The Luxury Collection and The Ritz-Carlton. The Tasman,a Luxury Collection Hotel,expects to open in Hobart in late 2019,and the 205-room The Ritz-Carlton Perth is slated to open in June 2019. Element Hotels,Marriott International's eco-conscious brand,is expected to debut in Australia with the opening of Element Melbourne Richmond in Q3 this year.
Marriott International Eyes New Destinations in Asia Pacific with Marriott BonvoyTM
Earlier this year,Marriott introduced Marriott BonvoyTM-- Marriott International's travel program replacing Marriott Rewards®,The Ritz-Carlton Rewards®,and Starwood Preferred Guest®(SPG). With Marriott BonvoyTM,travelers can experience the company's newly introduced Asia Pacific website featuring rich experiential and user-generated content and offering inspiration for the next adventure in Asia Pacific. The company continues to focus on bringing new hotels to unchartered destinations sought out by our guests,with Marriott International's first foray into Myanmar planned for 2020 with the opening of Sheraton Yangon Hotel.
As the Company Expands,Culture Remains a Bedrock For Success
Marriott International's Asia Pacific vision could create up to approximately 50,000 new job opportunities in Asia Pacific by the end of 2020. Travel and tourism provide opportunities for experienced people or those new to the hospitality industry. Research by the World Travel and Tourism Council (WTTC) highlighted that 1 in 5 new jobs created globally are attributable to travel and tourism.
As the company continues to grow,this also means that there is an increased opportunity for our associates to develop their careers and thereby improve their livelihoods. This is another way that Marriott International takes care of its associates. With a culture that empowers associates to live their best lives-- putting people first has been the company's core value since Marriott was founded more than 90 years ago. Marriott has built its business on taking care of its associates,who in turn take care of our guests. The company believes that creating a diverse and inclusive environment strengthens culture and community and drives competitiveness. Marriott International has won Aon Hewitt's best employer for five consecutive years in Asia Pacific.
Note on forward-looking statements: This communication contains "forward-looking statements" within the meaning of U.S. federal securities laws,including the number and location of lodging properties the company may add in future years,the number of job opportunities the company may create in future years and similar statements concerning possible future events or expectations that are not historical facts. We caution you that these statements are not guarantees of future performance and are subject to numerous risks and uncertainties,including changes in market conditions; changes in global and regional economies; supply and demand changes for hotel rooms; competitive conditions in the lodging industry; relationships with clients and property owners; the availability of capital to finance hotel growth and refurbishment; and other risk factors that the company identifies in its most recent annual report on Form 10-K and quarterly report on Form 10-Q. Any of these factors could cause actual results to differ materially from the expectations we express or imply in this communication. We make these forward-looking statements as of the date of this communication,and undertake no obligation to publicly update or revise any forward-looking statement,whether as a result of new information,future events or otherwise.
