Marriott hotel in the current epidemic normalization prevention and control measures, the hotel has taken what business strategy?

According to the official information of China Hotel Association, on February 8, February 17 and February 21, 2022, Mr. Yusheng Li, President of Marriott Greater China, sent letters to the owners three times, which mentioned in particular:

1. In terms of reducing and exempting the owners' management fees and easing the cash flow of the hotels:

(1) Exempting from collecting the management fees and franchise fees generated by all hotels in the Greater China region in February and March 2020 (1) Waive the collection of management fees and franchise fees incurred by all hotels in Greater China for the months of February and March 2020 In addition, all hotels directly managed by Marriott International in Greater China will be exempt from the collection of incentive royalties for the months of February and March 2020.

(2) Waive the monthly Furniture, Fixtures and Equipment (FF&E) reserve requirement for all owners in Greater China for the six-month period from February through July 2020, inclusive.

2. In terms of sales and marketing, use of the International Marketing Fund (IMF) to conduct group and retail promotions in Asia Pacific to assist the hotel in resuming business.

3. In terms of cost savings:

(1) Cancellation or postponement of conferences, seminars and marketing training, the Greater China General Manager's Conference for 2020 and all operations related seminars until July 1, 2020 have been cancelled;

(2) Postponement of new programs and initiatives to be launched in 2020 such as Enhanced Reservations Solution (ERS) and the new Total Revenue Management System (ERMS) and Consolidated Inventory/Total Yield (CI/TY);

(3) Leveraging global sourcing strengths and negotiating with suppliers at the global and regional levels to save hotels and owners money.

4. Ensure adequate medical supplies such as masks, medical gloves and antibacterial wipes for all hotels.

5. Hotels were also exempted from the Brand Standards Audit (BSA) during this particular period.

6. Owners are encouraged to contact their insurers or insurance brokers directly for policy liabilities and insurance claims related to this outbreak.