Marriott’s Fees Jumped 14% and Its Hotel Owners Want a Bigger Cut

0:00Bailey Schulz: ZS is a global consulting and technology firm that partners with companies to improve life and how we live it. Working with the world's top hospitality brands, ZS brings together data, science, technology, and human ingenuity to transform ideas into customer loyalty. They're ready to help you elevate guest experiences, improve operations, and uncover preferences and motivations through their AI-powered solutions. With more than 1 ,700 clients in over 170 countries, ZS has built the expertise, fortitude, and vision to help you deliver impact right where it matters.

0:48Marriott's fees jumped 14%, right as its hotel owners pushed for a bigger cut. Ryanair's CEO says a pilot strike next spring might actually save him money. And inside the unraveling of a 104-year-old travel dynasty. Welcome back to the Skift Daily Briefing. This is Bailey Schultz, Skift's global tourism reporter. It's Tuesday, November 3rd. Let's get into it. First up, Marriott is making more money, and its owners want a bigger slice. Gross fees rose 14 % in the third quarter to$1.52 billion, helped by a bigger hotel network and co-branded credit card fees. Those card fees are exactly what a group of hotel owners pointed to earlier this year when they wrote to Marriott asking for a bigger share of loyalty income.

1:33Strong results give Marriott some leverage. Worldwide revenue per available room rose 6.5 % from last year, and Marriott raised its full-year outlook. CEO Anthony Capuano told analysts not to expect a big reveal on owner concessions. He pointed to relief Marriott has already announced, like lower loyalty contributions and better reimbursement for reward stays, and said talks with owners were constructive. Next up, Ryanair is bracing for a fuel shock, but workers may feel at first. Europe's biggest airline posted a 15 % drop in half-year profits to 2.1 billion euros, but the real pressures arrive in 2027.

2:13This fiscal year, about 80 % of its fuel is hedged at roughly$67 a barrel. Next year, only 25 % is hedged at$95. Ryanair expects its fuel bill to jump by about 2 billion euros. CEO Michael O 'Leary says covering that with fares alone would take roughly a 20 % increase, and he's not sure the market will get there. So he's cutting costs with slower hiring and more AI. He's also warning pilot unions that if they wait until April to settle, he's pretty certain they'll get a pay freeze. O 'Leary said strikes next spring would help in the short term, since grounded planes don't burn fuel. O 'Leary said strikes next spring would help in the short term since grounded planes don't burn expensive fuel.

2:56If Europe's strongest airline is tidying up for 2027, expect higher fares and a harder winter for rivals without its hedges. And finally, a skipped investigation into how a tribal dynasty came apart. For 104 years, the Cholman family owned the Travel Corporation, the company behind Travelgar, Uniworld River Cruises, and Contiki. When the family sold to Apollo in 2024, the state of reason was simple. There was no next generation to Reddit. Skiff's Raph and Ali found that wasn't the whole story. Credit rating reports, UK filings, and former executives described a profitable tour business that was underfunded.

3:35Meanwhile, the family's luxury hotel chain, Red Carnation, lost money and leaned on tour business for cheap financing. That includes a loan of more than£50 million at a rate that hotel's own accounts, called Low Market. Based on rating agency estimates, Apollo paid about$1.1 billion, less than six times earnings. Now, Apollo is spending to catch up with the biggest marketing push in Travel Guard's history planned for 2027. That's it for your SCIFT Daily Briefing. For more travel industry news and analysis, head to skiff.com and subscribe at skiff.com backslash daily.

4:35Bailey Schulz: data, science, technology, and human ingenuity to transform ideas into customer loyalty. They're ready to help you elevate guest experiences, improve operations, and uncover preferences and motivations through their AI-powered solutions. With more than 1 ,700 clients in over 170 countries, ZS has built the expertise, fortitude, and vision to help you deliver impact right where it matters.