Search Travel Market Report

mainlogo
www.travelmarketreport.com
U.S.A.
English
Canada
English
Canada Quebec
Français
  • News
  • Tours & Packages
  • Cruise
  • Hotels & Resorts
  • Destinations
  • Retail Strategies
  • Air
  • River Cruise
  • Training & Resources

As Hilton Follows Marriott, 48-Hour Cancellation Policies Become An Industry Issue

by Jessica Montevago  July 20, 2017
As Hilton Follows Marriott, 48-Hour Cancellation Policies Become An Industry Issue

Before Hilton followed Marriott down the path to a 48-hour cancellation policy, more than half of corporate travel managers said they believed the new policy would push their travelers to take their business elsewhere. But the point appears to be somewhat moot now, as Hilton followed suit and proposed extending its policy as well.

Marriott made waves in the industry when it extended its cancellation policy to 48 hours’ notice effective June 15; all cancellations beyond the time limit now are being charged a one-night penalty. The new policy applies to all Marriott and Starwood brands in the United States, Canada, the Caribbean and Latin America, and excludes only Design Hotels and time-share properties.

Following the news, 59% of corporate agents said they believed their business travelers would book elsewhere, in a Business Travel Coalition July 11 poll of 216 global travel manager and travel management company executives from 12 countries: the United States, Canada, United Kingdom, Ireland, Spain, Switzerland, UAE, Belgium, Bonaire, Serbia, Scotland and Germany.

Nearly one-third (30%) of the respondents to the poll said they were considering changing their corporate travel policies to restrict their travelers from booking Marriott properties.

“The new policy hurts business travel, which as we all know can change last minute,” one respondent wrote. And to add insult to injury, “Marriott is not even waiving the policy for Platinum Members.”

Numerous respondents shared similar concerns.

“Marriott and Hilton are the two top brands for business travelers in my experience.  I’d like to know what Hilton thinks of this. Might be time for them to run a triple points promotion and steal some business,” said one respondent.

But instead of taking the opportunity to steal market share, it appears to have set a precedent that Hilton quickly followed. Hilton proposed updating the default house cancellation policy to 48-hours for its managed properties.

“There’s certainly no question that the industry is thinking long and hard about different channels customers have to book room reservations,” Scott Berman, hospitality and leisure group leader at the consulting firm PwC, told the Times.

The new policy would affect Hilton hotels in the United States and Canada for new bookings at of the end of this month. Franchised hotels can opt out of the policy if they choose, while some hotels in busy cities or resort areas may require 72 hours’ notice to cancel.

“Corporate travel or group bookings will remain subject to cancellation policies stipulated in their contracts,” a Hilton spokesperson told TMR.

Both Marriott and Hilton first imposed their 24-hour cancellation fees in 2014.

“Hotels whose policy is to allow guests to cancel their room reservations on the day before arrival without incurring a fee are faced with a significant number of unsold rooms due to last minute cancellations,” a Marriott spokesperson told TMR.

InterContinental Hotel Group, parent company of Holiday Inn, also has a 48-hour cancellation policy. Hyatt hotels in the United States range from 24- to 48-hour requirements, but cancellations at the Ritz-Carlton can be made seven days in advance.

  
  
Related Articles
Hilton Appoints New Area President, Caribbean and Latin America
Marriott Transforms Puerto Rico Courtyard by Marriott into a New Beach Resort
Soon-to-Open Pyrmont Curacao Appoints Sales Leadership
New Opening: NHAAN Resort & Spa Hoi An, Tapestry Collection by Hilton
Marriott Is Converting Three Mexico Hotels into All-Inclusive Resorts
Salamander Washington D.C. Rebrands as The Potomac Hotel, Autograph Collection
Marriott Is Bringing New All-Inclusive Resorts to Jamaica and Tanzania
New Opening: JW Marriott Mount Kenya Rhino Reserve Safari Camp
Hilton to Transform W South Beach into a Waldorf Astoria
Trailborn Debuts on West Coast with California Property

MOST VIEWED

  1. Low Water Levels Return to Rhine and Danube, Threatening Late-Summer River Cruises
  2. Ground Stop at Newark, Major Delays at Other New York City Airports Due to Thunderstorms
  3. Air Traffic Controller Strike Triggers Flight Cancellations and Delays Across Norway
  4. Cunard’s Queen Mary 2 Refurbishment Will Introduce New Grill Suites, Elevated Wellness Offerings, & More
  5. TSA Now Lets You Go Through Airport Security Without a Flight Ticket at 13 Airports
  6. After Brief Respite, European River Levels Dip Again


TMR Subscription

Subscribe today to receive daily in-depth coverage from all corners of the travel industry, from industry happenings to new cruise ships, hotel openings, tour updates, and much more.

Subscribe to TMR

Top Stories
Travel Advisors React to Explore Worldwide’s Debut North American FAM to Morocco
Travel Advisors React to Explore Worldwide’s Debut North American FAM to Morocco

Earlier this summer, the adventure tour operator hosted its first North American FAM.

Classic Vacations Names Alexandra Farrington as Strategic Account Manager
Classic Vacations Names Alexandra Farrington as Strategic Account Manager

Farrington brings to the role experience from both the advisor and supplier sides of the travel industry.

Classic Vacations Promotes Key Leaders within Supply Management Team
Classic Vacations Promotes Key Leaders within Supply Management Team

“These appointments mark an important step in creating a unified, high-performance global supply organization,” said Peter Palli, chief supply officer, TBO.

ALG Vacations Launches Bonus Hotel Stay Incentive for September
ALG Vacations Launches Bonus Hotel Stay Incentive for September

Until the end of the month, travel advisors can earn a free RIU Hotels & Resorts stay for each qualifying booking.

TTC Tour Brands to Sunset Insight Vacations & Costsaver, Putting All Itineraries Under Trafalgar
TTC Tour Brands to Sunset Insight Vacations & Costsaver, Putting All Itineraries Under Trafalgar

Both the Insight Vacations and Costsaver brands will continue to operate and remain bookable during the transition.

ALG Vacations Launches Travel Advisor-Focused Friends & Family Event Promotions
ALG Vacations Launches Travel Advisor-Focused Friends & Family Event Promotions

Advisors have more opportunities to sell, earn, and win through ALG Vacations in September.

TMR OUTLOOKS, WHITE PAPERS & DESTINATION GUIDES
View All
Advertiser's Voice
Booking Europe with Ease with Delta Vacations
About Travel Market Report Mission Meet the Team Advisory Board Advertise Syndication Guidelines
TMR Resources Calendar of Events Outlook/Whitepapers Previous Sponsored Articles Previous This Week Articles
Subscribe to TMR
Select Language
Do You Have an Idea Email
editor@travelmarketreport.com
Give Us a Call
1-(516) 730-3097
Drop Us a Note
Travel Market Report
71 Audrey Ave, Oyster Bay, NY 11771
© 2005 - 2026 Travel Market Report, an American Marketing Group Inc. Company All Rights Reserved | Terms and Conditions
Cookie Policy Privacy Policy Manage cookie preferences