STRATEGY |
Mandalay Bay Resort & Casino is part of the partnership but did not join the Marriott brand family . |
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THE MAJOR CHAINS FOCUS ON LOYALTY AS THEIR CORE STRATEGY AND SEEK TO ENRICH THEIR LOYALTY PROPOSITION ACROSS GEOGRAPHIES AND MARKET SEGMENTS
– CHRIS HARTLEY , CEO OF THE
GLOBAL HOTEL ALLIANCE
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select shows in Europe , the U . S . and Canada with two concert tickets , airfare and accommodations . ( For the record , Roe said she has been to two Swifty tour stops to date .) Other so-named Marriott Bonvoy Moments include mezcal tastings with “ Breaking Bad ” stars Brian Cranston and Aaron Paul ( they have their own mezcal brand called Dos Hombres ) or a “ hang ” with U . S . women ’ s soccer standout Trinity Rodman .
For Marriott , the MGM deal is nothing short of hitting the jackpot at one of MGM ’ s casinos . “ It ’ s not like every day you ’ re going to find a partnership with 40,000 rooms across a portfolio and with experiences that perfectly fit with your platform strategy ,” Roe said . “ It makes a lot of sense .”
And there is continuity — Marriott and MGM are already in business . Four properties —
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Bellagio , a Luxury Collection Resort & Casino , Las Vegas ; ARIA Resort & Casino , Autograph Collection ; Park MGM Las Vegas , a Tribute Portfolio Resort ; and The Cosmopolitan of Las Vegas , Autograph Collection — are part of Marriott ’ s soft brands .
Meanwhile , although MGM is a gaming and lodging behemoth , there is a cost benefit to it . In a loyalty-only partnership , there is no need for MGM to pay a soft-brand fee since they don ’ t need the other benefits and requirements associated with it .
For Marriott , it gives them significant access to the Strip , something even a company like Marriott has more or less lacked . Roe said each customer base complements the other , with the gaming quotient now added . But it goes beyond gaming : MGM might be known as an operating company and brand that promotes and profits
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on gambling services , but Roe said MGM ’ s affinity for the Marriott flag was the extent to which it helped bring in a clientele that spent big money ancillary to gaming . “ Together , you can see the value of sharing our customers ,” she said .
THE PARTNER PATH Marriott is not the only lodging company hopping aboard the partnership train . Earlier this year in March , Hyatt announced that the Rio Hotel & Casino , Las Vegas would transition into its Destination by Hyatt brand amid a property-wide renovation of the 2,500-room hotel and be made available to World of Hyatt members . It ’ s only the third Hyatt hotel in the Las Vegas area .
Meanwhile , Hilton , which historically has been a hotel company that likes to go at it alone by building brands on its own , has been growing
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24 hotelsmag . com July / August 2024 |