While Marriott mourns the loss of its highly successful CEO Arne Sorenson, LoyaltyLobby would like to take a few minutes to reflect on Arne’s tenure.
Due to the transaction’s size and its impact on many of our readers, we’re using the Starwood merger as a major benchmark.
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Technology
Arne either didn’t understand or want to commit to making technology a priority. This was reflected in the high-profile Starwood data breach but others as well. The jettisoning of a lot of technology on the Starwood side is a regrettable loss of intellectual property. Overnight, customers coming from Starwood had features, and the ability to do business online rolled back. Even today, customers have to make phone calls (or fax!) to accomplish many tasks that should be done online or via the app. And speaking of the app, for a company whose executives love to use the term “mobile-first,” Marriott has a pretty lackluster app, with even a recent refresh sending you to a mobile website to accomplish tasks. Rate information and point earning detail are missing on the app.
Marriott’s one-size-fits-all approach to their website resulted in the loss of detailed information about and photos of many properties. Many suddenly treated long-time guests as new ones at the property level due to the loss of stay history (and preferences) when converted to Marriott’s system. If Marriott had embraced Starwood’s technology that displayed and detailed resort fees, they likely would not have been sued by several state Attorneys General for lack of transparency on those fees, let alone the better customer goodwill of properly disclosing those fees ahead of a stay.
Culture
Starwood had a different culture through a more global footprint and, therefore slightly different customer base. Design-centric brands such as W and aloft were now mixed in with the company running Courtyard and Fairfields. St. Regis was a less stodgy competitor to Ritz Carlton.
Starwood was comfortable partnering with trendy restauranteurs to create destination restaurants, while Marriott was more comfortable with the JW Steakhouse or Sports-bar concept. Starwood had an official director of music on the staff and innovated with trendy brands of toiletries, once owning Bliss and commissioning Le Labo to create a custom scent for Le Meridien Hotels’ lobbies.
The New York Times even mused about the loss of the “cool factor.” The SPG program lead the industry in innovation and keeping guests highly engaged (or as Arne later referred to as “rabid”). Many of those innovations and “frills” seem to have been lost under Arne’s streamlining and company-wide sourcing. Understanding and building on cultural differences would have served Arne better to grow and differentiate each brand. It’s the loyal travelers who watch these details and fret about them. It was a strategic mistake to think the points scheme was the only factor driving such fierce loyalty among SPG members when culture played a big role in their being so “rabid.”
Remember To Check What Marriott Hotel Facilities Are Open On Specific (Hidden) Website
Transparency
The resort fee example above is one example of many where Marriott takes a do not disclose attitude. Marriott’s CFO making a factually incorrect statement about always clearly disclosing resort fees sets a tone that Arne clearly condoned. It’s been difficult for customers to know what amenities and facilities are open or closed during the pandemic. Marriott took a half-hearted approach with a separate website (what to expect) that doesn’t link to most property home pages, nor does it seem to have most of the properties featured, and when it does, the information isn’t always up to date.
Marriott App’s Confusing Message About Cancellation Fees
Why should we need to know the 4 digit code of a property even to use that website? As we recently noted: confusion with cancellation fees saying one thing but doing another seems by design. Due to our unvarnished approach to covering hotels and airlines, John isn’t at the top of the list when Marriott’s communications team has news to share, nor does Marriott seem to want to engage and respond to queries in the way that Starwood did. Marriott’s social media team seems to focus more on sales than engaging and responding to customers. Starwood’s social media “lurker” who wielded unusual access across the company to resolve issues or raise them left the company, with his replacements far less empowered and engaged.
Pandemic
While it’s far from over, and impact on the hotel business cannot be understated, we worry that many of Marriott’s cutbacks to housekeeping, facilities, and amenities “due to the pandemic” are permanent. It’s not good for the broader travel and loyalty industry to have such a hodgepodge of policies and a lack of enforcement of brand standards.
Conclusion
Arne was highly successful by many metrics, but there are shortcomings, especially for guests, as we have outlined above. We wish Marriott’s new leadership all the best but hope the Board of Directors can take some of Arne’s (or his direct report leadership team) shortcomings to heart as they move Marriott into a new era.
No matter what happens, you can count on LoyaltyLobby to continue covering the good as well as the not-so-good. In the meantime, we reiterate our thoughts to the family and associates of Mr. Sorenson.
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Not sure why there is such a fuss about Bonvoy. This is by far the best Hotel loyalty programme. Period.
As a Platinum, I have been upgraded to a suite 90% of the time over my past 50+ stays (mainly in Europe and Asia). Unlike Hyatt, their footprint is huge and thus convenient for frequent travellers.
Really tired of the former SPG crowd that keeps on complaining about trivial things.
If you are not happy, perhaps you should go to Accor or IHG who offer peanuts for your loyatly.
We will never go away. Marriott bought this program because it was the best. They didn’t know how to be the best unless your status for hospitality was the Olive Garden and you didn’t know any better. We will always be here, judging the ongoing failure of this program, its inconsistent and confusing rules, its failure to lead on almost any policy or benefit (I actually can’t think of a single way that Bonvoy is best in its class although I sincerely hope that I am wrong) and its lack of sincere appreciation for it’s HVCs. Speaking as an executive, I would never, ever, ever, tolerate the terms and conditions and charts of this program. Simplicity is the name of the game. I have a doctorate and can’t ever recall where I am eligible for an upgrade, which properties have a lounge (where I can get access to it when I’m on vacation), what kind of pathetic resort fee to expect and what size water bottle I’ll be getting for my $48. Which suites are standard. Which properties have chosen not to participate in either earning points or recognizing status (whether it’s a standard-flag like JW New Orleans or something like RC reserve). I think that right there was the straw for me. When I was at the JW and they told me that they aren’t part of the program. How could Marriott allow a hotel to carry a flag but not be in the program? No excuse there. If it’s a contract thing then go and buy it out. I could rant for days and days because I’ve been holding it in for years. This program’s defenders must suffer from stockholm syndrome. What kind of self respecting brand (in this case, Marriott) expects its most loyal customers to join a program only to carry around a booklet everywhere they go? As I tell my clients, if you have to go to the terms and conditions, you’ve already lost.
This is the article we were waiting to read. Not a hagiography of a dead saint but of a corporate raider who destroyed one of the best — if not the best — hotel rewards programs that ever existed when snapping up Starwood. And incrementally he and his minions wrecked Marriott’s rewards programs and renamed it into the boffo bonkers badly-conceptualized and IT-blackhole of Bonvoy that exists today.
Total BS.
1) Let me guess you are one of those SPG clowns who think the world owes you everything?
2) You like to say that you’ve been “bonvoyed”, isn’t it?
3) Also you probably earned you status through stays paid by your employer, right? Never from your own pocket because you are too cheap for that.
The sooner you leave Bonvoy the better it will be for other members who pay from their own pockets to earn status.
I really hope your family hides the guns from you. You’re a ticking time bomb.
Well, as they say. Let’s put some data into the discussion.
A frequent traveler who puts their own money in and reads travel blogs like these knows the credit card travel game. Before the SPG takeover by Marriott, the SPG Amex credit card gave you one point per $1 spent just as the Marriott credit card earned one point per $1 spent. The merger resulted into 1 SPG point equals 3 Marriott points. And then Amex and Chase agreed to meet in the middle of 2 points earned per $1 spent. The same devaluation happened with the transfer from SPG points to airline miles. Before the SPG merger, Arne was able to create Marriott loyalties by providing 1/3rd of the value compared to SPG. Quite amazing to even get away with that. It shows how many people either do not need a loyalty program or have no clue how it works.
However Arne’s job was being the CEO. Optimizing shareholder value, company profitability and growing the company. I do not know any hotel chain CEO who did a greater job to achieve that Wall Street type goal. It’s very remarkable.
I am thankful that Arne bough SPG because if the Chinese would have bought SPG, we all would have lost even more. I am also very happy to gained the footprint of the Marriott brands in addition to the SPG hotels. Just as with politics. You can’t make it perfect for everyone. But he had his heart in it and that showed.
Whether a stay is paid for by one’s employer or one’s own money isn’t even remotely important. Because in the end, they are both revenue customers! A guest is a guest, no matter how the room is paid for!!!
Perhaps I might have mentioned that for frequent global travelers like myself who are SELF-EMPLOYED we appreciated how SPG properties treated us and how they genuinely valued our business. It was real, not fake appreciation.
When I say global I mean travel in dozens of countries. Meaning exposure to all sorts of properties worldwide.
And returning to properties that got absorbed into Marriott we not only noticed the incremental changes but we actually got an earful from long-time high-ranking employees just below GM at more than one property about the changes from SPG to Marriott.
I should also have mentioned what I’ve heard from American Express reps — they possibly more than anyone heard so much flack about the transition and the fallout. Don’t ask questions = don’t get answers. We asked, we listened, we heard a lot.
No surprise you got nothing but downvotes on your comments.
And moreover, no surprise that John published this article. He knows full well literally everything that has gone wrong with Marriott. And any normal human being who does business with a company that makes it so incredibly frustrating to simply use earned benefits — for example, a rewards certificate — eventually votes with their feet after endless unnecessary frustration which eventually seems to be death by 1000 cuts.
Absolutely correct. Sorenson not only badly burned SPG members but did incalculable harm to the Marriott brand as well. Remember a decade ago how Marriott was so fervent about treating their people right so that those people would treat the customer right? Sorenson managed to eradicate that entire culture. If he had replaced it with SPG’s culture, it would have been a net gain but obviously improving things for loyal staff or engaged customers was of no interest to Sorenson. Hopefully his replacement will have more sense.
Spot on. And I’ll take “rabid” as a badge of honor. Lifetime titanium here and I care as much about the “Bonvoy” “program” as I do about my doormat. It’s worthless. The properties could not value loyalty any less and they couldn’t be any more boring…except for EDITION which might as well not be in the program. The points are what are insignificant (now more than ever since Marriott ruined the program). What truly mattered was the culture and that we were part of something…that wasn’t the Fairfield Inn clan. Gosh, what a cheap and overpriced dump with a specific type of window unit AC that makes me feel like I’m developing Legionnaires Disease every time I stay in a room with one.
Stop complaining and start travelling outside of the US if you want to experience real recognition of your status. Like south east Asia for instance
If you think LT is worthless, how do you view ALL’s Platinum, or IHG’s Spire?
Sometimes, I think some of the posters on here should prefix their replies with “DYKWIA”
It would not have been worthless under SPG’s guard but it became worthless due to a total lack of enforcement of program standards. Marriott has shown customers an owner-first culture as its core. SPG was definitely more customer-first. This was not a DYKWIA moment…telling someone that putting 1200 nights in a mattress will earn both currency and certain benefits and then devaluing both the currency and the benefits is a breach of trust. Once the trust the gone the program is worthless. That’s my standard. Can’t speak to other programs but went out of my way to become Globalist and the benefits have been beyond spectacular. I go out of my way to bring Hyatt business because they go out of their way to show their appreciation for it. I have received numerous benefits that are not part of the program but are worth more objectively and subjectively than anything I could have expected from any program. Marriott doesn’t know how to do that. Its indefensible. This article is SPOT on. And it explains the way I feel quite well and helps me understand why I went from more than 100 nights per year to chain-of-last-resort at the snap of a finger. Almost like therapy without sitting in the chair.
LOVE these kind of posts Ahaha. They always attract nostalgic SPG members who love complaining about their worthless lifetime status. The truth is no one really cares about their frustrations and insecurities. Ciao Bonvoyed folks.
I was scre**d out of Lifetime Titanium by a Marriott move against SPG Members. Why did they pick August to Terminate the Lifetime Titanium Arrangement when SPG always ran Until 31 December. Bonvoy also refused to accept my 5 years Complimentary SPG Platinum Status [They Say Non-Qualifying] even though The Company I previously owned Did Tens of Millions of Dollars with Both Marriott and Starwood. .I actually had 9 Years Qualifying and almost 1000 Merged Nights so missed out on just a few months.
You’ll get flack for this but it’s so true ! He may have been good at making money but at what long term cost ? Not speaking I’ll of the dead , but the truth is the truth ! I mourn SPG all the time ! Now what we have is a monopoly of hotels where in one square mile there may be 10 Marriott hotels.
I like that you , like me speak the truth good or bad !
Good article
From a stock price perspective, Arne did very well. Somewhere in the 275% range increase. His first obligation is to the BoD who in turn represent the shareholders and by that standard he was quite successful.
So the article is a good piece, I am a bonvoyed member. SPG lovers will never forget how SPG treated us so well and wish one day marriott will do the same to all of its members. SPG knew how to treat its employees and members and its sad that to this day ppl are still comparing how they were treated (spg) vs Marriott today. I understand we might sound like whining brats but the good times (I bet you can remember your first love), sometimes you cant forget all the good times in life. Bc of the merger im lifetime marriott gold but I also qualify for plat every year out of my own pocket. Lifetime plat hopefully 2024. Sometimes we wish what we had but we never will again.
Dude for F… Sake, just visit SPG brands in Asia. They may belong to Marriott but you are treated very very well there unlike in North America and Australia
I actually do travel mainly in asia/usa and you are correct asia treats everyone better mostly. Ive had a few bad stays in HK and in Shanghai (no room upgrade when available), havent had a good europe trip either (no water or upgrade or AC). My points was just reminiscing about the good times I once had and reflecting on the past, I get it. You marriott guys dont wanna hear about it any more. While us SPG guys cant let go. Maybe we should and just move on.
Disclaimer: Starwood members please don’t get upset with me. I have been a member of the Marriott program for years. It is funny that I still have not stayed in a Starwood property. It may be that they had a good program for their elite status guests. However, I do think it is interesting when you compare reviews on the Marriott website. Marriott hotels almost consistently get higher ratings on the website from guests then the comparable Sheraton hotels. To me this says a lot, because I go by reviews for hotels I have never stayed in. I will compare reviews from multiply websites to get a cross section. Also, Starwood may have enclosed all fees but I always found it more difficult to do web searches on the Starwood site as opposed to the Marriott site. Perhaps it was just what I was use to, but I always found Marriott to be easier and then when they merged it was a nightmare until they worked the major kinks out.
No offense, but Marriott banks on a large percentage of their members who are not as worldly and simply don’t know better. I’m actually skeptical of higher rated Marriott properties knowing many of those guests are less discerning. And yes, Sheraton is a brand with troubles and due credit to Marriott for pushing out low rated Sheratons who refused to step up. Web searches on spg.com displayed and detailed multiple rates at one time (something Marriott finally adopted on the app), are you confusing more detail and transparency for difficulty?
It has been so long that I really can’t remember what the issue was at the time and why I found the Marriott website easier. Marriott does now have the option to search for the total price with taxes and fees which is a nice feature that they finally added. Before it was you thinking, wow I am getting a good price and then you get to the final total with the taxes and fees and it was holy cow big price difference. Especially at resorts that charge a daily resort fee and add onto that if they have valet fees and your room rate can be an extra $100 a day or even more. It is frustrating at the hotels that do not offer a self-parking option.
I’m glad someone specifically brought the review/ratings up. I’ve noticed the constant difference in ratings between the SPG brands and the Marriott brands as well. I believe, right from the beginning there has always been a bug in the system. If I’m not mistaking, SPG used a 4-level rating system. Marriott uses a 5-level rating system. From the beginning of the merger SPG brands kept their ratings from the old system and, most importantly, THEY WERE NEVER UPDATED…any new reviews (I believe) have just been added on, but if its started with a SPG 3-out-of-4 it still shows a rating in the 3s. Its the reason SPG brands are rated lower than legacy Marriott brands across the board.
A good example of this is the Le Meridien in NYC. Its a prime, Times Square location and has always been super popular. Its a Google rating of 4.1 out of 5. But its a 3.1 on Marriott.com. That makes absolutely no sense for what has generally been a popular and “hip” hotel in midtown.
I can’t confirm this, but I actually broke into the points/miles thing right as the merger took place and was following this very closely. I’d love to know if anyone can confirm my suspicion.
Thanks I did not realize the different rating scales. However, often the reviewers are not happy with the property. It is often Sheraton hotels, but I have even seen poor reviews for the W brand as well.
Lifetime Gold and Sliver is nothing inside the Bonvoy universe
IMAGINE THIS: 1985 IBM buying over 2005 Apple?
Remember the book Dress for Success the IBM way, especially for interviews? White button shirt, red tie, blue suit and very cleaned and shined shoes?
Imagine Steve Jobs showing up to interview at IBM with black top and jeans? How would IBM handle the magic? Would they just swoop it all up?
Oh how the Apple lovers would be unhappy. I suppose they would call the Apple lovers whiners.
I also learned along the way, the buyer always gets its way, the buyer will never be outshone by the bought one (despite missing on so much).
Unless of course there is a CEO who is very self assured and knows a good thing when seen, and is not afraid to use what’s best. Of course that is so so rare.
I think we’ve been taken advantage of by Marriott in the pandemic. The funny thing is, and I’d be pretty sure most former Starwood’s would agree, they took away, they made it confusing as John spells out. But none of us were surprised because that’s the “Marriott Way”.