Marriott International Announces Expansion of the City Express by Marriott Brand into the United States & Canada

Rhea-AI Summary

Marriott International (Nasdaq: MAR) has announced the expansion of its City Express by Marriott brand into the United States & Canada, marking the company's entry into the affordable midscale transient segment in these regions. This move follows the successful acquisition of the City Express brand portfolio in the Caribbean and Latin America (CALA) in May 2023, which increased Marriott's footprint in that region by approximately 45%.

The City Express by Marriott brand is designed to be conversion-friendly with opportunities for new builds in the future. It offers a light operational model and functional modern design, allowing owners to capitalize on consumer demand while leveraging Marriott's sales, distribution, and marketing capabilities. The company anticipates signed agreements and possible hotel openings in the U.S. & Canada under this brand in the coming months.

Existing City Express by Marriott properties have been integrated into the Marriott Bonvoy® program, allowing members to earn and redeem points. This expansion is part of Marriott's strategy to strengthen its presence in the affordable midscale segment and offer lodging options for every trip purpose and price point.

Positive

• Expansion into the U.S. & Canada market, entering the affordable midscale transient segment
• Strong growth and interest in the City Express brand since its acquisition in CALA
• Conversion-friendly brand design with opportunities for new builds
• Integration of City Express properties into Marriott Bonvoy program
• Anticipated signed agreements and hotel openings in U.S. & Canada in the near future

Negative

• None.

News Market Reaction – MAR

+0.56%

1 alert

+0.56% News Effect

On the day this news was published, MAR gained 0.56%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

The introduction of City Express by Marriott in the U.S. & Canada marks the company's entry into the transient midscale segment in the region.

BETHESDA, Md., Oct. 8, 2024 /PRNewswire/ -- Today, Marriott International, Inc. (Nasdaq: MAR, "Marriott") announced the expansion of the City Express by Marriott brand into the United States & Canada, marking the company's entry into the affordable midscale transient segment in the region.

Previously referred to as Project Mid-T by Marriott, this brand expansion is part of the company's continued focus on strengthening its presence in the affordable midscale segment and offering regionally relevant lodging options for every trip purpose and every price point.

"Since entering the affordable midscale space with the acquisition of City Express in the Caribbean and Latin America (CALA) region just over a year ago, we have seen tremendous interest for the brand and are pleased with its growth across the region," said Diana Plazas-Trowbridge, Senior Vice President and Global Brand Leader, Select Brands. "With this announcement, Marriott is excited to continue our growth in the affordable midscale segment and provide a new welcoming, affordable, and reliable option for value-conscious travelers in the U.S. & Canada."

In May 2023, Marriott announced the acquisition of the City Express brand portfolio in CALA, which marked the company's entry into the affordable midscale segment. With over 17,000 rooms across Mexico, Costa Rica, Colombia, and Chile, the deal increased Marriott's footprint in the region by approximately 45 percent. Since the acquisition, consumer and owner interest has fueled growth of the brand, with expansion plans extending beyond the original markets to new upcoming markets, such as Bolivia and Nicaragua. Additionally, the company recently announced plans to expand City Express by Marriott in Brazil.

"Marriott remains focused on providing best-in-class offerings and a wide-range of investment opportunities for our development stakeholders, and the initial reaction to our midscale products has been extremely positive," says Noah Silverman, Global Development Officer, U.S. & Canada. "We have been listening closely to our owners and franchisees to design a highly efficient operating model, and we are confident that City Express by Marriott will offer a strong value proposition for those looking to invest in a transient midscale product in the U.S. & Canada."

The City Express by Marriott brand is designed to be conversion-friendly, with an opportunity for new builds in the future. Offering a light operational model and functional modern design, City Express by Marriott will give owners in the U.S. & Canada the opportunity to capitalize on consumer demand, while taking advantage of Marriott's powerful sales, distribution, and marketing engines.   

Marriott has already received extensive interest from owners and franchisees, and the company anticipates having signed agreements, with possible hotel openings, in the U.S. & Canada under the City Express by Marriott brand over the next few months.

Existing City Express by Marriott properties have been integrated into the Marriott Bonvoy® program and are available for booking on Marriott channels for members to earn and redeem points. Additional City Express by Marriott properties will similarly be part of Marriott Bonvoy upon opening. For more information on the City Express by Marriott brand, visit this page.

About Marriott International

Marriott International, Inc. (Nasdaq: MAR) is based in Bethesda, Maryland, USA, and encompasses a portfolio of approximately 9,000 properties across more than 30 leading brands in 141 countries and territories. Marriott operates and franchises hotels and licenses vacation ownership resorts all around the world. The company offers Marriott Bonvoy®, its highly awarded travel program.  For more information, please visit our website at www.marriott.com. In addition, connect with us on Facebook and @MarriottIntl on X and Instagram.

About Marriott Bonvoy

Marriott Bonvoy, Marriott International's award-winning travel program and marketplace, gives members access to transformative, eye-opening experiences around the corner and across the globe. Marriott Bonvoy's portfolio of more than 30 extraordinary hotel brands offers renowned hospitality in the most memorable destinations in the world. Members can earn points for stays at hotels and resorts, including all-inclusive resorts and premium home rentals, as well as through everyday purchases with co-branded credit cards. Members can redeem their points for experiences including future stays, Marriott Bonvoy Moments™, or through partners for luxurious products from Marriott Bonvoy Boutiques®. With the Marriott Bonvoy app, members enjoy a level of personalization and contactless experience that allows them to travel with peace of mind. To enroll for free or for more information about Marriott Bonvoy, visit marriottbonvoy.com. To download the Marriott Bonvoy app, go here. Travelers can also connect with Marriott Bonvoy on Facebook, X, Instagram and TikTok.

About City Express by Marriott

City Express by Marriott offers travelers a space where convenience meets comfort. Catering to the needs of both business and leisure travelers, the brand offers seamless and efficient stays in convenient locations ensuring a hassle-free journey. With a focus on quality and simplicity, guests do more than just stay – they relax, recharge, and get ready for whatever comes next. With around 150 properties in 5 countries, City Express by Marriott, our flagship, stands alongside City Express Plus by Marriott, City Express Suites by Marriott, City Express Junior by Marriott, and City Centro by Marriott each uniquely designed for a different segment of travelers. City Express by Marriott is proud to participate in Marriott Bonvoy®, the global travel program from Marriott International. The program offers members an extraordinary portfolio of global brands, exclusive experiences on Marriott Bonvoy Moments, and unparalleled benefits including free nights and Elite status recognition. To enroll for free or for more information about the program, visit https://www.marriott.com/loyalty.mi For more information or reservations, visit marriott.com, for the latest company updates, visit news.marriott.com.

 

 

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SOURCE Marriott International, Inc.

FAQ

What is Marriott's new brand expansion in the U.S. & Canada?

Marriott International (MAR) is expanding its City Express by Marriott brand into the United States & Canada, marking its entry into the affordable midscale transient segment in these regions.

When did Marriott acquire the City Express brand portfolio?

Marriott acquired the City Express brand portfolio in the Caribbean and Latin America (CALA) region in May 2023.

How is the City Express by Marriott brand designed for owners?

The City Express by Marriott brand is designed to be conversion-friendly, with a light operational model and functional modern design. It allows owners to capitalize on consumer demand while leveraging Marriott's sales, distribution, and marketing capabilities.

Are City Express by Marriott properties part of the Marriott Bonvoy program?

Yes, existing City Express by Marriott properties have been integrated into the Marriott Bonvoy program, allowing members to earn and redeem points.