Marriott International Inc. and Expedia Group have inked a new multiyear distribution agreement.
‘Mutually beneficial economic terms’ have been reached according to the two companies.
It marks the first permanent deal between them since Marriott bought Starwood Hotels & Resorts for $13 Billion in 2016.
Marriott’s significantly expanded portfolio after the Starwood deal undoubtedly gives it more bargaining power.
It has apparently negotiated a more favourable commission rate this time. The last reported rate was 12%.
The distribution deal covers all Expedia group sites such as Expedia.com and Hotels.com and it also boosts Expedia’s role in providing flights and hotel packages on the Marriott vacations platform.
"We believe there is considerable untapped opportunity between our two companies to drive value to hotel owners and travelers alike by strengthening our Vacations by Marriott’s offering," Marriott CEO, Arne Sorenson said.
