What is Travel Ease's role in relation to Delta Hotels By Marriott and Alibaba customers?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
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5. Other Related Party Transactions
MII currently owns an interest in Travel Ease, which manages certain of Marriott's Chinese online reservation and distribution channels and market Company Brand Hotels and our designated loyalty programs to Alibaba customers. Travel Ease collects a commission based on a percentage of gross room sales for Company Brand Hotel guestroom nights booked through the online reservation and distribution channels it manages. In 2024, Travel Ease derived approximately $13,700,000 for such activities from Company Brand Hotels. MII's pro-rata share of Travel Ease's profits or losse
Source: Item 5 — Other Related Party Transactions (FDD pages 77–79)
What This Means (2025 FDD)
According to Delta Hotels By Marriott's 2025 Franchise Disclosure Document, Travel Ease plays a specific role in managing online reservations and distribution channels in China, particularly concerning Alibaba customers. Travel Ease is responsible for marketing Company Brand Hotels, including Delta Hotels By Marriott, and designated loyalty programs to customers who use the Alibaba platform. This indicates that Delta Hotels By Marriott leverages Travel Ease to tap into the Chinese market through Alibaba's extensive customer base. Travel Ease generates revenue by collecting a commission based on a percentage of gross room sales for guestroom nights booked through these managed online channels.
In 2024, Travel Ease derived approximately $13,700,000 from Company Brand Hotels for these activities. This figure highlights the financial significance of Travel Ease's role in driving bookings for Marriott's brands, including Delta Hotels By Marriott, through its online channels. Marriott International Incorporated (MII) owns an interest in Travel Ease, and MII's share of Travel Ease's profits or losses is recorded in MII's financial statements for the fiscal year ended 2024. This ownership stake suggests a strategic alignment between Marriott and Travel Ease to optimize online distribution and marketing efforts in the Chinese market.
For a prospective Delta Hotels By Marriott franchisee, this arrangement means that a portion of their bookings may come through Travel Ease's efforts with Alibaba customers. While the franchisee may not directly interact with Travel Ease, the entity's role in driving reservations could impact the hotel's revenue. It is important for potential franchisees to understand how these related-party transactions function and how they contribute to the overall performance of a Delta Hotels By Marriott franchise, especially if they anticipate a significant portion of their business coming from the Chinese market.