Marriott International, Inc. (NASDAQ:MAR) Q2 2023 Earnings Call Transcript

Michael Bellisario: Thank you. Good morning, everyone. Just wanted to follow-up on the MGM deal but focus on group. A couple of parts there. Maybe what’s your view on the upside in Vegas for group business at these hotels. Maybe more broadly, how are your sales teams incentivized to put groups into certain hotels? And then presumably, Vegas is going to gain share. Maybe what’s your view on the markets that lose share as group rotates into Vegas. Thanks.

Tony Capuano: Sure. So maybe I’ll try at a high level, and then, Leeny, you might want to be a little more granular. Obviously, we think it’s a huge win for our group customers. As you know, Michael, the way we sell group as we look at their multiyear rotational needs and for many of these particularly large groups, Las Vegas is always in their multiyear plan. While we had the ability to offer them the Cosmopolitan, the breadth of offerings we can now make available to them, particularly the largest of those groups that need very significant meeting space, we think we’ve got a terrific opportunity to keep them within the Marriott Group ecosystem much more effectively. Our sales teams will be collaborating closely, the Marriott and the MGM sales teams, to ensure we capture as much of that demand as possible.

In terms of markets that might be impacted by that, most of those groups are rotating through Las Vegas as a destination anyway. And so I don’t think we’re deeply concerned that groups going there will be at the expense of those destinations. We just think we have a better probability of capturing that Las Vegas rotation within the Marriott ecosystem.

Operator: And at this time, this will conclude our Q&A as we are at alloted time. I will turn the call back over to Tony Capuano for closing remarks.

Tony Capuano: Great. Well, thank you all for your interest this morning. I wish you safe travels, and we look forward to seeing all of you in Miami this September. Thank you.

Operator: Thank you. This does conclude today’s program. Thank you for your participation. You may disconnect at any time.