Marriott International is pushing hard to expand its business in China, and during 2024 signed a record 161 hotel deals, adding over 30,000 rooms to its pipeline.
The continued pace in China comes despite weaker hotel market performance across the region, which is still showing softness. For the fourth quarter of 2024, revpar in greater China fell by 2%, the company reported in its full year results. CFO Leeny Oberg predicted a flat revpar outlook for 2025.
Taking a long term view
CEO Tony Capuano commented: “Long term, we continue to be really bullish on Greater China. It’s quite interesting to us that even in the face of some short-term operating weakness, we had record level of deal volume performance in 2024. And I think that’s indicative of the development community’s confidence long term about China growth trends.”
The group’s luxury brands saw a strong acceleration in signings, up 73% year on year. In Shanghai, a second St Regis and second Edition hotel were signed. Ritz Carltons were signed in Xiamen and Wenzhou. And commitments for W Hotels were added in Sanya and Hangzhou.
Among the group’s premium brands, the portfolio grew to 285 operating hotels by the end of 2024, with a further 151 to come. Among the additions during 2024 were Sheraton properties signed to the pipeline in Jinan, Hengyang, and Zhengzhou.
“2024 was a landmark year for Marriott International in Greater China.” said Yibing Mao, president of Greater China at Marriott. “We accelerated development with record number of signings, celebrated 50 years in the region, forged strategic collaborations and expanded into new markets. Looking ahead, we reaffirm our long-term focus on Greater China, enhancing our portfolio to offer more diverse stay options for guests and drive greater value for owners.”
The year also saw progress on a new partnership with local company Delonix Group, focusing on growing Marriott’s Tribute brand in the country. Eight properties were signed during 2024, and two of these are already open: Grand New Century Hotel, Hangzhou Boao, and Wonderland Resort, Hangzhou Jiande are now both part of the Tribute Portfolio.
Conversions play a growing role
Hotel conversions have been a growing part of recent openings for Marriott, across the globe, and are increasingly important as pipeline signings. In Greater China, the concept is also gaining traction. In 2024, Marriott opened its first conversion from an existing hotel in the region, Shanghai Marriott Hotel Yangpu Riverside. And a second property, Moxy Chongqing opened in Jiefangbei CBD during the year, having been signed just months before.
In early 2025, keeping up the pace, Marriott announced its Design Hotels brand would be making a return to mainland China. An agreement with SCHotel Investment and Management Group will see Habo Hotel Shanghai join the collection brand, from its opening in October 2025.
