CEO of Marriott Antoine Capuano is set for a strong year-end as pandemic-era global travel restrictions are relaxed.
“I think it was September 20 when the administration announced its intention to open the borders. We saw an immediate increase in bookings and we have seen it until today,” Capuano said on Yahoo Finance Live.
Today, the United States ended a pandemic travel ban for international visitors from 33 countries. The ban lasted 19 months and was first implemented by the Trump administration. International travelers will need to show proof of vaccination and a recent negative test for COVID-19.
Capuano added: “I was in Europe about a month ago, and the Europeans were being mystified. They greeted me across the border with my little handwritten CDC card and they have scanned health certificates, so I think that’s great news for us. “
Marriott’s rival Hyatt echoed Capuano’s optimistic sentiment on Yahoo Finance Live.
“This is an important day. The reopening of borders for vaccinated travelers is a very nice step to take and re-engage. The day the date of November 8 was announced, we saw an instant increase in bookings. D ‘Elsewhere, this week grew 50% overnight in terms of bookings. It just goes to show what we’ve seen in virtually every segment of our industry that there is a huge pent-up demand for people to are back on the road, â€said Mark Hoplamazian, CEO of Hyatt.
The influx of international travelers will likely further fuel the recovery taking hold at Capuano’s Marriott.
Marriott’s overall revenue per available room (RevPar) in the third quarter increased 118.4% from a year ago. Average daily rates were only 4% lower than the level observed in the third quarter of 2019.
Capuano said Marriott is seeing continued strength in the rates it could charge travelers.
“The holiday season will be a gang explosion if the last three holiday weekends are any indication. Actually someone called me to tell me can you help us get into one of your ski resorts for New Years week. I said maybe but the rates are 100 % There is a massive demand for repressed pleasure travel.
IInvestors have recently taken an interest in the hotel salvage business.
Marriott shares have risen 19% in past three months, outperforming the 6% gain of the S&P 500. Hilton and Hyatt are up 19% and 20% respectively.
Brian Sozzi is an editor and anchor at Yahoo Finance. Follow Sozzi on Twitter @BrianSozzi and on LinkedIn.
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