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Marriott's Upcoming Conversion-Friendly Midscale Brand Aimed at Transient Guests

Brand Has Working Title of Project Mid-T
Marriott International's upcoming conversion-friendly midscale brand is aimed at transient travelers in the U.S. and Canada. (Marriott International)
Marriott International's upcoming conversion-friendly midscale brand is aimed at transient travelers in the U.S. and Canada. (Marriott International)
Hotel News Now
June 4, 2024 | 1:50 P.M.

NEW YORK — Marriott International shed more light on its soon-to-launch, conversion-friendly midscale brand aimed at transient guests.

Forgoing a formal announcement until officially named, Marriott gave attendees of the NYU International Hospitality Industry Investment Conference a sneak peek at what the new brand will look like. It’s currently operating under the name Project Mid-T.

Marriott President and CEO Tony Capuano had teased a new brand was on the way during recent earnings calls. Marriott took a similar approach in 2023 with the launch of StudioRes, its U.S. and Canada-focused extended-stay midscale brand, sharing initial details under the name Project MidX Studios.

In a statement from the company, Marriott said Project Mid-T will offer franchisees a light operational model and functional modern design to capitalize on growing consumer demand as part of Marriott’s sales, distribution and marketing systems. The new brand is aimed at transient guests traveling in the U.S. and Canada.

Attendees of the conference had access to Marriott’s Project Mid-T display that shared renderings and information about the new brand. The brand is targeting “efficient travelers,” which includes business travelers, leisure travelers and groups and families.

As a conversion-friendly brand, Project Mid-T would provide Marriott franchisees with a “kit of parts” conversion approach, the company said. The brand will have purchase-ready furniture, fixtures and equipment and finish specifications, and the FF&E program is designed to adapt to different types of building configurations.

The brand’s franchise fee of 10.5% includes several fees, such as franchise royalty and marketing.

“Our aim for the brand is to provide a compelling, efficient design strategy that is conversion-friendly, a light operating model, and a highly competitive low bundled fee that harnesses the power of Marriott’s distribution channels and Marriott Bonvoy loyalty program, perfect for markets across U.S. and Canada,” said Noah Silverman, executive vice president and chief development officer for the U.S. and Canada.

Conversions have been playing a significant role in Marriott’s overall pipeline growth. During the company’s first-quarter earnings call, Capuano said that conversions represented 30% of the company’s global signings. By the end of March, Marriott’s global development pipeline totaled 3,419 hotels with nearly 547,000 rooms. That included 155 properties with about 27,000 rooms that were approved for development but were not signed yet.

This is Marriott’s fourth entry into the midscale space. Along with the aforementioned StudioRes brand, Marriott acquired the Mexico-based City Express brand portfolio in 2022, and it launched its Four Points Express by Sheraton brand in 2023 for Europe, the Middle East and Africa. Prior to 2022, Marriott had no brands in the midscale space.

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