More and more hotel companies are turning to all-inclusive resorts

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Wyndham CEO Geoff Ballotti and Marriott CEO Anthony Capuano (Getty, Wyndham, Marriott)

As the hospitality industry grapples with the pandemic, many brands are heading for warmer weather and all-inclusive reporting.

Several companies have entered the all-inclusive portion of the market, including Wyndham, Marriott and Hyatt, according to the Wall Street Journal. These resorts typically offer all accommodation, food and drink, as well as some recreational activities, for a flat fee.

Wyndham is entering an alliance with Playa Hotels & Resorts to enter the market for the first time, the Journal reported. The Alltra brand and its first two hotels will be located in the Mexican Yucatan Peninsula. Playa manages the properties, while Wyndham brings in its brand and sales device.

Marriott is also entering the business, adding 20 all-inclusive resorts. They will operate under the Autograph Collections Hotel brand.

Then there’s Hyatt, which has been in the business since 2013 and has about 45% of its rooms in leisure hotels. That is set to increase soon, as Hyatt recently agreed to acquire resort manager Apple Leisure Group for $ 2.7 billion, increasing its hotel spending at leisure hotels to more than the majority of its rooms.

The hospitality industry is struggling to turn the corner of the pandemic as business travel is hampered by the Delta variant. Business travel is not expected to return to 2020 levels this year.

The Journal said that all-inclusive resorts may have advantages over traditional hotels. Customers can, for example, meet all of their needs in one place, without needing to venture into areas where they might be more susceptible to Covid.

[WSJ] – Holden Walter Warner


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