Marriott partners with vacation rental platform Sonder for a new initiative.
As the largest hotel chain globally, Marriott continues to innovate beyond its conventional brands.
On Monday, Marriott International unveiled its collaboration with Sonder Holdings, a platform offering short-term rentals in apartment-style accommodations, primarily located in major urban areas. This partnership includes over 10,500 rooms, significantly enhancing Marriott's growth and enabling it to extend beyond traditional hotel experiences. The initiative will be branded as "Sonder by Marriott Bonvoy."
Later this year, more than 9,000 Sonder rooms will be integrated into the Marriott system, with an additional 1,500 rooms in development. Sonder manages apartment-style complexes and boutique hotels throughout North America, Europe, and the Middle East.
Members of Marriott Bonvoy will have the opportunity to earn and redeem points at approximately 200 Sonder locations by the end of this year. However, full integration into Marriott's digital platforms is expected next year.
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It remains unclear whether Sonder properties, which also feature as Airbnb listings for some units, will continue to be available on other short-term rental platforms after integrating with Marriott.
Sonder becomes part of Marriott's expanding offerings tailored for longer stays, which provide a more upscale experience compared to their extended-stay brands like Residence Inn and Element. Marriott currently manages brands such as Marriott Executive Apartments, Apartments by Marriott Bonvoy, and Homes & Villas by Marriott Bonvoy.
A Marriott spokesperson mentioned to TPG, "Sonder's digital-first model operates solely in urban areas, which we believe will attract younger travelers. This approach sets it apart from Marriott's existing longer stay and apartment options—like Apartments by Marriott Bonvoy and Marriott Executive Apartments—but we view it as a valuable complement to these other brands."
Sonder will also focus more on urban markets compared to Homes & Villas by Marriott Bonvoy. However, if you're wondering why a hotel giant like Marriott is entering the short-term rental market after opposing companies like Airbnb, the answer lies in a significant difference. Unlike Airbnb, Sonder manages its properties under long-term master lease agreements and registers them as hotels, allowing it to continue operating in New York City even after the Airbnb ban was enacted last year.
This agreement reflects the ongoing trend of partnerships over mergers within the industry, according to a recent Bernstein report. The analysis highlights the Sonder-Marriott collaboration as part of a broader movement, similar to partnerships like Hilton and Small Luxury Hotels of the World or Marriott and MGM Resorts International.
For travelers, this translates to more opportunities to earn and redeem points in exciting new locations, which is always beneficial.
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