José Carlos Cortizo Pérez / Flickr
Effective January 1 this year, new last-minute cancellation policies went into effect at Marriott and Hilton.
This means that the relatively standard practice of allowing cancellations up to 5 or 6 pm on the day of arrival is no longer in effect.
In order to avoid paying for that first night, you now have to cancel a full 24 hours (or more, depending on property) in advance.
Some observers suspect that hotel chains imposed new rules to prevent travelers from booking a standard rate, then canceling the reservation at the last minute and re-booking at a cheaper rate using popular new last-minute booking sites and apps.
This new policy recently tripped up TravelSkills reader L.H. who was hit with a pesky fee and sent us the following correspondence with Marriott. (We have added bolding to highlight important parts)
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Dear Marriott: Has your cancellation policy changed? I thought standard policy was until 5:00 PM day of arrival at location/property reserved. If my plans change, say, on a Thursday morning not requiring me to stay overnight that night will I still be charged for that night?
Regards,
L.H.
Dear Mr H: Thank you for contacting Marriott. We appreciate the opportunity to provide you with information.
Each individual property has the authority to decide their own cancellation policy. This will vary with each and every location. The new common standard will be one day prior to arrival to avoid any penalty charges. Some hotels will require more notice. Some locations will have these policies that can vary by season. If we can be of further assistance, we invite you to reply to this email. Thank you for choosing Marriott.
Regards,
C.C.
Marriott Customer Care
Related post: How to find “hidden” hotel discounts
Hi C, Thanks for your prompt reply, although I find your answer somewhat evasive.
You seem to be trying to present a scenario where the “individual property” has the authority yet the “new common standard” is one day prior.
Sounds like an answer form a politician trying to please both sides. The individual property can claim it is Marriott policy and Marriott can claim each individual property has the authority.
Actually, your answer simply raises other questions.
Is there going to be full disclosure (prior to booking a reservation) as to whose policy or which policy is the rule?
What was the reason for changing this policy?
As a long time Marriott customer (Life Time Platinum) I find it odd that Marriott now decides to penalize its loyal customer base with such a change.
If I am traveling and for example, I wake up on a Wednesday and check e-mail to find that my business meeting for early afternoon has been cancelled. That meeting was to extend to the next day, which is also cancelled.
I am staying at a Marriott property and instead of checking out and being able to cancel that night’s stay as I have done in the past, I will now check out, but have to pay that night’s stay and the property will most likely sell that room thus resulting in a double sale for Marriott for that night on that room.
Often when traveling, I think I will end up in one city and turns out I need to bypass that city to go ahead to the next. Or, in a large metropolitan area, due to whatever reason, it is advantageous to move to a different property on the other side of town.
Business travel is very often subject to change for a myriad of reasons.
It seems counterintuitive for a company in business to accommodate business travelers with such a change that is quite unaccommodating to business travelers.
In the past, Marriott certainly seemed to be marketing its properties as business traveler friendly and flexible.
The simple answer, my opinion of course, is that Marriott as a company has decided to seek additional revenue gain through a cute maneuver via a “policy change” to pad its coffers.
I invite you to share my e-mail with Marriott management. I am theorizing there are many other loyal (former?) Marriott customers shaking their heads over this one.
Regards,
L.H.
Marietta, GA
What do you think about these new cancellation policies? Is it fair for travelers? What about hotels losing money on no-shows? Please leave your comments below!
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My comment is to the “New Marriott/Hilton cancellation policy irks”-Reader Report” article..:
if I’m reading LH’s response to Marriott CC , I agree with the part of the Marriott CC response being somewhat evasive. But LH’s example scenario given I’m not sure is right. LH notes where he is already in the hotel waking up in the a.m. where his meetings for the pm or next day are cancelled. It is my understanding that Marriott’s cancel policy is not an early check-out fee policy where if one is already in the hotel room and wants to check-out now a day earlier ,In his case, providing he got up early enough , he could still check out prior to the hotels normal check-out time I believe with no charges . The policy is a cancel policy charge on pre-reserved rooms where one has not yet checked into the hotel and you must cancel the reservations now 24hours prior to arrival vs. where it was previously the day of arrival. I being in corporate travel still prefer the day of arrival cancel policy myself, the 24hour stinks but I don’t think it’s an early departure fee.
This policy is deadly for Marriott & Hilton: They risk losing about 10% of their business clients, equal 15% of revenue in their business properties, if they don’t come up with attractive rates for same day / last minute bookings.
I’m Platinum with Marriott and Gold with Hilton and since the policy change I have only stayed 1 night at either of those two chains this year. I have taken most of my business to smaller chains and independents this year; all of them with same-day cancelation policies. Looks like at this rate I will spend 30 or less nights with the mega chains this year. That’s what I think about this policy change.
I had a discussion on the phone with a Marriott representative recently when canceling my room same day outside the policy. It seems a little unfair, but I was assured that Platinum members could cancel same day without penalty. I have had to do that another time since then, and received good treatment from Marriott. That doesn’t help Silver or Gold members, but it is better than airlines. Look for rental car companies to do these types of changes as well – from what I have heard.
BTW – I had a Hilton reservation with a one day cancellation policy this week, and when I called the hotel and explained that my boss had to cancel his trip, the front desk person (not even a manager) cancelled and said, “No problem, sir.” If canceling same day, call and be polite and pleasant. It could work (and have a good story).
Contrary to Kirk’s statement that I do not understand business, I disagree. In over 25+ years of traveling I can count on one hand the times I have cancelled a stay late in the day. I do indeed respect a hotels’ business model. I consider myself a conscientious guest. If I am two nights or more at a property, I always inform housekeeping that during my stay I will not require daily service. Upon check-out I inform the desk of minor problems with the room bulb out, leaking toilet tank, etc.).
What I find troublesome with Marriott’s new policy is that if someone has situation that “blows up” early in the business day, one had the flexibility to check out and not incur that night’s charge.
I had heard a report early on when this policy was to go live, that it was a counter move by these chains to when a guest with a reservation checked the discount hotel sites and found a cheaper rate at the same hotel, cancelled the existing reservation and booked the cheaper rate.
I do admit to not being 100% on how the discount sites operate; but I surmise that the rooms on those sites are available because the hotel chains release them to those discount sites?
Am I boycotting Marriott?
No, as I had three stays this week in Richmond and have three booked next week in Pittsburgh. Same with Hilton as I have a two night stay booked mid-April at a Hampton property.
Regarding the comment concerning New York hotels and other “major cities” having a long-standing 24 hour policy; I can understand that. I have earned my Life Time Platinum status the hard way at smaller cities at the “Fairfield Inn” level over many years. Remember the old style, vinyl siding Fairfield’s with only the top floor as interior entrance and the heaters that would roast and dry you out you and the AC’s that would freeze meat?
I will adapt.
Though, while I may not like the new policy, it would seem that Marriott and Hilton would have put some exception of some sorts in place for it’s Rewards/HHonors members as mentioned by JD.
The thing that really gets my goat is that why can’t the staff at Marriott properties read your profile when your reservation comes in? Invariably when I check in at a Marriott, I have to get them to change my room to what my Profile states. Seven times out of ten that happens. I find Hilton to spot on in that regard.
Don’t get me started on leaky/drippy irons and ironing boards with no pads……..
My biggest frustrations are not cancellations but reservation changes. I had booked 2 rooms for 3 nights at the Hilton Financial District for my boss and myself about 3 weeks ago. I have stayed at this Hilton a lot as it is close to my office. My boss was going to be delayed one day so I needed to change his reservation to 2 nights. I called a week in advance and was told that they could not reduce his reservation to 2 nights without charging him for the 3rd night – they told me, “he can check in early w/o any extra cost” which does him a lot of good when he is arriving at 8:00 pm at night! So I said so the only alternative is to cancel the booking and rebook this at a much higher cost for 2 nights? That’s right. So I told them if I cancel his booking I will cancel mine as well and book somewhere else. I know San Francisco is the worst place to make hotel bookings but Hilton is more frustrating than most. Over the past 5 years, I have stayed in over a dozen different hotels in the city but this is the first time I’ve had this experience. If the hotel was always so full, then I don’t think they would have had an issue filling the 1 night especially with a weeks notice. They really can care less.
Jeez. It seems like the least Marriott could do is give you the Rewards points if they are taking your money. That is a cheap shot. –Chris
Agree 100% with this. If they are going to charge me anyway, I’m not going to “cancel” and allow them to “double-dip” on the room.
Also, if Hotels are moving toward an airline model of customer service, the Gold, Platinum, etc. members should be exempt from this policy change.
At a concept level, I’m ok with the policy. However, there needs to be some flexibility. For example, I had to cancel a meeting in Puerto Rico due to the customer becoming ill (actually – she was diagnosed with cancer and needed to begin immediate treatment). Obviously, there was no reason to fly to P.R. if there was no customer to meet with. Unfortunately, I received the double insult of (1) Being charged by Marriott even though I cancelled 48 hours in advance; and (2) not receiving any M.R. points for the charged or night stay credit. It’s a “f*ck you”to the customer and a “double whammy” by Marriott.
Nope. I just try to see things from all sides
Marriott has had a 1-Day policy for NYC hotels for years. I found out the hard way two years ago, but I was able to leverage my status to get this reversed.
Recently I ran into the same issue with a Marriott property in Brazil during the snowstorms in the Northeast. My partner’s flights were cancelled so we postponed the trip. Even though we cancelled over 24 hours in advance we all got charged.
Marriott customer server referred the decision to the local manager who reluctantly refunded our money saying they could make exception due to the weather. Lifetime Platinum may have been a bigger influence.
I bet we see them try to charge change fees or sheets next.
Hopefully the rental car companies do not get the same idea.
Thanks everyone! These are some excellent, thoughtful comments representing both sides of this issue. I really appreciate it when our smart readers sound off! Keep it up. I’ll be sure the higher ups at Marriott and Hilton see this post. –Chris
Ancillary fees are the new black. Client (mom, 3 kids) booked BA YYZ BUD return and seat selection round trip would have been (“would have” is the operative phrase) $720 CAD. However I completely agree with LH’s criticism of Marriott’s juvenile communication tactics. I’d suggest that Marriott would address the problem if they retained the old policy for Marriott program members above a certain level AND clearly communicated the policy on all reservations and highlight changes. That will also slap the OTA’s since they frequently don’t convey policy to the booker.
While it may not be practical to do so, I agree with a 24-hour policy during times of high occupancy. The hotel is holding that room for you, and had the hotel known you were not coming, it could sell the room to someone else. Yes, maybe your plane got delayed or your meeting got cancelled, but why should it be the hotel that pays the penalty for that circumstance rather than you or your company?
If, however, the hotel is 50% empty on a particular night, a last-minute cancellation has absolutely no financial impact on the hotel.
Sounds like you work for one of the hotel chains. Nice try.
The comment below on not understanding business – in the sense that business today takes, It is quite apparent that businesses are slowly but surely leaving the concept of trying to build customer loyalty.
The benefits disappears or gets downgraded and the two focuses are selling prices as low as the company can get them and cost cuttings so that they can makr a margin. The days of customer experience are numbered.
This goes for airlines and hotels alike. I guess that when the majority of customers value paying as little as possible for getting from A to B (and corporate policies forces the same set of thinking) or for getting the hotel rooms as cheaply as possible, that is how it only can be.
Here’s just a hope that when the pendulum’s swung all the way to the dreary side that some of the business rediscover the value and market share gains of once again treating customers well and loyal customers closer to their business.
The policy is awful… Sometimes flights get cancelled and you’re now screwed out of a night if that happens.
Too many problems with Marriott lately so I moved my stays to Hyatt. Hyatt treats their guests very well. I would recommend them.
Hotels could offer many rates: a hard nonrefundable, a fully refundable if canceled by 6:00pm, and a refundable if canceled 24 hours in advance, with options to change the reservation to new dates with a modest change fee. Let the market sort out the pricing.
I agree with L.H. it seems like a easy way to make extra money off it’s customers who do have to cancel within the 24 Hour period. I also have noticed the change and am only booking at Marriott if I know for sure that I’m going to be staying now. I used to prebook based off of my tenative schedule and cancel if needed when the schedule may change. The flexibility is one thing that I did like about staying with Marriott. I don’t see why I should have try to use my status ( I’m Gold with Marriott) to have my booking cancelled with out penalty. If it’s like that what’s the point of being brand loyal when I could go on HotelsTonight and get a better hotel for cheaper….same cancellation policy applies. I have found that Starwood honors your membership even with those booking. Am I going to stop staying at Marriott’s? Probably not, but I also disagree with the new policy.
Well, if you set the Way-Bac machine to about 20 years ago, no-shows incurred no penalty. Their reservation would simply be released if they had not checked in by 6:00, unless you “guaranteed late arrival.” Due to the abuses back then, hotels adoped the “cancel by 6:00PM or you will be billed for the night. I guess even that policy was abused which led to Marriott (and Hilton and others) to now have the 6:00PM the day before policy.
If LH is really a Lifetime Platinum (as am I) then I think you have some bargaining power if you cancel after the cutoff (at least according to some of the travel web sites), particularly if the reason is beyond your control such as a flight cancellation. I’ve also noticed that some negotiated rates still allow for 6:00PM day-of cancellation with the last couple of Marriott reservations I’ve had.
Like any other travel policy (airline flight changes come to mind), it seems draconian but you learn to adapt.
Mr H claims to be a businessman, yet seems to understand very little about business. Cancelling at the last moment (5pm) makes it very difficult for the hotel to manage its room inventory and very difficult to sell that last-minute room at market value. 24 hour notice seems very fair. Certainly it’s light years ahead of the airline cancellation policy.
It seems the appropriate response would be for the customer to not cancel (so the $$ impact on the customer is neutral). They’re still paying when they shouldn’t, but at least Marriott is precluded from “double-selliing” the room.
A movement by consumers could create a re-look at the policy.