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Daily Newsletter

10 November 2025

Daily Newsletter

10 November 2025

Marriott ends agreement with Sonder, updates net rooms outlook

The agreement was signed in August 2024 to create new revenue opportunities and reduce costs.

Anwesha Pattanaik November 10 2025

Marriott International has confirmed the termination of its licensing agreement with Sonder Holdings due to the latter’s default.

As a result, Sonder properties no longer appear on Marriott’s booking platforms, and new reservations at these locations through Marriott channels are not possible.

The termination ends the affiliation between the two companies which started in August 2024.

Marriott has stated that it is focusing on assisting guests currently staying at Sonder properties and those with upcoming bookings made via Marriott’s platforms.

The company will reach out directly to affected customers who booked using Marriott.com, the Marriott Bonvoy app, or through Marriott’s reservation centres to provide support regarding their reservations.

Travellers who arranged stays at Sonder properties through third-party travel agencies have been advised to contact those agencies for assistance.

Customers seeking clarification about current or future bookings at Sonder locations made via Marriott channels are asked to contact Marriott customer service for further information.

The long-term strategic licensing agreement between the companies anticipated integrating over 9,000 existing Sonder units into the Marriott portfolio before the end of 2024, with roughly 1,500 more expected to follow later.

Plans included making Sonder’s apartment-style residences and boutique hotels available through Marriott’s distribution channels under the “Sonder by Marriott Bonvoy” collection.

Sonder previously expected these arrangements to generate new revenue streams and operational benefits.

Following the removal of Sonder rooms from its inventory, Marriott now anticipates its net room growth for 2025 to be close to 4.5%.

Previously, Marriott said: “We still expect net rooms growth to approach 5% for full year 2025 and be in the mid-single-digit range over the next few years.”

All other outlook metrics shared on 4 November 2025 remain unchanged, stated the company.

In the third quarter 2025, Marriott’s global revenue per available room (RevPAR) increased by 0.5% influenced by changes in the calendar and continued macroeconomic uncertainty.

International RevPAR grew by 2.6%, with Asia-Pacific Economic Cooperation (APEC) region showing nearly 5% growth because of strong results in markets such as Japan, Australia, and Vietnam.

In the US and Canada, RevPAR decreased by 0.4%, mainly due to lower demand at lower-tier hotels and a drop in government travel. Globally, luxury hotels recorded higher performance, as luxury RevPAR rose by 4% during the quarter due to steady demand and higher rates.

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