Starting in 2019, InterContinental Hotels Group plans to lower the commission paid to third parties from 10 percent to 7 percent for group bookings in the U.S. and Canada. IHG’s brands include InterContinental Hotels & Resorts, Kimpton Hotels & Restaurants, Crowne Plaza Hotels & Resorts, Hotel Indigo, Holiday Inn, and others.
The change, announced in letters that went out to third parties over the past few days, follows the precedent set by Marriott International and Hilton earlier this year. Marriott’s commission drop went into effect March 31, and Hilton’s will go to 7 percent for contracts booked after October 1. Commissions for IHG hotels outside the U.S. and Canada, and in Puerto Rico, will not change.
In a statement from IHG’s Derek DeCross, senior vice president, Global Sales, the move allows the company “to balance the needs of our guests and owners by reinvesting the savings into programs and improvements that will benefit the guest experience.”
Further Reading
Checkout MeetingsNet’s April survey on commission practices in the meetings industry: Hotel Commissions Report: Who Earns Them, Who Shares Them, Who the Cuts Hurt.
