(1) As of December 31, 2011, there were 677 North American (U.S. and Canada) open and operating System hotels; of these, 675 were franchised. There were 610 franchised hotels for which Smith Travel Research, Inc. (“Smith Travel”) data was available and which were open and operating at least one year as of January 1, 2011. For the one-year period ending December 31, 2011, those franchised hotels achieved an average occupancy rate of 65.5%, an average daily room rate of $90.02, and an average revenue per available room (“RevPAR”) of $58.99. The occupancy rate for the 610 franchised hotels ranged from a high of 92.3% to a low of 37.6%. Three hundred and six of the franchised hotels (50%) achieved an occupancy rate equal to or greater than 65.5%. The average daily room rate ranged from a high of $230.09 to a low of $58.78. Two hundred and nine of the franchised hotels (34%) achieved an average daily room rate equal to or greater than $90.02. The RevPAR ranged from a high of $197.50 to a low of $22.12. Two hundred forty-three of these hotels (40%) achieved or exceeded the average RevPAR of $58.99.
The 610 North American franchised System hotels that had been open for at least one year as of January 1, 2011, based on Smith Travel data, achieved an average yield index of 110.2% for the one-year period ending December 31, 2011. The yield index ranged from a high of 225.6% to a low of 56.5% for the hotels during that period. Three hundred franchised hotels (49%) achieved a total yield index equal to or greater than 110.2%.
(2) Marriott’s Consumer Marketing Department tracked the 612 North American franchised System hotels that had been open and operating for at least one year as of January 1, 2011. For those hotels, for the one-year period ending December 31, 2011, System hotel guests who were members of Marriott Rewards generated Marriott Rewards eligible revenue that is approximately 57% of the total room night revenue with an average daily spend of $98. The Marriott Rewards hotel room nights ranged from 3,900 to 31,500 and 263 North American franchised hotels (43%) achieved or exceeded the average of 11,200 paid Marriott Rewards room nights.
During 2011, the average number of gross room nights booked through the Marriott Channels was 15,215 for the 612 North American franchised System hotels that had been open for at least one year as of January 1, 2011, that were tracked in Marriott’s internal databases. As a percentage of gross room nights per hotel, the percentage generated by the Marriott Channels for such 612 North American franchised System hotels in 2011 ranged from 22.4% to 87.3%, and the average percentage was 53.7%. Three hundred one franchised System hotels (49.2%) had more than 53.7% of their gross room nights booked through the Marriott Channels.
(3) See Item 19, Franchise Disclosure Document for Fairfield Inn/Fairfield Inn & Suites by Marriott dated 3/31/2012. [pdf] These statements relate to historical performance of franchised Fairfield Inn/Fairfield Inn & Suites hotels and are not guarantees of future performance. The figures above were based on hotels with at least two years of operating results. Hotels typically achieve lower results in their first year of operation. We do not claim or expect that you can or will expect to achieve the same average occupancy rate, average daily room rate, average RevPAR, reservations, Marriott Rewards room nights or yield index, as these figures will vary from hotel to hotel and will depend upon many variables and factors, including size, location, seasonality, competition, the length of time your hotel has been open or affiliated with Marriott, the condition of the hotel, the quality of service at the hotel, and the efficiency with which you operate your hotel. Operating results are subject to numerous. risks and uncertainties, including economic conditions, public reaction to terrorist attacks and political unrest, supply and demand changes for hotel rooms, competitive conditions in the hospitality industry, relationships with customers and property owners, and the availability of capital.
(4) Source: Marriott internal database. Global distribution figures represent open properties and committed pipeline projects as of 4th Quarter 2012.