We are also focusing on new development that can provide sustainable economic activity and local employment. In the coming years, more than half of Marriott’s new hotels will be located in emerging markets where tourism is a major driver of new jobs and economic growth. Two major sustainable development projects include our first ground-up hotel in Sub-Saharan Africa, in Rwanda, which is the largest in that country. The hotel, located in Kigali, is expected to open in 2016, and represents the start of our aggressive growth plans in that region. We intend to help fuel the Rwandan travel industry and train young women for professional hotel careers through our partnership with Rwandan-based Akilah Institute for Women.
In addition, the Marriott Port-au-Prince in Haiti is scheduled to open in early 2015. The hotel is expected to help boost the local economy by supporting local vendors, hospitality training and generating more than 200 new hospitality jobs, in addition to the 3005 jobs generated by the hotel’s construction.
We believe responsible hotel and resource management creates economic opportunities and can be a positive force for the environment. From our associates worldwide to an array of external business and community partners, we have engaged the resources needed to help us accomplish our goals, which include efforts to reduce energy and water consumption 20 percent by 2020 and develop green hotels—we have more than 100 properties LEED® (Leadership in Energy and Environmental Design) certified with the U.S. Green Building Council. Our objectives also include greening our multi-billion dollar supply chain; in 2013, Marriott achieved its goal of spending 75 percent of our furniture, fixtures and equipment dollars on suppliers who are in MindClick’s Hospitality Sustainability Performance Index. We are also engaged in educating and inspiring associates and guests to conserve and preserve natural resources as well as addressing environmental challenges through innovative conservation initiatives including rainforest protection and water conservation.
LOOKING AHEAD TO A BRIGHT FUTURE
We are investing in effective marketing and social media platforms to deliver what next generation guests want. Today, more than half of the world’s population is under the age of 25.6 In 2013, the Generation Y population accounted for 19 percent of total room nights in U.S. business travel and we expect that to nearly double to 34 percent by 20207 as these Millennials graduate and start traveling for work. We are attracting this growing demographic segment by introducing new brands tailored to their needs, along with updating existing brands with the technology, design, wellness, and food and beverage experiences that are important to them.
Our flagship brand, Marriott Hotels, launched the multi-year ‘Travel BrilliantlySM’ global marketing campaign—a bold effort amplifying the brand’s dedication to leading the future of travel. Using social media and online, broadcast and cable TV spots, the campaign engaged younger travelers to share their best ideas with us to reimagine the future of travel.
Our company is investing in mobile-booking technologies and is ensuring that the Wi-Fi in our properties meets the demands of today’s tech-savvy consumer. Greater Wi-Fi speed and reliability will increase our appeal and boost Marriott’s relevance, preference and revenue.
In addition to our mobile app, we created new guest service applications for our Marriott Hotels brand such as Red CoatSM Direct, giving meeting organizers the ability to adjust their requests and preferences with a touch of a button on their devices, without ever leaving the meeting room. With our Workplace on Demand app, powered by LiquidSpace®, guests can book both free and paid meeting spaces as easily as they book guest rooms. Using social media and online, broadcast and cable TV spots, the campaign engaged younger travelers to share their best ideas with us to reimagine the future of travel.
As we grow around the world, more than 100,000 people will begin their Marriott career in 2014, including thousands of Millennials. So, we launched “Mobile Apply,”—an industry first—giving job seekers an easy way to find and apply for jobs from their smart phones. This engages candidates across the globe on their terms and recognizes that in the developing world, candidates are often more likely to have a smart phone than a computer.
We live the motto "success is never final." In the past five years, despite a significant economic downturn, we grew our system by more than 20 percent, while also returning $4 billion to shareholders in dividends and share repurchases, reducing diluted shares outstanding by 16 percent.
We are proud of our performance. On behalf of our team around the world, thank you for helping us to achieve great heights in 2013. We look forward to helping you Find Your World when you stay, work and do business with us.
March 14, 2014
5 International Financial Corporation
6 Population Action International
7 “Lodging Strategic Insights,” DK Shifflett & Associates