There’s finally some good news for independent planners: Loews Hotels & Co. will increase third-party planner commissions to 13 percent at select hotels in 2019.
Loews Chairman and CEO Jonathan M. Tisch sent out the news via email in an effort to get some of their hotels “additional attention.” As such, the hotel company is offering the commission incentive for third-party planners to help fill the following properties: 628-room Loews Hollywood in Los Angeles, 285-room Loews New Orleans, 300-room Live! By Loews – Arlington (opening next summer in Texas) and 800-room Loews Kansas City (opening in spring 2020 in Missouri). All properties offer more than 15,000 sf of meeting space, with the Hollywood property offering up to 75,000 sf and the Kansas City property expected to offer 60,000 sf.
The 13 percent commission is available for business booked by March 31, 2019 and consumed by Dec. 31, 2019 (with the exception of the Kansas City property, which must be consumed by Dec. 31, 2020). Those properties not included will keep the 10 percent commission structure for the time being.
This announcement follows the recent news from Hyatt, stating that the hotel company plans to cut independent planner commissions from 10 percent to 7 percent. And that’s just the latest from a slew of other big hotel brands, such as Marriott, Hilton and IHG, taking on similar cuts. While some are outraged by the news, others believe it could drive efficiency, “as the broker and consumer begin to demand better information,” according to Kemp Gallineau, CEO of Groups360.