Hilton follows Marriott with commission cuts

Hilton is the latest hotel chain to trim agent commissions on group bookings in North America, just two months after a similar announcement by Marriott.

Commissions on group bookings in the chain’s U.S. and Canada properties will be reduced to seven per cent from the current rate of 10 per cent effective Oct. 1, 2018; commissions on bookings made prior to that date will be paid the current rate.

In a statement to travel agents, Danny Hughes, Hilton's senior vice president and commercial director, Americas, said that commission cut is the result of growing group distribution costs and the complexity of intermediary services offered.”

In January, Marriott announced that it would cut agent commissions on North America group bookings, also from 10 per cent to seven per cent. Marriott’s new commission rate goes into effect March 31.