The hospitality industry has suffered from a decline in tourism during the pandemic, but as Covid’s vaccine distribution progresses, Marriott CEO Tony Capuano expects his business to recover.
“As the vaccine is widely distributed, we see very strong and stable prospects for growth in demand,” Capuano told CNBC’s Seema Mody in an interview on Wednesday.
Capuano was recently chosen as the hotel chain’s CEO after the death of his former leader Arne Sorenson on February 15. Sorenson was battling pancreatic cancer.
Sixty percent of Marriott’s bookings in 2019 were from business travelers. Since more companies are adapting to remote workplaces, some industry watchers are concerned about the trend of damaging the hotel industry forever, but Capuano is not.
Marriott’s customers have told the company that they are “looking forward to going out and coming face to face with their business partners and customers,” said Capuano. However, leisure travel is likely to lead the recovery, he said.
Marriott is the largest hotelier with 1.4 million rooms worldwide.
Global markets like China are already seeing some recovery, as the country has quickly adapted to contain the virus and administer vaccines, he said.
Marriott’s shares rose more than 3% on Wednesday. The stock, which has a market value of $ 50.16 billion, appreciated nearly 15% last year.