Connect with us
DAPA Banner

Business

CMA investigates Hilton, IHG and Marriott over alleged hotel data sharing via STR

Published

on

CMA investigates Hilton, IHG and Marriott over alleged hotel data sharing via STR

The UK’s competition watchdog has launched a formal investigation into three of the world’s largest hotel groups, Hilton, InterContinental Hotels Group and Marriott International, over concerns they may have shared “competitively sensitive” information through a third-party data analytics platform.

The Competition and Markets Authority (CMA) said it is examining whether the hotel operators exchanged commercially sensitive data using STR, a widely used industry benchmarking tool owned by CoStar Group.

Together, the three hotel groups operate more than 25,000 hotels globally, giving the probe significant weight in the international hospitality sector.

Hotel chains routinely use analytics platforms such as STR to track industry metrics including occupancy rates, average daily room prices and revenue per available room (RevPAR). Such tools can help operators adjust pricing in response to demand and competition.

However, the CMA warned that where rival businesses share competitively sensitive information, even indirectly through a third-party provider, it may reduce uncertainty between competitors and risk softening competition.

Advertisement

“When rival businesses share competitively sensitive information, including through a third-party data analytics provider, this reduces the uncertainty competing businesses normally have about how each other will act,” the regulator said.

“This can affect how strongly companies compete because it makes it easier for them to predict what each other will do and coordinate their behaviour.”

The watchdog will now spend up to six months gathering evidence before deciding whether to issue a formal statement of objections.

At this stage, the CMA stressed that no conclusion has been reached and no assumptions should be made about whether competition law has been breached.

Advertisement

Shares in London-listed IHG fell by as much as 5 per cent in early trading on Monday, although the wider travel sector was also under pressure due to geopolitical tensions in the Middle East.

In the US, Hilton and Marriott shares each fell around 3 per cent, while CoStar, which has a market value of more than $18 billion, dropped approximately 2 per cent.

IHG and Hilton both confirmed they were cooperating fully with the CMA’s investigation. CoStar said it was surprised by the regulator’s interest in what it described as a “longstanding hotel data analytics and benchmarking platform” that has been used by companies and government bodies for decades.

Marriott did not immediately respond to requests for comment.

Advertisement

If the CMA concludes that competition rules have been breached, it has the power to impose fines of up to 10 per cent of a company’s global annual turnover.

The regulator can also offer immunity or reduced penalties to companies that report cartel activity early and cooperate with investigations.

The probe forms part of the CMA’s broader scrutiny of how digital tools and algorithms are used in pricing decisions across sectors.

The watchdog has increasingly focused on the intersection of competition law and technology, warning that algorithmic pricing systems, while potentially efficiency-enhancing, must not facilitate anti-competitive coordination.

Advertisement

The hospitality investigation comes amid a series of high-profile competition cases in recent years.

In November, the CMA opened investigations into eight companies over online pricing practices. Last year, seven major UK housebuilders agreed to contribute £100 million to affordable housing initiatives after the regulator found evidence of information sharing that may have affected competition.

The latest case underscores growing regulatory concern that data-sharing arrangements, even when mediated through analytics providers, could blur the line between legitimate benchmarking and unlawful coordination.

For the hotel sector, the outcome of the investigation could have significant implications for how pricing data is shared, analysed and used across the industry.

Advertisement

Jamie Young

Jamie Young

Jamie is Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting.
Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops.

When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs to inspire the next generation of business leaders.

Advertisement
Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

AMD: $600 Bullseye (NASDAQ:AMD) | Seeking Alpha

Published

on

AMD: $600 Bullseye (NASDAQ:AMD) | Seeking Alpha

This article was written by

Stone Fox Capital is an RIA from Oklahoma. Mark Holder is a CPA with degrees in Accounting and Finance. He is also Series 65 licensed and has 30 years of investing experience, including 15 years as a portfolio manager. Mark leads the investing group Out Fox The Street where he shares stock picks and deep research to help readers uncover potential multibaggers while managing portfolio risk via diversification. Features include various model portfolios, stock picks with identifiable catalysts, daily updates, real-time alerts, and access to community chat and direct chat with Mark for questions. Learn more.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock, you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal.

Advertisement

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Continue Reading

Business

Modular Medical prices $3.4 million stock offering at $4.50/share

Published

on


Modular Medical prices $3.4 million stock offering at $4.50/share

Continue Reading

Business

Oil prices jump as Strait of Hormuz tensions escalate

Published

on

Oil prices jump as Strait of Hormuz tensions escalate

Energy markets have seen wild swings since the US and Israel attacked Iran on 28 February.

Continue Reading

Business

Monopar presents Phase 3 Wilson disease trial data at AAN meeting

Published

on


Monopar presents Phase 3 Wilson disease trial data at AAN meeting

Continue Reading

Business

Sutro presents preclinical data on ADC pipeline at AACR meeting

Published

on


Sutro presents preclinical data on ADC pipeline at AACR meeting

Continue Reading

Business

The insider trading suspicions looming over Trump's presidency

Published

on

The insider trading suspicions looming over Trump's presidency

The BBC has found a pattern of spikes in trades ahead of public announcements by the US president.

Continue Reading

Business

Asian airlines report Europe demand surge as Gulf hub disruption shifts traffic

Published

on

Asian airlines report Europe demand surge as Gulf hub disruption shifts traffic


Asian airlines report Europe demand surge as Gulf hub disruption shifts traffic

Continue Reading

Business

UK’s Starmer faces parliament over Mandelson vetting as resignation demands swirl

Published

on

UK’s Starmer faces parliament over Mandelson vetting as resignation demands swirl


UK’s Starmer faces parliament over Mandelson vetting as resignation demands swirl

Continue Reading

Business

SBC Medical shareholder to sell 3.1M shares at $3.25 each

Published

on


SBC Medical shareholder to sell 3.1M shares at $3.25 each

Continue Reading

Business

Why your recycled clothes could end up in this South American desert

Published

on

Why your recycled clothes could end up in this South American desert

Old garments from around the world are being discarded in the South American country.

Continue Reading

Trending

Copyright © 2025