Hilton, a leading hotel brand, owns over 4,080 properties around the world. The company manages these hotels for a fee or through consultant privileges.
The company has a strong focus on service standardization and integration of IT systems. It also keeps a keen eye on customer satisfaction. This helps to keep Hilton relevant and grow despite global economic downturns.
Business model
The Hilton brand has a strong network effect and is known for its clean rooms, standard service and consistent quality. The brand also offers a high RevPAR that drives solid financial returns for hotel owners, customers and investors.
Unlike other large global hotel chains, Hilton operates an asset-light business model in which it franchises its brands to hotels owners. This model enables it to scale its business quickly without having to invest in properties and buildings itself.
It has grown its systemwide room count by 50% since 2007 which is much higher than the industry average. This trend is driven by a number of factors including the growth of managed and franchised hotels in the Hilton portfolio.
In this model, third-party owners pay a franchise fee or management fee to use the Hilton name and logo. This allows Hilton to focus on building its brands and delivering a superior customer experience. The company also ensures that the properties are in compliance with its standards.
Room types
Hilton has a variety of room types at its properties. They range from standard hotel rooms to spacious suites and even executive rooms at some hotels. In addition to offering standard amenities, they often offer special perks like a free breakfast or free WiFi. They also offer a variety of room upgrade options at different levels. For example, Gold members receive a food and beverage credit of $10-$25 at most Hilton properties in the United States or complimentary continental breakfast abroad. They also receive lounge access at properties with an executive lounge and can get a room upgrade up to the executive level.
The rooms at this hotel are cool and contemporary, featuring wall murals designed by a local artist and some have full views of Discovery Green Park. They’re also well-equipped with modern furnishings, minifridges, Illy coffee makers and walk-in rainfall showers. The property is an easy walk to Times Square and offers great proximity to the subway station.
Pricing
The pricing of a Hilton stay is not for the faint of heart, but the company does have an impressive number of properties and rooms in their stable. Using the Points explorer tool, you can find a variety of options based on location and points of interest like price, size and room type. It’s not hard to see why Hilton is the world’s largest hotel brand by some margin. It’s also no surprise that they have a good eye for their award winning marketing and advertising campaigns.