Hiltom Program

HILTON HHONORS WORLDWIDE:
LOYALTY WARS
GROUP 7

‡ About Hilton Hotels
The most recognized name in the industry, Hilton Hotels stands as the stylish, forward thinking global leader of hospitality. Today Hilton welcomes guests in more countries than any other full-service hotel brand, with more than 530 hotels and resorts in 76 countries across six continent.

HILTON HOTEL BRANDS

Loyalty program

Luxury

Full service

Focused service

Time share

LOYALTY MARKETING PROGRAMS

HOTEL INDUSTRY
‡ Chain brands supplied reservation services, field sales operations and loyalty program administration.
‡ Less standardization of operations.
‡ Chains managed one another's brands.

CONSUMERS
‡

nly 41% of consumers use hotels over night.

Three segments of customers:
‡ Business segments
‡ Convention segments
‡ Leisure segments

COMPETITION
Four global brands dominated business class Hotel markets.  Starwood
 Hyatt
 Hilton
 Marriot

MARKETING THE HILTON BRAND
‡ Hilton hotels were controlled by unrelated corporations.  Hilton Hotels Corporation(HHC)
 Hilton International Corporation(HIC)
‡ Reunified in 1997

‡ Bollenbach appointed as president and CEO of
Hilton.
‡ Focus on Brand development.
‡ Varying product has been a limiting factor.
‡ Challenge to maintain customer expectation.

‡ The revenues reached $158 per night per guest.
‡ Occupancy exceeded break even.
‡ Fixed costs at about 68% occupancy and 80% at higher occupancy level.

HILTON HHONORS PROGRAM
‡ Hilton HHonors worldwide - not as a profit center but as a service.
‡ Required to measure the effectiveness through set of metrics. ‡ Membership was provided free of cost.
‡ Members earned points during their stay at HHC or
HIC hotels.
‡ When earned enough points stay at the hotel is redeemed. Four tiers of membership
 Blue
 Silver
 Gold
 Diamond

BLUE
‡ HSW credited 10 points per eligible dollar of folio.
‡ Guests