Hilton Case Study
Problem Identification
The problem identified is that Hilton HHonors need to decide how to approach a different positioning stand and focus on differentiating its loyalty program from the recently announced Starwood Preferred Guest and other competitors rather than to match their program with Preferred Guest. It is recognized that other competitors such as Hyatt and Marriot who are part of the big players in the hotel industry have not respond to Starwood’s announcement. Thus, Hilton will need to decide how to differentiate HHonors from other competitors. Identification of alternatives
One alternative is that Hilton should focus on positioning HHonors program as being able to offer a better loyalty program. This should be approached by seeking more strategic partnerships and develop collaborations for promotion activities. Additionally, Hilton should consider on communicating their ability of being able to deliver more ways for members to earn rewards faster and more choices of rewards to earn.
Another alternative is that Hilton should focus on communicating the flexibility services of HHonors program that can be offered to their members and this should be conducted by conveying to customers a consumer-oriented message in their advertising program (Refer to Exhibit 2). Hilton should approach to conveying their flexibility in providing services by building a strong message tagline which enable guests to relate emotionally to the Hilton brand.
Another alternative is that Hilton should focus on communicating specific benefits which only their loyalty program is able to provide over its other competitors (Refer to Exhibit 3). This includes focusing on the benefits which other competitors are not able to provide, thus proving to guests that HHonors program is unique compare to others, gaining a unique selling proposition (USP) which enables brand recognition in the market.
Evaluation of Criteria Solutions | Criteria 1: Financial Cost (Weight= 0.2) |
The problem identified is that Hilton HHonors need to decide how to approach a different positioning stand and focus on differentiating its loyalty program from the recently announced Starwood Preferred Guest and other competitors rather than to match their program with Preferred Guest. It is recognized that other competitors such as Hyatt and Marriot who are part of the big players in the hotel industry have not respond to Starwood’s announcement. Thus, Hilton will need to decide how to differentiate HHonors from other competitors. Identification of alternatives
One alternative is that Hilton should focus on positioning HHonors program as being able to offer a better loyalty program. This should be approached by seeking more strategic partnerships and develop collaborations for promotion activities. Additionally, Hilton should consider on communicating their ability of being able to deliver more ways for members to earn rewards faster and more choices of rewards to earn.
Another alternative is that Hilton should focus on communicating the flexibility services of HHonors program that can be offered to their members and this should be conducted by conveying to customers a consumer-oriented message in their advertising program (Refer to Exhibit 2). Hilton should approach to conveying their flexibility in providing services by building a strong message tagline which enable guests to relate emotionally to the Hilton brand.
Another alternative is that Hilton should focus on communicating specific benefits which only their loyalty program is able to provide over its other competitors (Refer to Exhibit 3). This includes focusing on the benefits which other competitors are not able to provide, thus proving to guests that HHonors program is unique compare to others, gaining a unique selling proposition (USP) which enables brand recognition in the market.
Evaluation of Criteria Solutions | Criteria 1: Financial Cost (Weight= 0.2) |