HILTON HOTELS: BRAND DIFFERENTIATION

THROUGH CUSTOMER RELATIONSHIP

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Sector InformationHospitality

Hospitality management involves dealing with people through out the day- with guests and colleagues in your own and other departments. The work culture involves good teamwork and leadership. Hospitality management is primarily concerned with food and the accommodation needs of the guest, and more importantly their comfort, at all times.

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Statistics showing largest hotel in terms of revenue in 2014.

InterContinental Hotel Groups (UK) – 22.8 billion US dollars

Marriott International (US) – 13.8 billion US dollars Hilton Worldwide (US) -10.5 billion US dollars Starwood Hotels & Resorts (US) – 5.98 billion US

dollars Accor (France) – 5.86 billion US dollars Wyndham Hotel Group (US) – 5.28 billion US dollars Hyatt Hotels (US) – 4.42 billions US dollars

*www.statistica.com

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Name of the Hotels GroupNo. of Hotels

No. of Rooms

Marriot International/ Starwood Hotel & Resorts Worldwide 5456 1071096

Hilton Worldwide Holdings 4480 737922

Intercontinental Hotels Group 4963 726876

Wyndham Hotel Group 7760 671900

Jin Jiang International/ Plateno Hotels Group 6000 640000

Choice Hotels International 6379 504357

Accor Hotels 3815 500366

Best Western Hotels & Resorts 3903 303768

Homeinns Hotels Group 2787 311608

Carlson Rezidor Hotels Group 1092 172234

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Top Ten Hotels In Terms Of Hotels And Rooms As On 30 Sept. 2015

0

200000

400000

600000

800000

1000000

1200000

No. of HotelsNo. of Rooms

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HILTON AT GLANCE It is the most recognized corporation

company Hilton hotel stands as the stylish,

forward thinking global leader for hospitality

Today Hilton is welcoming guests in its more than 4,700 hotels, resorts and time share properties comprising more than 775,000 rooms in 104 countries

It has more than 4000 employees working

It was founded by Conard Hilton in Cisco, Texas in 1919

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To fill the earth with the light and warmth of hospitality – by delivering exceptional experiences – every hotel, every guest, every time.

Vision

MissionTo be the most hospitable company in the world by creating heartfelt experiences for Guests, meaningful opportunities for Team Members, high value for Owners and a positive impact in our Communities.

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H-OSPITALITYI-NTEGRITYL-EADERSHIP T-EAMWORKO-WNERSHIPN-OW

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Matt HartPresident /COO

Ian CarterCEO/International

Tom KeltnerCEO/Americas

Tim HarveyEVP/CIO

Ernie WoodenEVP, Brands

Ken smithEVP, Operations

Americas

Bala Subramanian

SVP, Global Distribution Services

Doubletree

Conard

Embassy suites

Hamton inn

Hilton garden inn

Hilton

Homewood suites Waldorf=Astoria

Adam BurkeSVP, Cusomer Loyality HHonors

Ted RatcliffSVP, Operations-East

Steve CowanG.M., Doubletree &

Embassy Suites Crystal City

ORGANIZATION STRUCTURE

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History 1919 - Conrad Hilton buys The Mobley, a hotel in Cisco, Texas. 1925 - Conrad Hilton opens the high-rise Dallas Hilton, the first

hotel to carry the Hilton name 1927 - Hilton expands to Waco, Texas, and opens its first hotel with

cold running water and air-conditioning in public areas. 1943 - Hilton become the first coast-to-coast hotel group in the

United States after purchasing the Roosevelt and Plaza hotels in New York City.

1955 - Hilton creates its first central reservation office, called HILCRON. Reservations can be made at any Hilton by telephone, telegram, or Teletype

1965 - Launch of Lady Hilton, the first hotel concept designed exclusively for women travelers. Select hotels feature women-only floors and rooms, and provide special amenities tailored to women.

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History 1995 - The first Hilton website launches: www.Hilton.com 2000 – Acquired Promus Hotel Corp. pushed Hilton close to

1700 properties 2005 - Hilton Hotels Corporation bought back Hilton

Internationals. Bringing about 400 Hilton Properties 2006 - September announces the opening of the 1000 hotel in

North America since the acquisition of Promos 2011 - Hampton Hotels is named the #1 franchise opportunity

in Entrepreneur Magazine's Franchise 500® ranking 2013 - Hilton returns to the New York Stock Exchange, to trade

under the same ticker symbol HLT

BLACKSTONE GROUP The Blackstone group defined itself as “a leading

global alternative asset manager and provider of financial advisory services.”

It claimed the position of “largest private investor in hospitality worldwide and prior to the Hilton hotels acquisitions, owned more than 100000 hotel rooms including mid-tier brand La quinta and luxury brand LXR.

Hilton was taken private by Blackstone group for a reported $26 billion.

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Revenue and competitive measure by brand by year

*CASE DATA

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1 2 3 4 5 6$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

$300,000,000

$350,000,000

$400,000,000

Waldorf=Astoria collection

Room revenueADRRevPARRevPAR Index

ROOM REVENUE OF Waldorf=Astoria Collection

*CASE DATA

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1 2 3 4 5 6 70

5000000

10000000

15000000

20000000

25000000

30000000

2001 2002 2003 2004 2005 2006 2007

24824937248642912428215125803572274752612742128928626204 Total cellCall center data

CELL CENTER DATA

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CONVERSION RATIO

*CASE DATA

17*CASE DATA

CALL CENTER DATA

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Luxury segment

Full service

Focused service

Extended Stay Suites

Vacation ownership

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Competitors In The Market Starwood Hotels & Resorts Hilton Worldwide Marriott International InterContinental Hospitality Groups Accor Wyndham Hotel Group Hyatt Hotels

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Three main aspects of Hilton

OnQ

CRM

SALT

CRMCustomers

Really Matters

SALTSatisfaction And Loyalty

Tracking

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OnQOnline Profile

Pre-ArrivalArrival

In-Stay

Departure

Post Stay

Guest Profile

Manager Regardless of where or how a guest chooses

to make reservation,

company would know who they are

and how would they like to be

treated.

Before guests arrive, hotel could communicate with

and welcome themUpon the guest’s arrival hotel could serve and recognize them the way they choose.

During a guest’s stay, hotel can ensure accommodation

which include their preferences and could

exceed their expectations.

Upon departure, hotel could expedite check-out

according to the guest’s

needs.

After visit, hotel likes to know about the guest’s experience so that hotel could serve them better in future.

At the Hilton Family of Hotels, they are passionate about taking care of their best

Guests.

Hotels Unique Guest Experience

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How does CRM using OnQ works?

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Website

OnQ CRM

OnQ PROPERTY MANAGEMENT SYSTEM

Third party distribution channels

Traveler

OnQ RESERVATION Front

Desk Staff

Admin. Assistance

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WHAT IS CUSTOMER RELATION MANAGEMENT ?

“Customer Relationship Management” is all aspects of interactions and relationship that a company has with its customers.

Four categories of best guests

Active members under Hilton Honors programme 4+ - those guests were with four or more stay in a

year Fast Rez – guests who signed up for an online

reservation account Local VIPs

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CRM

Personalization

Identification and

Recognition

Customer

Analysis

Service Recovery

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SALT(SATISFACTION AND LOYALITY TRACKING)

Willingness to return

Overall experience of the customer

Ability of the customer to recommend

Improvements and suggestions

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Whether CRM is worth reinvesting or not?

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Option 1:- Elimination of CRM

Demands something new

Risk of Breakdown

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Option 2:- Effective use of data

Synchronization of OnQ & CRM

Needs consistency and flawlessly execution of work

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Thank you