Essay on Hilton Worldwide: A Global Hospitality Company

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Hilton Worldwide is an American global hospitality company. It is owned by the Blackstone Group, a private equity firm. As of August 2012 Hilton brands encompass 3,897 hotels with over 642,000 rooms in 91 countries. Hilton HHonors is Hilton's guest loyalty program in which frequent guests can accumulate points and airline miles by staying with the various Hilton family of brands. The Hilton Honors program is one of the largest programs of its type with over 30 million HHonors members. The program has partnerships with most major airlines where guests can "Double Dip" and accumulate both points and airlines miles simultaneously with their hotel stay. Similar to frequent flyer programs there are various tiers of membership which guests can…show more content…
The competitive advantage that Hilton derived from the “HHonors” is apparent. The use of Information Technology in loyalty programs provides access to information of consumers that can be analyzed for decision making purposes. Information collected from consumers can be stored in data warehouse and analytical tools applied to it can provide business intelligence that will give businesses a competitive advantage. Trades and coupons are not differentiating factors because they can be easily emulated by competitors • Modern FMPs are more sustainable because they can withstand emulation due to the following reasons: o FMPs can provide individual customised experiences for each consumer o Data ware housing capabilities of computers has made information required for such customization easily available o FMPs can benefit alliances through mutually beneficial loyalty programs o FMPs also help in segmenting customers and formulate customized services to each segment. 2. What are the benefits of HHonors Program to Hilton? HHonors program benifited Hilton on following methodologies: 1. Gauge the customers’ characteristics which in turn would lead to better revenue and yield management. 2. Transfer of benefits which helped both Hilton and its partners which allowed both sides to earn currencies through joint customers. 3.By enhancing
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