First read is on us.

Subscribe today to keep up with the latest travel industry news.

Hilton Sees Filling Rooms on Weekends as New Trend


Skift Take

For chains such as Hilton Worldwide, which attract their share of business travelers, figuring out a way to fill rooms on the weekends is a constant challenge. Hilton is making progress, though, and perhaps the trend of road warriors tacking on leisure trips could be a contributing factor.

Hilton Worldwide saw its occupancy rate in the Americas rise 2.9 percentage points to 79.7% in the third quarter, and a chunk of that was generated by filling rooms on weekends.

CEO Christopher Nassetta told analysts during the company's third quarter earnings call today that the chain is getting "much better" at driving demand on Fridays, Saturdays and Sundays, adding that this leads to incremental profits when Hilton Worldwide can fill those rooms with leisure travelers at reasonable rates.

"I think this is the new norm," Nassetta said, adding that Hilton Worldwide's market share on weekends has been increasing.

"Next year there is more to do about being intelligent on weekends and off-peak times and how we revenue-manage," Nassetta said.

Systemwide, Hilton Worldwide's occupancy rate in the third quarter increased 3.1 percentage points to 79%.

Occupany rates rose globally during the third quarter at every Hilton Worldwide brand, including Waldorf (0.4 percentage points), Conrad (6.8), Hilton (2.8), DoubleTree (2.8), Embassy Suites (1.8), Hilton Garden Inn (3.5) and Home2 Suites (7.1).

The Waldorf Astoria New York Deal

In other news, Nassetta said he's confident that Hilton Worldwide's nearly $2 billion sale of the Waldorf Astoria New York to Chinese company Anbang Insurance Group will close on schedule before the end of 2014 despite security concerns raised by the U.S. government.

The property is slated to undergo an extensive renovation under the new owner and that raised eavesdropping issues because for years the Waldorf Astoria New York has housed the U.S. ambassador to the United Nations.

Nassetta said Hilton Worldwide approached the U.S. government "unilaterally" as part of the Waldorf Astoria New York deal. He said the hotel chain and the U.S. government have been conducting "informal discussions" about the matter and he's confident the transaction will close on time.

Up Next

Experiences

How Travel Brands Can Seize the ‘Q5’ Opportunity on TikTok

Driven by increased spending on experiences and the digital habits of younger audiences, TikTok has emerged as a key platform for inspiring and shaping travel decisions. Leveraging the platform’s reach early in the year presents a unique opportunity for travel brands to connect with eager travelers.
Sponsored
Short-Term Rentals

Inside the Vacasa Bidding War — The Unfolding Battle

With Davidson Kempner's latest bid for Vacasa at $5.83 per share and the Vacasa board-endorsed bid from Casago at $5.30 per share, one thing is certain — this is not the end of the story.