For Hilton, focusing on building direct customer relationships, improving loyalty, and launching new brands will always be top priorities, at least for this year.
We're calling 2017 as the year when loyalty becomes an even bigger focus for hotels, if it isn't already. Why? Because there's no better time than now to try to capture a consumer's loyalty, or to engage with them, even if the landscape is becoming a lot more competitive, and consumers, overall, aren't quite as "loyal" as they used to be.
We're surprised no other hotel loyalty programs have yet attempted to do what Hilton is doing here. These updates, for the most part, reflect an acknowledgement on Hilton's part that no two hotel guests are the same, and that loyalty programs designed solely for road warriors aren't enough to compete in today's increasingly competitive loyalty landscape. Side note: We're so happy they decided to drop that extra (and very unnecessary) "h" in Hilton Honors, too. Oh, and it's just Hilton now, not Hilton Worldwide.
Even though every day with the new Trump administration seems unpredictable, early signs have convinced many in the hotel industry that this might just be the year that corporate travel rebounds from its 2016 slump. However, given the new executive order banning travel from seven Muslim-majority countries, some executives throughout the travel industry may be rethinking their outlook on corporate travel.
Both CEOs made the case for their respective causes, which would ultimately benefit not only their respective businesses and customers, but the travel industry a whole.
We already knew Hilton feels it needs more brands to compete, but weaving this particular "soft brand" into the fold, for lack of a better description, feels a bit like it's more of a blanket statement kind of brand, than one with a truly carved out identity. Or one that doesn't "occupy the same swim lanes" as some of Hilton's other brands — something Hilton CEO Christopher Nassetta has been critical of, in particular, with his company's biggest rival, the 30-brand juggernaut, Marriott.
Unlike Marriott CEO Arne Sorenson, Hilton CEO Christopher Nassetta finds a bit of optimism in the new U.S. administration change, at least when it comes to corporate business travel.
Hilton's decision to enroll in TripAdvisor Instant Booking while the chain is dedicating huge resources into convincing consumers to book direct on Hilton sites is an admission that it needs third-party distributors. TripAdvisor is a favored partner for the moment because it's cheaper than Expedia and the Priceline Group for the chain.