Impact Of Hilton Hotel

A brand is a powerful tool, especially in the hotel industry where services are intangible. Many hotels of the 21st century have made branding one of their top most priority with the realisation that hotel branding helps to set them apart from their competitors and create a firm customer base. Branding creates brand recognition, brand preference, increase customer satisfaction and most importantly, customer loyalty.

The hotel industry is a very hard industry to enter into, due to one of the biggest obstacles, which is brand recognition. Right now there are a few large hotel chains that make a large footprint in the market. It is hard for a new entrant to come into the industry and compete with these large hotel chains without bringing something new to the table. Many large chains in the industry dominate the industry due to economies of scale due to franchising.

Nonetheless thanks to the implementation of a corporate branding strategy the customers will immediately create a connection between the different properties of the company, thus extending these benefits to the whole company. As a result in the end the name “Rosewood” will become a status symbol and the value generated for the company will be greater than before. The customer brand awareness and loyalty will now refer to the entire company and no longer to the single property and I think this is particularly important in a luxury market. In fact the cost of a stay at a luxury hotel can be quite high and customer may not be willing to pay such a high cost if they are not aware of the quality of the service they are paying for. Therefore customers will probably keep visiting a Rosewood resort they have already stayed at but they are likely to choose a more known chain-like luxury hotel in case they need to find accommodation in another part of the world. On the contrary if the customer is able to create a connection among all the different Rosewood properties, he/she will perceive an equivalent quality throughout the resorts and know in advance that the service is worth the price he/she is paying. As result the property-specific loyalty will turn into a greater

The corporate branding strategy will create a sort of umbrella under which all the properties of the company will fall, thus sharing the same quality level in the customer’s perception. Moreover a strong corporate brand will ease the company identification and potentially increase the number of new guests through word of mouth, thus enabling the company to gain a bigger market share. Nevertheless the implementation of such a strategy will necessarily involve big costs and a structural change in the organization. Its culture, the way in which advertising is done, the facilities and supplies in each resorts, the way in which management operates will have to be adapted to the new branding strategy. Furthermore undertaking this action may let down some valuable customers who are particularly affectionate to a resort and may be afraid that it will lose its unique and individual features. Plus it might also disappoint some skilled hotel managers which may feel threatened in their autonomy and potentially leave the company. Retraining the whole body of employees to adapt to the new strategy may be expensive and time consuming as well.

This paper is designed for exploring the reasons for the success of Four Seasons Hotels and Resorts in Paris (Four Seasons). Four Seasons Hotels and Resorts is Canadian based international leading operator of midsized luxury hotels. Four Seasons has enabled guests to maximize the value of their time with providing high-quality and truly personalized service. Four Seasons was able to succeed with their unique strategy of dealing with cultural differences, unique corporate culture, and strategy of human

The numbers don´t lie, the luxury hotels industry is growing fast. But, are they positioning themselves correctly in the consumer’s head? Are they targeting the right client segment? And what are the triggers they use to attract their consumers?

It is of good marketing advantage that The Ritz-Carlton belong to a “chain of hotels” to benefit from brand image or loyalty. The stronger the attachment of buyers to established brands, the harder it is for a newcomer to break into the marketplace. (John E. Gamble, 2011) Furthermore, the limited availability of geographical land and hence, suitable locations for a hotel project in Singapore poses a challenge to new entrants. In conclusion, The Ritz-Carlton faces a rather low threat of new

Attractiveness of locations, quality of rooms & services, and company’s global operations are some of the key criteria for hotels.

The hotel industry lies under the hospitality industry which is international by its nature as it is derived from international tourists and international businesses hence it makes an economic sense for a hotel industry to be global and therefore it is coupled with tough internationalization of the chains (Members 2010). Levitt (1983) suggests that the core competencies of hotel companies are to implement

In 1985 Lufthansa bought shares in Kempinski, enabling the traditional German Hotel group to operate hotels abroad. Kempinski, Lufthansa and Rolaco S.A. formed Kempinski Hotels S.A. and the Company's head office was established in Geneva, Switzerland. Its mission was and still is to expand the group globally, while retaining distinctive and individual hotels with history or breathtaking modernity. (Hotels of the world, 2011)

Presently the importance of brand loyalty in context of the hotel industry has become a debated issue. In the hospitality sector, various researchers and scholars have represented different perspective regarding brand loyalty. This paper will focus on critical analysis of the article “Hotel Brand Strategy”. This paper will provide an insight to the implicit and explicit assumptions made by the authors of the article. Moreover, relevant evidences have been provided in order to support the fact that these assumptions have been presented by the authors. Additionally, this paper emphasizes on analyzing the logic behind the assumption in order to scrutinize the strength of the logics. The principal focus on this paper is to critically analyze the agreement and contradictions regarding the assumptions made in the article “Hotel Brand Strategy”.

Hotel guests rely on brand name to reduce the risk with staying at an otherwise unknown property in some a hotel brand represents a relationship with guests.

Brand name in the hotel industry offers tangibility to the intangible services provided by the hotels.

Challenge to the assumption: Brand name may become a large concept hampering the other services of the hotel. (Pike, 2005) argued that adoption of high branding strategies makes it difficult for the hotel managements to come out of the brand image and establish any personal image in the mind of the consumers.

In addition to tangible and intangible attributes, previous studies also suggest that hotel choice decision is a holistic concept that may go beyond the simple combination of these attributes. Utilizing the concept of brand personality, it was suggested that customers may link their perceived hotel attributes associated with the brand and develop a sense of loyalty and preference when making their hotel choice decision (e.g., Lee & Back, 2010; Li et al., 2014).