For the hotel industry, there is a way to get development dollars even without building a hotel. Major companies such as Marriott International and Hilton are finding inventive and creative ways to get development dollars invested in their projects and without having to build a hotel. Discover how these innovative methods could revolutionize the hotel development space.
1. No Vacancy? No Problem: Marriott and Hilton Capitalizing on Opportunities
Staying ahead of the competition is key for the hotel business. At the waters edge stands two corporate giants scrambling for customers: Marriott and Hilton. Both striving to stay one step ahead of their rivals. With a constantly changing hospitality market, these powerhouses have had to innovate in order to remain successful.
How have Marriott and Hilton tackled the challenge of no vacancies? They might not be getting as many customers as before, but they’ve identified how to turn the tables.
- They’ve invested in creative marketing campaigns.
- They’ve expanded their digital presence.
- They continue to introduce new, modern facilities.
- They’ve seen opportunities for diversification.
Marriott is no stranger to developing diverse businesses, recently launching its own line of luxury condos and vacation rental services. Likewise, Hilton has boosted its portfolio of sub-brands such as Curio and Tapestry, adding value to their customers’ trips and giving them more choice.
Such strategic thinking has kept both companies ahead of the curve, ready to cater to any customer, at any time. They’ve capitalized on opportunities to carve out success. Even when the market has been saturated beyond capacity these businesses have persisted, proving they’re at the top of their game.
2. Seeking New Opportunities: Marriott and Hilton Expand Their Reach with Development Deals
Leading hospitality giants Marriott and Hilton have both announced ambitious expansion plans for 2020. The two companies have each signed multiple development deals in the US and across the world to open new hotels and experiences in promising markets.
The deals both companies have made paint a picture of an expanding global reach. Marriott has entered into development agreements for nearly 24,500 additional rooms in 30 countries as part of their “Spirit to Serve” campaign. These deals include:
- Uber-luxurious resorts in the Maldives and Africa
- Raising their existing presence in Mexico
- 300 new hotels in Europe
Similarly, Hilton has announced a major expansion into China, expecting to open up to 150 hotels over the next few years. They have also entered into deals for 80 properties in Africa and 42 in the Middle East as a part of their ‘Travel with Purpose’ initiative. These properties range from iconic towers to smaller luxury resorts.
3. Marriott and Hilton Invest for the Future: Partnerships Prove Profitable
As two of the world’s most renowned hospitality companies, Marriott International and Hilton have both invested heavily in the future of hotel operations. In recent years, they have both begun to explore how strategic partnerships can increase profitability and strengthen their holdings.
Recent partnerships have yielded impressive results for both companies. Marriott embassies in the Caribbean for example, have become a hot destination for luxury resorts and private beachside homes. The collaboration with multiple construction firms has yielded exclusive beach access for its ‘Embassies by Marriott’ locations. With each project, Marriott earns generous commissions, local land development fees, and other bonuses that resemble more of a startup methodology than a business plan as usual.
Hilton meanwhile has focused its efforts on forming partnerships with attractions in their destination cities. For instance, Hilton Hotels in Washington DC have become an escape for tourists who can enjoy discounted tickets to the Smithsonian Institute, The White House, and numerous other attractions with their stay. Additionally, Hilton has even pursued joint ventures with AirBnB, allowing more diverse options for their customers.
Both Marriott and Hilton are perfect examples of how partnerships, strategic investments, and innovation can create longterm profitability for businesses in the hospitality industry.
4. A Bright Future for Marriott and Hilton: Exploring New Avenues for Development Dollars
As two of the major players in the hotel business, Marriott and Hilton have been steadily increasing their investment in new avenues of development. From renovating existing buildings to launching modern, cutting-edge amenities, these large chains are paving the way for the future of the hospitality industry.
An obvious route taken by both companies is their expansion into electronic services. They have heavily invested in digital solutions such as mobile apps, in-room technology, and high-speed reliable internet. This allows customers to have an easy and convenient experience, as all their needs are provided directly to their fingertips. Additionally, Marriott and Hilton are now investing in artificial intelligence and autonomous robots to improve the quality of customer service.
Furthermore, both chains have been venturing into the realm of sustainability. Marriott now has a program that commits to using green energy sources and reducing its carbon footprint. For Hilton, it has been promoting green initiatives such as water conservation and plastic-free amenities.
This forward-thinking outlook is setting both companies on a promising path. In the near future, Marriott and Hilton are expected to come up with more modern services and amenities, making them even more appealing to customers and providing the best hospitality experience.
The hospitality scene is changing rapidly as developers switch up their methods to attract large hotel chains such as Marriott and Hilton. Despite the odds, developers are finding success with this new approach to hospitality. For more updates on this trend, be sure to stay tuned!