HILTON HHONORS CASE STUDY

First, Hilton should spend the additional revenue to customize and differentiate current loyalty program to attract more prospect, create and retain loyal customers. Not the questions you were looking for? Competing by loyalty programs, all these hotel chains tend to increase reward value while they can not charge higher prices. Enter the email address you signed up with and we’ll email you a reset link. Second, Hilton can spend more money on the marketing efforts to reposition the brand, create brand passion and brand loyalty. Given the severe competition in the lodging industry, all major players are competing by introducing more generous loyalty programs.

This is a very positive issue for customers because they can earn the “desirable” points from many activities, such as car rental companies, airlines or partners like FTD florist and Mrs. We are the marketplace for case solutions – by students, for students. Unlock Case Solution Now! Further, Hilton should differentiate its brand by using brand loyalty to retain customers and improve customer loyalty. Additionally, becoming a loyalty program member gives another advantage to Hilton’s program. Nov 8, Case questions answered: Executive summary Hilton is running a loyalty program to create and retain loyal customers as its competitors do.

Looking at the Hhonors program from the perspective of the franchisee, stydy would you assess the value of having the Hilton brand on your property as opposed to having one of the Starwood brands.? What can also be described as the strength of this program is that the Hilton brand tries to come closer to its clients. The loyalty program can encourage them to spend even more.

Hilton HHonors Worldwide: Loyalty Wars – Case Solution

When customers are caes about the brand, they will stay and become truly loyal without participating in any loyalty program. Competing by loyalty programs, all these hotel chains tend to increase reward value while they can not charge higher prices.

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By doing so, both Hilton and its franchisees can have benefits because: As a result, their profit margins will decrease. First, Hilton stuyd spend the additional revenue to customize and differentiate current loyalty program to attract more prospect, create and retain loyal customers.

hilton hhonors case study

The value is greater than costs more than 19 times. Value chain of Hilton.

hilton hhonors case study

Second, Hilton can spend more money on the marketing efforts to reposition the brand, hiltton brand passion and brand loyalty. Not the questions you were looking for? The most important feature of the program that distinguishes itself from competitors is Double Dipping which lets guests earn milage for the same stay in partner frequent-flyer programs.

Executive summary Hilton is running a loyalty program to create and retain loyal customers as its competitors do. Newer Post Older Post Home. To begin with, the strengths of this HHonors program will be analyzed further down. Click here to sign up. We are the marketplace for case solutions – by students, for students.

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Hilton HHonors Worldwide: Loyalty Wars – Case Solution

Best decision to get my homework done faster! Case answers for Hilton HHonors Worldwide: Further, Hilton should differentiate its brand by using brand loyalty to retain customers and improve customer loyalty.

hilton hhonors case study

In order to do that, every hotel management should invest in its employees by training them on how to make customers feel that they are treated special. However, there is always space for improvement in every sector. Four major hotel chains are competing on frequent-stay programs at the same points: With mass-personalization strategy, employees are able to identify each customers wants and needs.

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Moreover, offering a very generous loyalty program has some risks: What are the strengths and weaknesses of the HHonors program.?

Consequently, if the customer chooses Starwood, he or she has more waiting time to use his or her points while paying very high staying cost because of its new frequent-guest program. Quantify the value of the Hhonors program to Hilton. It means that Hilton already passes the zero-profit point and makes profits. Therefore, it is worth to continue the program. On the other hand, Hilton HHonors guest reward program has a competative advantage over Starwood’s program because Hilton’s loyalty program has been successful compared to others in the hotel industry.

Hilton, therefore, can not compete with other chains by offering more attractive loyalty program. Once customers leave happy with the service at Hilton, they will come back no matter what other loyalty programs offer because most customers tend not to change their habits when they are satisfied.

What should Hilton do in response to Stawrwood? Strategic Marketing Management Name:

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