ORLANDO—After earning the highest ranking among upscale hotel chains by JD Power and Associates’ 2014 North American Guest Satisfaction Index Survey, Hilton Garden Inn celebrated its recent accomplishments at the brand’s 2015 conference held January 5-6 at Hilton Bonnet Creek located here.
“We had the very best year in the history of our brand,” said Don Willingham, VP, brand performance support, Hilton Garden Inn. “There’s never been a better time to be in this industry and apart of our brand. Hilton Garden Inn is the fastest growing, most innovative brand in our category. We are the clear leaders and that is cause to celebrate.”
Based on year-to-date (YTD) September 2014 findings in the brand’s 2014 Performance Review, Hilton Garden Inn saw significant growth in Revenue Per Available Room (RevPAR), Occupancy and Average Daily Rate (ADR). The brand increased ADR by 8.1% to $97.54, occupancy increased 3% to 79% and ADR climbed to 3.1% to $126.81.
Hilton Garden Inn achieved these recent milestones ensuring that key tactics were aligned with three strategic priorities: 1) driving revenue, 2) encouraging loyalty, and 3) increase profitability. “How did we grow revenue in 2014?” Willingham asked a crowd of 1,500 attendees. “It’s because of you. You made smart revenue management decisions.”
Willingham attributed RevPAR growth to the brand’s new revenue management system—GRO (Global Revenue Optimization). “We’re big believers in GRO and what it can do for your hotels,” he added.
The brand’s marketing and Hilton HHonors team received praise for managing promotions to boost weekend occupancies while the Hilton Garden Inn sales team was applauded for helping to secure accounts, further driving revenue. The brand’s preferred account program, which is a joint initiative with the Hampton Hotels brand, generated $79 million in revenue for Hilton Garden Inn alone.
“And our grassroots sales blitz in October 2014 encouraged sales teams to hit the pavement and sell in their backyards,” Willingham said. “We received more than 1,700 leads totaling $14.3 million in revenue.” For 2015, the brand’s goal is to drive rate.
In an attempt to maximize rate, Hilton Garden Inn is currently developing a new premium guestroom type. “The premium room options will help you to take advantage of upselling opportunities and grow your mix of business and also attract new business to your hotel,” said Mark Nogal, global head, focused service brand management, EMEA, Hilton Worldwide. The brand is still in early stages of development of the room type. Details were not made available.
With 618 hotels in 22 countries, Hilton Garden Inn continues to grow. The upscale, mid-priced hotel brand opened 38 new properties in 2014, including 30 new hotels in the U.S. Nogal highlighted the brand’s expansion throughout the globe in 2015, with new openings in destinations such as four in China, three in Turkey and two in Italy.
To expand the brand’s message, the Hilton Garden Inn marketing is developing audio branding, which will be released later this year. The upcoming audio branding would offer a trademark function of identifying the commercial origin of products or services among guests.