Hilton has extended its lead as the world’s most valuable hotel brand while the total value of its brand portfolio, overtaking Marriott’s, according to the latest report by Brand Finance, the world’s leading independent brand valuation consultancy.
Hilton’s brand value growth (up 17%) was largely driven by strong revenue increase over the last year, cementing the brand’s leadership position in the industry.
Meanwhile, Marriott suffered a reduction in brand value (down 8%). Marriott has faced several challenges in the North American market from hacking scandals to persistent problems with its loyalty schemes.
At the same time, the combined value of Marriott’s brands within the Brand Finance Hotels 50 ranking decreased by 30%, giving way to Hilton’s brand portfolio to claim the title of the world’s most valuable.
Hilton’s strategic approach to brand growth has allowed it to extend its lead as the world’s most valuable hotel brand. At the same time, endorsement from the flagship brand has rendered benefits across the portfolio as Homewood Suites, Double Tree, and Hampton have seen their brand values sore.
Hilton has continually committed to its relentless expansion programme and with thousands of new rooms and hotels in the pipeline, the company shows no signs of slowing down in the coming year.
Marriott has not fared so well, with four of its brands dropping out of the Brand Finance Hotel 50 ranking this year. With one new entrant, Marriott now has twelve brands in the ranking, many of which have nevertheless decreased in value. Marriott’s recent announcement of entering the home-rental market however, is a promising move to take back market share from Airbnb and could contribute to an uplift in brand value in the coming year.