Hilton’s diversified portfolio with 11 world-class brands

Hilton’s diversified portfolio

Hilton’s goal is to serve any customer, anywhere in the world, for any lodging need that they have. The company has a portfolio of 11 world-class brands. Hilton’s portfolio allows it to accomplish this goal. Hilton provides a widespread choice of hotels with varying service levels and customer amenities to suite travelers’ purposes and budgets.

The hotels that Hilton operates are classified under the following four categories:

• Luxury hotel brands – It includes Waldorf Astoria and Conrad Hotels and Resorts. It provides accommodation facilities in famous destinations around the world. It has spa, fitness, and business facilities. It includes high-end restaurants, golf courses, and 24-hour room service. It also has facilities for meetings, weddings, and special events.
• Full-service brands – It includes Hilton Hotels and Resorts, Double Tree, Embassy Suites Hotels, and Curio. It has facilities for meetings and weddings. It has banquet facilities, restaurants and lounges, food and beverage services, swimming pools, gift shops, and retail facilities. Embassy Suites Hotels provides two-room guest suites with a separate living and dining area. It also provides a complimentary breakfast.
• Focused-service brands – It includes Hilton Garden Inn, Hampton Inn, Homewood Suites, and Home2 Suites. Hilton Garden Inn ensures that its guest get the basic facilities. It’s moderately priced with limited food and beverage facilities. Homewood Suites and Home2 Suites provide the comforts of home. They offer laundry facilities. They have a pet friendly policy for their extended stay travelers. The travelers stay from a few days to even a few months.

• Timeshare brand – Hilton Grand Vacation provides high-quality service and amenities to its members. In a timeshare form of ownership, multiple parties are given the right to use the property for a pre-specified time period. A more detailed explanation of timeshare properties is provided in Part 8 of this series. In this segment, Hilton (HLT) competes with Marriott’s (MAR) Marriott Vacation Club, Starwood’s (or HOT) Starwood Vacation Ownership, Hyatt’s (H) Hyatt Residence, and Wyndham’s (WYN) Wyndham Vacations Resort. Most of these companies are part of exchange-traded funds (or ETFs) like the PowerShares Dynamic Leisure and Entertainment Portfolio (or PEJ), the First Trust U.S. IPO Index Fund (or FPX), and the Consumer Discretionary Select Sector SPDR Fund (XLY).

In the next part of the series, we’ll discuss the previously mentioned brands. We’ll analyze which brands hold a larger share of rooms and hotels.