CHICAGO—GlobeSt.com was in attendance recently with Hilton, along with First Hospitality Group Inc., at the opening party of its newest hotel, the company's first tri-branded property, which includes Hilton Garden Inn Chicago McCormick Place, Hampton Inn by Hilton Chicago McCormick Place and Home2 Suites by Hilton Chicago McCormick Place as previously reported. Earlier in the day, we caught up with Hilton's Bill Duncan, global head of all suites and focused service category, along with other Hilton and First Hospitality Group executives on what it means to have a multi-brand strategy, the benefits, challenges and much more.

For Hilton, Duncan said, multi-brand properties increase market share in an economically efficient manner and capitalize on favorable market conditions. In addition, he said, it allows for Hilton to break into high barrier-to-entry markets, like urban and “surban” locations. Hilton currently has a footprint of more than 85 open, multi-brand properties, with an even larger pipeline of multi-brand projects in development around the globe.

“This hotel brought innovation into this market,” Duncan told GlobeSt.com. “This property signifies what this can be, and what this will be. We continue to work on optimizing and perfecting the model and will continue to work on tech enhancements, operational enhancements and more. We are always looking at what we can do better.”

One of the most important things when doing multi-brand is maintaining each brand's identity. John Greenleaf, global head of Hilton Garden Inn, said that while the benefits include realizing operational efficiencies and having food and beverage options that far exceed what they would be with one brand alone, the brand's unique identity cannot be compromised. It offers guests a real experience.”

Stephen L. Schwartz, chairman and CEO of First Hospitality Group Inc., says that this particular this particular piece of real estate in this area was perfect. “It all came together and we were able to create a unique experience, but still keep the brand's integrity. We could efficiently deliver but maintain integrity of the brands and all the stars aligned. There were not a lot of product to compete with.”

From the guests perspective, the benefits of multi-brand properties for guests, according to Duncan, are that they enhance the overall guest experience with unique communal areas and amenities, which benefit both business and leisure travelers. “You need to know the opportunities and look at pockets to solve for a need that guests didn't know they had,” said Greenleaf.

“Hilton is passionate about delivering exceptional travel experiences and continually looking for opportunities to add value for our guests,” he explains. “This milestone tri-brand property embodies that spirit. Bringing together these three category-leading brands and their signature, yet distinct, offerings under one roof provides travelers with a wealth of shared amenities, and the opportunity to enjoy the warmth and hospitality of Hilton through an innovative lodging option that fits a variety of travel needs and desired price points.”

Along with each brands' signature offerings aimed at ensuring comfort, convenience and productivity for their respective guests, the hotel also provides larger and enhanced communal areas and amenities than what would be standard at a standalone property. These include an expanded exercise room, indoor pool, 24-hour business center and 10 flexible event/meeting spaces totaling nearly 7,000 square feet, as well as a wealth of added food & beverage offerings.

For owners and developers, a multi-brand model maximizes resources, minimizes costs, and allows owners and developers to pool resources from each brand's support team. It also allows for shared construction and zoning, while providing savings on operational costs. “Additionally, the combination of different hotel categories allows the owner to target multiple guest segments in one location,” he explains.

Jared Heglin, general manager for the Hiltons at McCormick Place, told GlobeSt.com that that having a tri-branded model allows for flexibility. “We have so many ways to manage the channels and different price points we can achieve.”

Duncan adds that meeting spaces can optimize overall performance. “You can really optimize performance.”

Adrian Kurre, global head for Home2 Suites by Hilton, adds that what is important is figuring out the right algorithm. “You have to think about what is the right way to sell it and how do you maximize it. How do you maximize and mix that in a way to drive the highest revenues and returns? We have to maintain consistency with the brand.”

Instant Insights /

Maintaining Brand Integrity Is Key in Multi-Brand Property Success

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