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Hilton International
has said it is determined to tackle practices that create customer confusion and limit choice when booking Hilton hotel
rooms - David Michels, CEO of the Hilton Group stated that the company will cut ties with distributors who persist in
operating misleading pricing practices and demand inequitable conditions.
David Michels
commented, “We both value and intend to grow our relationship with online and offline distributors. Unfortunately some distributors increasingly promote hotels that
deliver them the highest margin, rather than offer full choice to customers. We will cut ties with any distributor that
misrepresents our products in any way.
David Michels added: “Today, the threat from such distributors is not significant for Hilton, however unreasonable practices
regarding both our customers and our hotels need to be nipped in the bud in order to protect future profitability.”
Hilton also announced the signing of a new deal with lastminute.com, giving
the online distributor full access to Hilton’s inventory, stating it
was one of the first moves towards more customer friendly practices.
Hilton’s main objectives are:
· Sales Transparency; ensuring all available Hilton deals are promoted, rather than just those that offer the highest reward for
the distributor
· Fair payment terms: all distributors pay on time to standard terms
· Equitable Commissions; ensuring rewards are based on the value added by the distributor
· Predatory Marketing: ensuring the Hilton brand is not abused
· Balanced inventory risk; sharing the risk of room allocations between Hilton and the distributor
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Hilton
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