According to the latest Brand Finance report, Hilton has once again emerged as the world’s most valuable hotel brand in a dynamic global hospitality market. Despite a resurgence in leisure and tourism, many top hotel brands struggle with brand value growth. Hilton, boasting a brand value of USD11.6 billion, maintains its dominance for the ninth consecutive year, a testament to its enduring appeal and strategic brand management.
Exceptional Performers: Hilton and Taj
Hilton’s consistent performance is highlighted by its position as one of the only two hotel brands, alongside Hyatt, featured in the Brand Finance Global 500 2024 ranking. Hyatt’s second spot, with a brand value of USD 6.0 billion, underscores the brand’s resilience in a challenging market landscape.
The report also celebrates India’s Taj as a standout performer, recognized as the world’s strongest hotel brand with an impressive AAA+ rating. Taj’s brand value soared by 45% to USD545 million, propelled by significant revenue growth and an enhanced brand strength index (BSI) score of 92.3 out of 100. This remarkable achievement positions Taj as a leader in the global hospitality sector, excelling in metrics like familiarity, consideration, recommendation, and reputation.
Spanish Brands on the Rise
Spain’s hotel brands have shown notable growth, with two new entrants debuting in this year’s ranking. Occidental, entering at 42nd with a brand value of USD318 million, and Meliá at 43rd with USD312 million, reflects the increasing competitiveness of Spanish hospitality brands. NH Hotels, Spain’s most valuable hotel brand, recorded an 18% increase in brand value to USD 770 million, while Barceló experienced a 12% rise to USD 683 million. These gains highlight the robust performance of Spanish hotel brands in a recovering market.
Sector-Wide Insights
Despite these success stories, the report indicates that eight out of the top ten hotel brands have seen a decrease in brand value. Over 60% of US brands featured in the ranking also noted declines, signifying ongoing challenges in capitalizing on brand growth potential despite rising demand. Henry Farr, Associate Director at Brand Finance, stated, “Many top hotel brands have struggled to grow their brand value as robustly as in the years leading up to 2020. The actual growth hasn’t matched expectations, resulting in slight declines or minimal brand value growth for the world’s leading hotel brands.”
Leisure and Tourism Brands Thrive
For the first time, Brand Finance unveiled the world’s top 25 most vital and most valuable leisure and tourism brands, with a combined brand value of USD59.1 billion. Booking.com, Airbnb, and Trip.com Group are leading the pack, each achieving double-digit brand value growth. Royal Caribbean, with a 58% increase to USD 4.1 billion, has climbed to fourth place, becoming the sector’s second-fastest-growing and second-strongest brand globally. Tokyo Disneyland, debuting in sixth place with a brand value of USD 2.7 billion, has emerged as the world’s strongest leisure and tourism brand with an AAA+ rating.
The Brand Finance report underscores the resilience and strategic agility of top hotel brands like Hilton and Taj while highlighting the competitive strides made by Spanish hotel brands. As the leisure and tourism sector continues its resurgence, the industry faces a dual reality: rising demand yet ongoing challenges in achieving robust brand value growth. The performance of these leading brands offers critical insights into the evolving dynamics of the global hospitality market.
Written by: Kanda Limw
