According to the latest report by Brand Finance, the world’s leading independent brand valuation consultancy, these hotels are the fastest-growing brands.
The 3 fastest growing hotel brands in 2019:
This year they all come from Hilton’s portfolio:
Their impressive performance was led by Homewood Suites (brand value up 99% to US$0.8 billion), followed closely by Double Tree (up 79% to US$2.1 billion) and Hampton (up 78% to US$3.2 billion).
This growth allowed the latter two brands to reshape the ranking’s top 10, with Double Tree jumping from 17th to 7th and Hampton rising from 10th to 5th place over the past year.
The 3 fastest-falling brands in 2019:
Westin – down 46%, Residence Inn – down 46%, and Sheraton – down 44%), and altogether 7 out of the bottom 10 worst-performing brands, are part of the Marriott portfolio, dragging its combined value down.
Mercure is world’s strongest hotel brand
According to these criteria and scoring high in Brand Finance market research, Mercure has claimed the title of the world’s strongest hotel brand. Mercure is also the most valuable brand in Accor’s portfolio, with nearly 800 hotels. The brand has continued to make several acquisitions through its scheme of franchise growth.
TUI closes in on Royal Caribbean
Alongside analysing the world’s biggest hotel brands, Brand Finance also ranks the top 10 most valuable brands in the wider leisure and tourism industry.
Royal Caribbean International has narrowly retained its position as the world’s most valuable leisure and tourism brand, with its brand value remaining steady at US$3.8 billion.
The brand reported strong financial results in 2018, and with demand high in the cruise industry, Royal Caribbean are on course for future growth.
Meanwhile, second-ranked TUI (brand value up 4% to US$3.7 billion) substantially closed the gap to the ranking’s leader, only just falling short of overtaking Royal Caribbean.
Chinese brands surge
The fast-growing China International Travel (up 70% to US$3.7 billion) has come third this year, up from 5th in 2018.
China International saw a significant increase in its valuation due to a surge in forecast revenue in coming years as the Chinese tourism market continues to develop with unprecedented speed and scale.
The fastest-growing brand in the ranking also comes from China.
Happy Valley almost doubled its brand value in a single year (up 97% to US$2.0 billion).
Savio D’Souza, Valuation Director at Brand Finance, commented:
“Royal Caribbean International remains the world’s most valuable leisure and tourism brand but is being challenged by broader economic changes. The significant growth achieved by Chinese travel brands is powered by the country’s burgeoning middle class as it is increasingly able to travel internationally.”
Aside from calculating overall brand value, Brand Finance also determines the relative strength of brands through a balanced scorecard of metrics evaluating marketing investment, stakeholder equity, and business performance. Alongside revenue forecasts, brand strength is a crucial driver of brand value.