Hilton Case Executive Summary As the most recognized brand name in the lodging industry, Hilton is a diversified cooperation for its strong presence in all segments of hotels, casinos and vacation ownership. In terms of organizational strategy, Hilton Hotels Corporation relies on its scale, gaining members through its loyalty program and continuously expanding its hotel network. Beginning with acquisition of Promus Hotel Corporation, It now owns, manages, or franchises a portfolio of brands which includes Waldorf-Astoria Collection, Conrad International, Hilton Hotels, etc. With the focus of Customer Really Matter strategy, Hilton Hotel Corporation has invested much in CRM since 2002 aiming to build a broad customer base and the premier global hospitality business. Hilton Hotels Corporation considers customer as the most important component of their business, so they developed objectives to build a close long-term relationship with their customers. To provide consistent and outstanding service to its customers, the CRM initiative was primarily focus on its four categories of Best Guests: members of Hilton Honor program, 4+, Fast Rez members and local VIPs. Hilton achieves this tight relationship through recognition, personalization, service recovery, and customer analysis. Refer to the endnotes ix and x, the net revenue per call is a measure of efficiency of call center and that the conversion ratio measures how many calls were “closed” turning callers into bookers. By analyzing Exhibit 3.7, the total efficiency improvement from 2002-2007 is 105.5% which indicates that the call center efficiency has been double through the adoption of CRM initiative. This apparent increase shows that the CRM initiative performs well for Hilton Hotel Corporation. What’s more, the conversion ratio from 2002-2007 increased by 3.4% totally though it decreased 0.1% in 2005 and 2007. Therefore, more calls are closed and the caller actually booked with Hilton which is another evidence of the effectiveness of CRM initiative. As more callers become bookers, more customer information is able to be collected and stored. Thus, the call time decreases and repeated customers can be recognized and treated refer to their preferences. The SALT survey can always be used as a measurement of customers’ satisfaction as well as CRM initiative. Although Hilton’s comprehensive competitor Marriot started to use Siebel Systems off-the shelf software, Hilton is still the only company that has the same technology platform and distribution footprint throughout all the brands. Hilton’s OnQ integrated both reservation and frequent guests systems while Marriot has to manage different reservation and on-the-shelf systems to build the customer relationship. After the Blackstone acquisition, Hilton should keep investing in their CRM which has performed well since 2002. Hilton should not only improve its IT infrastructure but also invest more on the training of their staffs to use the CRM more efficiently and effectively in order to run the whole hotel system smoothly. Given the staffs of Hilton Hotels are well trained to use CRM, a standard approach is more simple and enough to result in consistent service while the targeted approach need not to be called for.