Revenue Management

Hilton Hotels Corporation Aims to Form One of the Largest International Hotel Chains in India with DLF

Link of article

Hilton Group is a global company with more than 2800 hotels and 245000 rooms in over 80 countries including many memberships worldwide.

DLF- is one of leader Real Estate Developers in India. DLF is engaged in the businesses of developing homes, offices, shopping malls, SEZs, hotels and infrastructure projects.
Head-office in New Delhi, strong presence in Gurgaon south region of India


Hilton Hotels Corporation - DLF Joint Venture to build 50 to 75 Hotels and Service Apartments over 7 years. The Hilton group plans to create a joint venture in India with DLF limited. The formation of joint adventure is waiting for the written form from the government.

It is very good idea for the cooperation between those two companies. JV Company will develop and built these hotels, and Hilton will figure out the management strategies.

DLF will have 74% of JV Company, but Hilton will hold the remaining minority stake as a symbol of its commitment to the venture. The goal is to develop in certain regions including Chandigarh, Chennai and Kolkata the Hilton Garden Inn properties- Hilton business hotels.

We all know that, India market is going to explore in the next few years, as we can find out of demographic and economics situation. Many foreign companies have already invested there. Especially software companies, the manufactures are very cheap India.
I can say that India economic is going to be much more powerful than China.

The objective of Hilton is to collect new experiences in India and the opportunity with DLF is a compelling next step to capitalise on the development momentum and build their Hilton Brands in India. In another hand for DLF they will receive many opportunities for growth in the hospitality sector in India, given the attractive tourism and business. Through this strategic partnership is confident of bringing world-class hospitality and services across the country.

Online reservation for travelling

This article deals about online travel revenue coming in few years. This segment of business will grow very fast.
As we can find the report from Jupiter Research, online travel revenue will continue to grow strongly from $85 billion in 2006 to $128 billion in 2011. That will be 38% of all travel revenue for that year.

Nowadays internet with high connection (ADSL) helps a lot the customer searching and choosing the best way of travelling. They can book their travel staying at home.

In my opinion the tourism and hotel industry will be boomed in the next few years. Presents of the low-cost airlines, was one of the first reason to push people booking online, making their trip in the another way, car rental, etc
Maybe we don’t see that online booking segment is growing up very quick, but all the sources agree that online travel sales are continuing to fly higher.
“Speaking of flying, looking at airline travel sales alone, Jupiter asserts that higher fares and an increase in the number of people flying are driving total air revenues to $138 billion in 2006, with $49 billion spent online, and forecasts that that figure will grow to $72 billion in 2011.”
Hotels are also seeing — and will continue to see — a shift to online sales as more travellers migrate from making reservations by phone to online, particularly the hotels' own Web sites.

CMH4: October 2006

CMH4: Article for 17 November

Hotel Mixed Use: Magic Johnson's Latest Billion Dollar Bet

This article talks about Hotels development by Earvin “Magic” Johnson, the retired Lakers basketball star is interested to put 1 billion $ to developing 3 blocks in Midtown of Atlanta City. The goal is to revitalize the hotels, residents in this area.

It’s not a joke about Magic Johnson, but it is a really huge development project, which Magic cooperate with Daniel Corp. and Selig Enterprises Inc. At the same time he set up his own company named Canyon-Johnson Urban Funds.

The project will be very useful and necessary for many people. This investment in hotel mixed-use called '12th and Midtown. The midtown area in Atlanta will be the place where people can live, work and have divers’ advertisements.

This project is not the first project of Johnson Company; he has already announced a $120 million mixed-use project with office and housing complexes in Miami's Little Havana area. And Canyon Johnson has been active for several years-it seeks to revive neglected urban areas with real estate investment.

We have to add, that Johnson projects in Hospitality Industry it is not first. Many celebrities have already put their hand into this kind of business. We can constant recently news about cooperation between Bill Gates and Prince Al-Waleed to buy Canadian Four Season’s Group. Another Basketball star Shaquille O'Neal and his $1 billion dollar hotel mixed-use investment with MDM Development in downtown Miami. Next example famous tennis couple Agassi-Graf with their Tamarack Resort and teaming with AOL Founder Steve Case for Agassi-Graf Tennis and Fitness Centers and many others.

As the author of article said “It is also interesting because it shows another hotel mixed-use side of the Canyon Capital-the good people who provide a lot of debt and equity financing for our industry” some points of his view are true.

But in another hand, putting the names of celebrities behind the projects always catches much more attention of grand public than a simple development company. For me it’s kind of good way to selling your “Famous Name” to make easy money, but it doesn’t work always.

the link for this article you can find below :

http://www.hotelnewsresource.com/article25104-Hotel_Mixed_Use__Magic_Johnson_s_Latest_Billion_Dollar_Bet___By_Jim_Butler__author_of_www_HotelLawBlog_com.html