Marketing Vanguard: Marketing Leadership and Brand Evolution with Mark Weinstein, CMO of Hilton

Release Date: December 27, 2024

1. Introduction

In this insightful episode of Marketing Vanguard, hosted by Jenny Rooney of Adweek, listeners are welcomed to a special edition recording from Brand Week 2024 in Phoenix, Arizona. Jenny sits down with Mark Weinstein, the Chief Marketing Officer (CMO) of Hilton, to delve deep into his journey, strategic insights, and the evolution of one of the world's most iconic hospitality brands.

2. Mark Weinstein’s Path to CMO of Hilton

Mark Weinstein begins by sharing his professional journey, highlighting his educational background in marketing and finance. He humorously notes, “[...] I was always the less quantitative finance person, the most quantitative marketing person.” (02:24) This unique blend of skills led him to consult at Pricewaterhouse and later at a sales and marketing strategy firm, working with blue-chip brands.

Fourteen years ago, Weinstein joined Hilton shortly after it was taken private. Initially anticipating a one-year tenure, he found himself deeply invested in the company's transformation. He explains, “We had 10 brands at the time... each brand had their own marketing team... I came in to help bring that all together.” (02:17) His significant contribution was in unifying Hilton’s fragmented marketing approach, fostering collaboration among different brands to better compete for customers.

3. The Evolution of Hilton’s Loyalty Program

A pivotal part of Weinstein’s tenure has been the expansion and enhancement of Hilton Honors, Hilton’s loyalty program. Initially managing the program when it had 25 million members, he recounts, “We grew that from about 25 million members... driven by 200 million members.” (03:52) This growth not only increased membership but also boosted the program’s contribution to Hilton’s business from 45% to 65%.

Key Insights on Loyalty Program Enhancement:

• Immediate Value Creation: Weinstein emphasizes the importance of providing instant benefits to members. “Unlock number one was making sure we have immediate value for every customer.” (05:24) Examples include free Wi-Fi and the ability to choose specific rooms via the Hilton app.

• Middle Tier Engagement: For less frequent travelers, Hilton partnered with companies like Amazon and Lyft to make the loyalty program relevant in everyday life, facilitating point accumulation and redemption outside hotel stays.

• Emotional Resonance Through Usage: “People don't get excited about earning rewards. They get excited about using rewards.” (05:24) By focusing on rewarding usage, Hilton fosters a deeper emotional connection with its members.

• Authentic Customer Connection: Authenticity in communication is crucial. Weinstein states, “Being authentic about it, being transparent about it, having honest conversations...” (07:29) This approach builds trust and sustains long-term loyalty.

4. Integrating Marketing and Brand Evolution

In June 2020, amidst the global pandemic, Weinstein was tasked with merging the customer and marketing functions to become Hilton’s CMO. This role consolidation was driven by Hilton’s maturation and the need for a unified marketing strategy that balances short-term performance with long-term brand building.

Strategic Benefits of Integration:

• Holistic Marketing Approach: “Is it brand or is it performance? It has to be both.” (07:53) Weinstein argues that integrating these functions allows for a balanced strategy that drives immediate results while cultivating the brand for future growth.

• Enhanced Storytelling: Recognizing gaps in Hilton’s storytelling, Weinstein aimed to elevate the brand’s narrative, ensuring it remains relevant and compelling across all touchpoints. “Bringing it together allows us to take the pie and have a thoughtful debate on what's going to be used to drive immediate returns.” (07:53)

5. Campaign Insights: "For the Stay"

One of the standout campaigns under Weinstein’s leadership is “For the Stay”, which redefines Hilton’s role in the hospitality landscape.

Campaign Highlights:

• Unique Brand Positioning: Hilton differentiates itself by combining great physical spaces, exceptional service culture, and advanced technological enablement. “It's the combination of three things which nobody else can do... It's a great physical space, it's a great service culture, and it's a great technological enablement.” (13:40)

• Adaptive Storytelling Post-Pandemic: Following the pandemic, Hilton sought to move beyond generic travel narratives. Weinstein explains, “We have a unique role... When you cross our transom, the stay starts.” (09:33) This positioning emphasizes Hilton’s integral role in customers’ travel experiences, focusing on the quality and consistency of their stays.

• Community and Sustainability Focus: The campaign also underscores Hilton’s commitment to community development and sustainability. “We’re here for the stay on the planet. We’re here for a stay with our team members.” (09:33) This broadens the brand’s narrative to include its environmental and social responsibilities.

6. Consumer Insights and Competition in the Hospitality Industry

When discussing consumer trends, Weinstein observes a shift towards valuing the holistic stay experience over mere accommodation.

Key Consumer Insights:

• Desire for Immediate Action: The pandemic instilled a preference for fulfilling travel desires promptly, leading to a “to-do list” mentality over a “bucket list.” Weinstein notes, “Freedom is fragile... I think we're seeing quite a bit of that now where people are not letting school schedules or work schedules or the traditional holiday plans slow you down.” (13:40)

• Balancing Competition with Home Sharing: While acknowledging the popularity of home-sharing platforms like Airbnb, Hilton differentiates itself by offering a superior combination of space quality, service, and technology. “Anybody can do any one of those things, right?... It's missing the service, right?” (14:56) Hilton’s integrated approach ensures a premium and consistent guest experience that standalone home rentals may lack.

7. Legacy and Mentorship Goals of Mark Weinstein

Weinstein reflects on his legacy, emphasizing both brand advancement and personal mentorship.

Legacy Goals:

• Advancing the Hilton Brand: “I hope that my taking of the pen, my writing of a chapter helped advance the brand forward... to truly Beloved.” (15:03) Weinstein aspires to elevate Hilton from being a loved brand to one that is deeply cherished and integral to people’s lives.

• Mentorship and Team Development: Equally important is his commitment to nurturing future leaders. “The legacy will come from the people that we're mentoring and teaching and growing behind us...” (15:03) Weinstein aims to leave a lasting impact through the professional growth of his team and partners.

8. Collaborations and Influencer Relationships

A notable aspect of Hilton’s marketing strategy under Weinstein is its authentic collaborations with influencers and creators who embody the brand’s values.

Strategic Partnerships:

• Authenticity Over Spokespersons: Hilton prioritizes genuine connections over traditional spokespersons. Weinstein states, “We don't need a spokesperson as a company. We need to have people who connect authentically with communities.” (17:50)

• Notable Collaborations: Collaborations with personalities like Paris Hilton and Lando Norris (F1 driver) exemplify Hilton’s approach to aligning with influencers who authentically represent the brand. “It's authentic. You can't make this up.” (16:16) These partnerships enhance Hilton’s storytelling and connect with diverse audience segments.

9. Conclusion

Mark Weinstein’s leadership at Hilton exemplifies a nuanced blend of strategic vision, authentic brand storytelling, and customer-centric innovation. By integrating marketing functions, enhancing loyalty programs, and fostering genuine partnerships, Weinstein is steering Hilton towards sustained growth and deeper customer loyalty. His emphasis on authenticity, community, and mentorship underscores a holistic approach to brand management, ensuring Hilton remains a vanguard in the ever-evolving hospitality industry.

Notable Quotes:

• “We grew that from about 25 million members... driven by 200 million members.” — Mark Weinstein (03:52)

• “People don't get excited about earning rewards. They get excited about using rewards.” — Mark Weinstein (05:24)

• “Is it brand or is it performance? It has to be both.” — Mark Weinstein (07:53)

• “It's the combination of three things which nobody else can do... It's a great physical space, it's a great service culture, and it's a great technological enablement.” — Mark Weinstein (13:40)

• “We don't need a spokesperson as a company. We need to have people who connect authentically with communities.” — Mark Weinstein (17:50)

This comprehensive summary captures the essence of the conversation between Jenny Rooney and Mark Weinstein, highlighting key strategies, insights, and the forward-thinking approach that continues to drive Hilton’s success in the competitive hospitality landscape.