Hilton has reached a deal with Olive by Embassy, an Indian developer, to open 150 Spark Hotels in the country.
Spark is Hilton’s conversion- and developer-friendly “budget” brand, which it launched last year.
You can access Hilton’s page for the Spark brand here.
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Hilton’s Announcement:
Hilton Signs Strategic Licensing Agreement with Olive by Embassy to Bring 150 Spark by Hilton Hotels to India
Signing with Olive by Embassy marks the category‑disrupting brand’s debut in Asia Pacific and is poised to rapidly accelerate Hilton’s growth in South AsiaBENGALURU, India – Leading global hospitality company Hilton (NYSE: HLT) today announced the signing of a strategic licensing agreement (SLA) with Olive by Embassy to open 150 Spark by Hilton hotels across India, marking the brand’s debut in Asia Pacific. The agreement comes as a result of Hilton’s long-standing partnership with The Embassy Group, owners of Hilton Bengaluru Embassy Manyata Business Park and Hilton Garden Inn Bengaluru Embassy Manyata Business Park. This agreement reinforces Hilton’s ambitious growth in South Asia and brings a new premium economy brand to the dynamic Indian market. The first Spark by Hilton hotels will open in Southern India with a focus on Maharashtra, Andhra Pradesh, Telangana, Goa, Karnataka and Tamil Nadu.
“This landmark signing with Olive by Embassy underscores Hilton’s bold ambition in and long-term commitment to South Asia,” said Alan Watts, president, Asia Pacific at Hilton. “Spark by Hilton will address a gap in the Indian market, offering affordable stays without compromise, and capturing unmet demand for value and consistency across major and smaller cities. Not only will this partnership set the stage for record-breaking growth, but it also positions Hilton to achieve a commanding presence in one of the world’s largest lodging markets.”
Launched in 2023, with 100 hotels at various stages of development, Spark by Hilton is the fastest launch-to-open brand in Hilton’s history. The conversion-friendly, premium economy brand is aimed at the aspirational and value-seeking traveler and is renowned for delivering reliable essentials and friendly service for every guest at an accessible price point.
Spark by Hilton hotels in India will be characterized by thoughtful simplicity and reliable service. The public spaces will feature multi-functional seating from communal tables to rocking chairs, offering plenty of options for guests to enjoy breakfast, socialize or work throughout the day. Spark by Hilton will add value to the guest experience by offering a complimentary breakfast, featuring local items, so guests can fuel up before hitting the road. The brand will also offer a 24-hour retail market for on-the-go travelers.
As travel demand surges and the middle-class segment in India rises, Hilton plans to scale its focused service brands, such as Spark by Hilton, exemplifying the company’s dedication to bringing hotel brands that cater to every guest and every stay occasion. The brand will join Waldorf Astoria and Curio Collection by Hilton as newly introduced brands into South Asia, expanding the company’s portfolio in the region to eight distinct brands.
“We are committed to expanding our presence in South Asia,” said Kevin Jacobs, chief financial officer & president, Global Development, Hilton. “Rapid middle-class formation continues to take place across this dynamic region, where we see tremendous long-term growth prospects for Hilton. Following international debuts for Spark in the United Kingdom and Canada, there is a compelling opportunity for the brand’s flexible model, coupled with Hilton’s powerful network and commercial engine, to capitalize on the fast-growing premium economy segment in India. Alongside our longtime partner, The Embassy Group, we look forward to accelerating Hilton’s growth across this key market and welcoming many new guests into our network.”
Jitu Virwani, chairman & managing director, Embassy Group, said, “Today’s agreement marks an important step forward in our partnership with Hilton. Spark by Hilton is the ideal brand to capitalize on the country’s growing middle-class, its infrastructure investment push, and its burgeoning hospitality sector. With Embassy’s deep understanding of the market, and the local expertise of our franchise partners, we believe that this is the beginning of an exciting journey to redefine the premium economy segment.”
Kahraman Yigit, co-founder & CEO, Olive by Embassy, said, “We are seeing a huge demand in the country for premium economy accommodation and reliable quality stay experiences. This gap is currently unmet. With no other product quite like it in the premium economy segment, Spark by Hilton is a much-needed, consistent brand that will provide an impetus for the overall market to grow. We believe that this disruptive offering is the right one for investors, developers, and owners looking to maximize their returns.”
Conclusion
This is essentially Hilton’s “budget” brand, where it can “convert” all those Hampton Inns whose owners are unwilling to invest the required capital to refurbish the properties.
On a more serious note, I guess this brand targets Choice’s and Wyndham’s properties that would rather be in Hilton’s system. Hilton previously didn’t have a brand that would cater to this segment of value-conscious travelers.