Hilton's new chief development officer talks growth, customer trends and why scale matters


Hilton's new chief development officer talks growth, customer trends and why scale matters

Christian Charnaux returns to Hilton from Inspire Brands
Christian Charnaux held various leadership roles at Hilton from 2009 to 2018, and he returned in July as chief development officer. (Hilton)
https://www.costar.com/article/1239462180/hiltons-new-chief-development-officer-talks-growth-customer-trends-and-why-scale-matters?
By Stephanie Ricca




PHOENIX — Christian Charnaux was no stranger to Hilton when he took the company’s executive vice president and chief development officer role in July.

He spent nearly a decade in various leadership roles at Hilton from 2009 to 2018, when he left to join Inspire Brands as its chief growth officer — hired by Paul Brown, Inspire’s co-founder and CEO who had originally hired Charnaux at Hilton back in 2009.

Now in a full-circle moment back at Hilton, which he describes as “50% bigger” today than when he left, growth again is top of his agenda.

He shared his plans for the role, what he learned about customer trends from Inspire’s portfolio of brands — including Dunkin’ Donuts and Sonic Drive-In — and about how it’s not only possible but imperative to achieve both scale and quality when growing a franchise company like Hilton around the world.

CoStar News Hotels: How is the Hilton you joined this year different from the Hilton you left in 2018?

Charnaux: “It’s 50% bigger than when I left seven years ago. If you think about potential in the category, the formation of the middle class and its propensity for travel, there’s huge growth potential. We are only 5% of the global market. Hilton has clearly established itself as a leader in the space.”

CSNH: What did you learn in the restaurant industry that gave you a different perspective on consumer trends today that might apply to the hotel industry?

Charnaux: “Restaurants gave me great sightlines into the customer experience. If you own assets, you’re doing pretty well. If you’re in the middle of the market and don’t own a lot of stock, inflation is taking a bite and wages aren’t keeping up with the pace of inflation and there’s some squeezing of that consumer in the middle. So we saw that you might skip going out, skimp a little on food away from home. An allegory for the hotel space is, people are going to travel, but they’re going to be picky about where they go.”

CSNH: As chief development officer, how do you nurture all the Hilton brands under your umbrella now?

Charnaux: “When I left Hilton, it had 12 brands. We had just launched Home2 Suites and now we have 800 Home2s and another 800 in the pipeline. The way we look at brands … requires a clear customer need, a clear owner value proposition and we have to think long term. They’re all here for the long term and they have to scale. We’re getting scale from the platform, but there’s also scale within the brands. We see a path from launch to large scale for all the brands.”


For 2026, travelers seek meaning from trips with emphasis on nature, sports

Tell Me More hosts unpack Expedia's 2026 trends report
Jan Freitag is CoStar's national director of hospitality analytics, and Isaac Collazo is STR's vice president of analytics.
https://www.costar.com/article/1443871422/for-2026-travelers-seek-meaning-from-trips-with-emphasis-on-nature-sports?
By Natalie Harms, Jan Freitag, Isaac Collazo


With hotel metrics down annually across the board, professionals in the hospitality and travel industries who need something to look forward to can check out Expedia Group's annual report of travel trends and top destinations.

This month on "Tell Me More: A Hospitality Data Podcast," special guest Brandon Ehrhardt from Expedia Group returns to the show to chat with STR's Isaac Collazo and CoStar's Jan Freitag about the new Unpack '26 report.

To set the scene, Collazo and Freitag explored the latest hotel performance data, pointing out that September's case looked expectedly bleak. Collazo said revenue per available room dropped 2.1% in September with flat average daily rate and a decline in occupancy.

"RevPAR has fallen for six consecutive months with this month's decrease — the largest of the [past six months] and the largest monthly drop in a non-recessionary period, excluding the pandemic," Collazo said on the show. "Occupancy [has fallen] for seven consecutive months, and it's only increased eight times since April 2023."

October should be better than September, even with the ongoing government shutdown, Collazo said, but Freitag reminded listeners that the fourth quarter has a tough comparison to last year.

One small positive within September's numbers was group ADR, Freitag said.

"Group room rates continue to be quite positive. In September, group ADR was up over 3% at 3.2%. That's the sixth continuous month of ADR growth — call it at the level of inflation, maybe a little bit above that, but group demand continues to fall," Freitag said. "So, there's this interesting juxtaposition between demand down and ADR up. One of them has to give eventually, and I'm afraid it's going to be ADR, but for now, that looks like a pretty healthy performance on the group ADR side."

Travel trends for 2026

Earlier this month, Expedia Group released its Unpack '26 report, which highlighted trending destinations and other travel themes expected in the new year.

Ehrhardt, Freitag and Collazo discussed a handful of trends from the report, including:

  • Hotel Hop: This is when travelers book separate accommodations within the same destination — whether that's for diversifying their experience or for cost-saving measures. Ehrhardt said this is especially popular in urban locations.
  • Readaways and Farm Charm: Travelers are taking it slow, booking stays that align with nature and relaxation. "Farm charm is really about connecting with nature and just taking a step away from the busyness of the day. ... Readaways is another trend, and it's about really finding a vacation rental spot to just completely free your mind and to read a book," Ehrhardt said.
  • Fan Voyage: Sports have consistently driven travel for fans across the world, but Expedia Group's report predicts local sports tourism spiking next year. From sumo wrestling in Japan to curling in Canada, 57% of travelers say they are interested in attending a local sporting event when they travel.
  • Set-Jetting: Now a staple in the report, the trend of travelers adventuring to places they've seen on TV continues to drive tourism. "It's an $8 billion a year industry," Ehrhardt said. "This is the Gen Z and millennial sweet spot. Eighty-one percent of those travelers in those demographics are looking for inspiration on the silver screen or the TV screen."

Also in this episode

Referenced in this episode


Clash of the Travel Titans as Delta Sues Marriott Over Its Name



https://www.fodors.com/news/news/delta-air-lines-sues-marriott-over-delta-hotels-trademark-in-ongoing-brand-dispute
Scott Laird


Delta Air Lines takes Marriott to court, alleging that the hotel giant’s Delta Hotels brand infringes on its trademarks and confuses consumers. The case centers on brand similarity and global expansion.


A Delta Air Lines lawsuit against Marriott Hotels over the name of one of its hotel brands is going to a court trial.

In a 2020 suit filed in the U.S. District Court for the Northern District of Georgia, Delta filed a complaint that Marriott’s use and expansion of its Delta Hotels brand is harmful to Delta’s brand, which is older. “Delta’s claims arise out of Marriott’s willful infringement and dilution, and efforts to trade off on—for Marriott’s own commercial benefit— Delta’s famous DELTA trademarks and Delta’s hard-earned goodwill therein,” reads the complaint, in part. The suit proceeded to court on Monday.

Delta noted that Marriott had also previously opposed Delta’s efforts to trademark certain product names it was already using, such as its efforts to expand the trademark of the Delta SkyClub to the European Union. The two companies have held direct negotiations regarding the use of their respective trademarks, but Delta’s complaint alleges that those discussions have become unproductive and accuses Marriott of continuing unproductive discussions as a delay tactic.

Marriott acquired the Canadian hotel chain Delta Hotels in 2015, when the brand only operated hotel properties in Canada. Marriott has since expanded the brand to include some 80 properties worldwide, including 52 in the United States. Delta’s complaint says that after Marriott acquired Delta Hotels, it remade the brand’s font and color choice, making them more similar to Delta Air Lines existing wordmarks and color palette.

Delta goes on to list a few examples of consumers being confused about whether the Delta Hotels chain was directly affiliated with Delta Air Lines, including an anecdote about an inquiry they received from businesses wishing to partner with the hotel brand, thinking it was a subsidiary of the airline. Delta also complained about Marriott’s inconsistent labeling of Delta Hotels as a Marriott brand in its materials and on hotel signage, further confusing consumers.

Marriott, for its part, has maintained that the Delta Hotels brand has existed since 1962, and that the word “Delta” is in broad enough use in geographic and business contexts to make awarding exclusive ownership unreasonable.

Delta accuses Marriott of acquiring Delta Hotels with the intent of infringing on their trademark. The complaint reads, “Upon information and belief, a central reason that Marriott acquired the Canadian Delta Hotel chain was to leverage the [Delta Hotels] acquisition to trade off Delta’s famous Delta Marks and consumer recognition.”

To infringe on a trademark, a brand must prove that a reasonable consumer would be confused about whether there was a difference between two similarly named products. Delta Air Lines points out that it has long sold hotel rooms on its website and as part of its Delta Vacations brand, and provided hospitality and food and beverage services to its passengers in airport Delta SkyClubs, causing confusion among consumers. Delta Air Lines has not pursued litigation against similarly named companies outside the travel industry, such as the Delta Faucet Company or Delta Bank.

Airlines often run into trademark infringement issues. In September 2023, Northern Pacific Airlines rebranded as New Pacific Airlines following a complaint of trademark infringement from the rail company BNSF, which owns the historic Northern Pacific Railway brand. In 1984, struggling Frontier Airlines (separate from today’s Frontier Airlines, which commenced operations a decade later) attempted to launch a low-cost subsidiary named Frontier Horizon, a name which drew complaint from Seattle-based regional airline Horizon Air (today a subsidiary of Alaska Airlines).

Delta Air Lines seeks an injunction against Marriott preventing further expansion, and unspecified financial damages. An agreement has already been reached on the use of the name in Hong Kong and China, which Delta Air Lines argues does not apply to the use of the brand in the United States.


European Countries Propose New Taxes Targeting Tourists



Freedom_wanted/Shutterstock
https://www.fodors.com/news/news/european-cities-fight-overtourism-with-unusual-taxes
                                                                       Apeksha Bhateja


From dog taxes in Italy to entry fees in the Netherlands and transit charges in Switzerland, European cities are adopting creative new taxes to combat overtourism and protect local life.



European cities and towns have launched a fight against overtourism. Their weapon of choice is taxes — some more unconventional than the standard city tourist tax. In what is being criticized as madness, an Italian town wants to charge visiting dogs €1.50 per night. Switzerland has proposed a tax on passing motorists who don’t stay in the country. Meanwhile, a Dutch village overrun by tourists wants to impose an entry fee.

Motorist Tax


Lawmakers in Switzerland have proposed a new tax on motorists passing through the country to reach other destinations. The transit tax on foreign nationals would be a new penalty on tourists who don’t spend significant time in Switzerland. It is intended as a way to clear out congested roads and would apply to all foreign cars, camper vans and motorcycles. The amount would depend on the time of day and traffic density, with higher taxes imposed during peak times.

However, it still faces some roadblocks, one of which is the definition of “essential stop,” which would make a tourist exempt from the tax. It remains a proposal that requires cabinet approval, and if it receives the necessary support, it will be introduced as a referendum for the public to vote on.

Doggie Charge

A gateway to the Dolomites, Bolzano sees its fair share of tourists and their furry friends, and it has now proposed a charge of €1.50 per night for visiting canines. Local owners also need to pay €200 ($235) per dog as an annual tax.

Authorities plan to use the funds collected from the puppy tax for street cleaning and new dog parks. The proposal, which has not yet been approved, was introduced by Councillor Luis Walcher, who said it was a fair measure concerning dog owners; otherwise, the whole community would have to pay for cleaning up dog waste.

The tax is part of a wider initiative targeting dog owners. Amid much criticism, authorities last year introduced a policy requiring local pet owners to register the DNA of their dogs so culprits who leave behind waste could be identified and fined up to €600. Few owners participated.

Carla Rocchi of animal protection body ENPA said in a statement that the tax is turning animals into an ATM. “After the resounding and expensive failure of the absurd dog DNA project, instead of focusing on civic education, targeted controls and citizen awareness, the easiest way is once again chosen: taxing animals and their owners.”

Village Entry Fee


About half an hour from Amsterdam, the historic village of Zaanse Schans offers free access to its charming windmills and vibrant wooden houses. More than 2.6 million people visit the open-air museum every year, and the numbers are overwhelming the tiny village of 100 residents. Starting in 2026, it will ask visitors to pay €17.50 ($20) to enter.

This tourist charge will also grant visitors access to the museum and the windmills, which currently require separate entry fees. The council plans to use the funds to maintain the windmills and develop new infrastructure such as restrooms.

Marieke Verweij, director of Zaans Museum, told the BBC that visitors don’t realize people live in the town. “…they walk into their gardens, they walk into their houses, they pee into their gardens, they knock on doors, they take pictures, they use selfie sticks to peek into the houses. So no privacy at all.”

On the flip side, business owners are concerned that the entry fee will discourage tourists from spending at shops.

Zaanse Schans won’t be the only destination charging tourists for access. The 14th-century Penglipuran village in Bali has preserved traditional Balinese culture and charges a modest entry fee of IDR 50,000 ($3) for adults and IDR 30,000 ($1.80) for children. Italy’s medieval village of Corenno Plinio charges €4 ($4.70) for adult entry and €3 ($3.50) for children.

During busy weeks, Venice imposes an access fee on visitors who do not stay overnight. Tourists pay €5 per day if they register their visit four days in advance or €10 daily if they book at the last minute. On the other side of the world, Bhutan charges tourists a high daily tax of $100 per night, called the Sustainable Development Fee, to maintain infrastructure and promote environmental, social and cultural development.





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