Hilton partners with Olive by Embassy, launches premium-economy hotels in India

Hospitality company Hilton has signed a strategic licensing agreement (SLA) with Olive by Embassy on to launch its premium-economy brand, Sparks by Hilton hotels in India. The brand plans to open 150 Spark by Hilton properties across India in the next 10 years, starting with western and southern India.

"The first hotels will open in southern India with a focus on Maharashtra, Andhra Pradesh, Telangana, Goa, Karnataka, and Tamil Nadu," Kahraman Yigit, Co-founder and CEO, Olive by Embassy told YS Life during a press conference.

Olive by Embassy will function like a local business partner for Spark by Hilton, building the management team and providing a localised experience to guests, Jitu Virwani, Chairman and Managing Director of the Embassy Group, explained during the press meet at Hilto Bengaluru, Embassy Manyata Business Park.

Hilton first launched the Spark by Hilton hotels brand in the US in 2023, with 100 hotels at various stages of development. The brand is aimed at the aspirational traveller and looks to deliver the 'Hilton experience' at an accessible price point.

Shruti Gandhi Buckley, Senior Vice President and Global Brand Head, Hampton by Hilton and Spark by Hilton, said that while the pricing will be different for each micro-market, the average cost per room, per night, would be between Rs 4,000 and Rs 6,000. However, for markets like Mumbai, the rates would be higher. Additionally, she also added that each of these properties would offer 60 keys and upwards.

The brand is debuting in the Asia-Pacific through India, with the mission to accelerate Hilton's growth in South Asia. "This (the SLA with Olive by Embassy) is our largest deal in India," Alan Watts, President, Asia Pacific at Hilton, revealed. "Spark by Hilton will offer affordable stays without compromise, and capture the unmet demand for value and consistency across major and smaller cities...This partnership positions Hilton to achieve a commanding presence in one of the world's largest lodging markets," he adds.

The USP of these premium-budget hotels, Buckley explained, lies in the services and benefits—every guest will get access to a complimentary regional breakfast buffet during their stay; each guest will be able to earn points (Hilton Honors) during their stay, to later redeem them against the 26 other Hilton properties across the globe; and the digital key check-in and check-out that allows guests to access their rooms without physical keys. The brand will also offer a 24-hour retail market for on-the-go travellers.

"We are seeing a huge demand in India for premium economy accommodation and reliable quality stay experiences. This gap is currently unmet. With no other product quite like it in the premium segment, Spark by Hilton is a 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 maximise their returns," Yigit said.

According to the company leaders, Spark by Hilton is the fastest launch-to-open brand in Hilton's history.

Hilton has been on a spree of signings, expanding its portfolio across luxury, full-service and focused-service segments in India. Its recent notable signings include the introduction of the Curio Collection in Bengaluru, the launching of Jaipur's first Conrad, and the entry of flagship brands into Udaipur and Lucknow. The hospitality brand also launched Waldorf Astoria in Jaipur, which is anticipated to open by 2027. Hilton Gurugram Baani City Centre, Hilton Garden Inn Surat, and Hilton Garden Inn Jabalpur are also scheduled to open by the end of this year.