COMPETITION OF THE IT HAPPENS AT THE HILTON CAMPAIGN

Hilton’s quest to forge a unified brand image occurred while many of its rival upscale hotel chains were striving to do the same. According to the Wall Street Journal, hotel occupancy rates in 1998 had reached a four year low because of overbuilding. At the same time, the industry was in the midst of a significant consolidation. Chains such as Marriott and Renaissance merged with each other to help bolster their presence on a national and global scale. The result of these agglomerations was a degree of industry-wide uniformity, as local or regional properties with their distinct characteristics, selling points, or histories, were folded into often generic multinational conglomerates. ‘‘If you ever stay in a three- or four-star hotel, they are increasingly offering more or less the same product and levels of comfort,’’ Greg Delaney, one of the creative forces behind ‘‘It Happens at the Hilton,’’ told Marketing Week. While hotels had once used such features as excellent service or a four-star dining room to differentiate themselves, by the mid-1990s, ‘‘these [were] standard in each sector,’’ noted Marketing Week. ‘‘The only way that hoteliers [could now] stand out [was] through brand building.’’
One of Hilton’s most formidable rivals was the Hyatt Hotels Corporation, which embarked on an updated global branding campaign in 1999. Created by agency Cramer Krasselt, these print ads targeted individual business and leisure travelers, meeting planners, travel agents, and corporate travel planners. While the campaign built upon Hyatt’s slogan from a pre-existing campaign, ‘‘Feel the Hyatt Touch,’’ it avoided the conventional formula of using service and traveler bonus programs as its focal point. Like Hilton, Hyatt acknowledged that ‘‘in the minds of our target audience, the difference between major hotel chains is becoming less and less apparent,’’ a Hyatt spokesperson told Advertising Age on October 19, 1998.
Another large hotelier, Holiday Inn Worldwide, had launched its first branding campaign in 1997 to support its Crowne Plaza chain of high-end hotels. This campaign, ‘‘Get to Know Us, We’ll Get to Know You,’’ used famous ‘‘business personalities . . . to give the somewhat stony corporation a relatable face,’’ explained the January 27, 1997, Brandweek. With agency Scaros & Casselman, Crowne selected celebrities who reflected the interests of its targeted guests to appear in its ads. For instance, Crowne used Armour Golf CEO Michael Magerman in a television spot that humorously showed hotel staffers so accustomed to Magerman’s indoor golfing that they gracefully avoid golf balls flying across lobby floors as a matter of course. ‘‘A lot of upscale hotel users’ principal hobby is golf,’’ Crowne’s marketing vice president told Brandweek. ‘‘Michael Magerman is an up-and-coming CEO, and, at 34, a prototypical Crowne Plaza user.’’ Other spots depicted various comparable business leaders.
Some of Hilton’s other competitors began to institute similar marketing programs as well. Marriott International, which had acquired Renaissance in 1997, consolidated its massive ad account in 1998 in order to better broadcast its message. Promus Hotels Corporation’s Doubletree and Wyndham Hotels and Resorts, on the other hand, continued to stress the traditional attributes of pleasant rooms and attentive service, according to the June 28, 1999, issue of Advertising Age.

TARGET MARKET OF THE IT HAPPENS AT THE HILTON CAMPAIGN

According to Advertising Age International, ‘‘It Happens at the Hilton’’ strove to appeal to people between the ages of 35 and 50 who were ‘‘active achievers among business and leisure groups.’’ It would certainly be a challenge to attract an audience this broad within the confines of a single campaign. To do so, HHC opted to use a diverse array of photographs in the ‘‘It Happens at the Hilton’’ ads in the hope that this multifaceted approach would connect with consumers on various levels. For example, HHC chose to use images of celebrities from different generations at Hilton hotels both to grab people’s attention with the famous faces and to reinforce the notion that Hilton had a long and storied history. The use of political icons such as Nelson Mandela and Winston Churchill was intended to lend the campaign a particular gravitas, which was calculated to appeal to the elite business travelers Hilton wanted to reach. At the same time, the images of iconoclast John Lennon and supermodel Naomi Campbell ensured that the campaign would appear neither stuffy nor dated. In fact, the incorporation of celebrities such as these into the branding campaign let Hilton speak to a more statusconscious and upscale group of travelers. ‘‘The implied message to Hilton customers is, ‘If it happens for these people at Hilton, it can happen for me too,’ ’’ Dirks explained. In a period when affluent business and recreational travelers had a slew of hotel options, ‘‘It Happens at the Hilton’’ provided the hotel chain a certain cachet that played well to its more status-oriented guests. But Hilton was careful not to pursue this more upscale and business-oriented identity at the expense of other travelers. ‘‘We wanted consumers to know the hotel is accessible, not just for the rich and famous,’’ Ken Sakoda, a Bozell vice president, said in the October 5, 1998, issue of Advertising Age. The company therefore presented a variety of scenes of everyday people enjoying the Hilton’s amenities in order to balance the celebrity shots. Bozell also injected humor into these projects, and stressed the pleasure and convenience Hilton could bring to any vacation. In an ad for Hilton’s line of resorts, a couple is shown sprawled in lounge chairs on the beach. ‘‘Tailored vacations call for a fitting,’’ the tag line declared. By presenting reallife scenarios—such as weddings or stressed-out families in dire need of respite—Hilton made it possible for a whole other sector of consumers to relate to the scenes.

HISTORICAL CONTEXT OF THE IT HAPPENS AT THE HILTON CAMPAIGN

The Hilton chain had come a long way from its beginning in 1925 when Conrad Hilton built the first hotel to carry his name in Dallas, Texas. By 1998 more than 400 Hilton hotels—ranging from resorts and casinos to airport business hotels—were operating in 50 countries. The company’s 1964 decision to spin off its global properties into a separate entity, however, impeded Hilton from developing a consistent worldwide image. After Hilton’s international wing was acquired by Trans World Airlines, HHC and HIC agreed not to develop their franchises in the other’s zones. Nevertheless, the erstwhile siblings bickered over trademarks. In the early 1990s HHC had struggled to forge an identity. Pernicious price wars among upper-class hotels led HHC, and its ad agency McCann-Erickson, to craft ads focused more on price and perks than on the chain’s own attributes. The result was a frequently chaotic marketing strategy that relied heavily on special promotions, often to the detriment of HHC’s bottom line. In an effort to rectify this situation, HHC severed its relationship with McCann in 1992 and hired Daley & Associates to develop a new ad campaign. The resulting ‘‘Take Me to the Hilton’’ effort helped the company overcome some of its difficulties, but HHC was still hampered by its inability to expand in overseas markets. The burgeoning travel market, both domestically and internationally, had generated a wave of consolidations in the industry, as hotel chains teamed up in order to offer broader options to consumers. As an industry insider explained in the January 16, 1995, issue of Brandweek, ‘‘just to be a domestic brand does not insure long-term visibility.’’ HIC faced similar limitations by virtue of its exclusion from the sizeable U.S. market. Recognizing the importance of presenting a more unified front to its rivals, HHC and HIC linked their advertising, sales, loyalty programs, and development strategies, and then sought to leverage this new alliance into enhanced business opportunities.

OVERVIEW OF THE IT HAPPENS AT THE HILTON CAMPAIGN

Ownership of the Hilton Hotel brand had been split apart in 1964. As a result, the hotel chain was controlled by two distinct groups—Hilton Hotel Corporation (HHC), which held the rights to the brand in the United States, and Hilton International Company (HIC, a division of the Ladbroke Group PLC), which owned the brand abroad. Since their breakup, HHC and HIC had maintained separate marketing and public relations efforts. In 1997, however, facing intense competition in both domestic and international markets, the two companies formed the Hilton Alliance, which was committed to creating a single global image for the hotel chain. After changing the Hilton logo, the companies selected advertising agency Bozell Worldwide to produce a branding campaign that would differentiate Hilton from its competitors. The company wanted a unique message to position itself advantageously among the other massive global hotel chains competing for the patronage of business and leisure consumers. The result was the ‘‘It Happens at the Hilton’’ campaign, which debuted on October 5, 1998, and used photographs of celebrities and everyday travelers to ‘‘convey the strength of the Hilton name and its association with quality, achievement, innovation, and timeless style,’’ said Robert Dirks, the senior vice president of marketing for HHC.
Hilton allocated a budget of approximately $10 million for the first three months of the campaign, which was comprised mainly of print ads. ‘‘It Happens at the Hilton’’ sought to epitomize the Hilton experience for its audience. Unlike traditional advertising for major hotel chains, which typically focused on the nuts and bolts of the visiting experience—mainly rooms or services—
Hilton’s campaign used striking photos of past and present celebrities at various Hilton hotels. One spot featured ex-Beatle John Lennon and his wife Yoko Ono during their ‘‘Bed-in for Peace’’ at the Amsterdam Hilton. Political figures Winston Churchill and Nelson Mandela, as well as celebrities Larry King and Naomi Campbell, also appeared in ads bearing the ‘‘It Happens at the Hilton’’ tag line. To ensure that consumers were not alienated by a celebrity-laden campaign, however, Hilton also ran a substantial number of ads that portrayed average Hilton guests, ranging from CEOs and other business people to families on vacation. One print piece, for instance, depicted a family at a Hilton pool. ‘‘Relaxation now available in a convenient family size,’’ the copy chirped. The company’s goal was straightforward. ‘‘We want to show that so many things happen at the Hilton, from weddings to romance, and that Hilton is part of the community,’’ Dirks told Advertising Age International. Hilton declared itself pleased with the campaign’s result.

OUTCOME OF THE YOU + HP CAMPAIGN

‘‘You + HP’’ was widely acknowledged as a key contributor to the ongoing transformation of the company’s image from, as Advertising Age put it, ‘‘well-regarded though stodgy into a brand akin to sexier rivals such as Sony Corp.’’ For the print insert that launched the campaign, which ‘‘cut through in a medium that HP’s rivals have dominated for decades,’’ Goodby was awarded Adweek ’s Media Plan of the Year for Best Use of Magazines. Goodby’s market research indicated that the inserts raised consumers’ likelihood to buy HP digitalimaging products by 8 percent. The 2004 television spots generated, according to Goodby and HP, more consumer feedback than either had ever gotten from an ad, and Adweek named ‘‘You + HP’’ its Campaign of the Year for 2004. TV Guide ’s praise went beyond the realm of advertising, claiming that the spot ‘‘Picture Book’’ was the best 60 seconds of television then on the air. In 2004 HP extended the ‘‘You + HP’’ concept to digital music, partnering with Apple to sell HP-branded iPods and offering iTunes software on its PCs. The iPod, an MP3 player that allowed consumers to mix and match music to suit their personalities, offered HP a further vehicle for connecting the personal-expression ethos to its brand image. A business-to-business campaign called ‘‘Change + HP’’ was likewise launched in 2004, using the company’s new cutting-edge image to appeal to information-technology decision makers in the rapidly evolving tech marketplace. ‘‘You + HP,’’ along with the umbrella ‘‘+ HP’’ idea and HP’s image, continued to evolve through 2005. Whether HP’s change in direction was a welcome one remained an open question, however, at least to the company’s board of directors. Fiorina was ousted as chief executive officer in February 2005.

MARKETING STRATEGY OF THE YOU + HP CAMPAIGN

‘‘You + HP’’ was launched with a 20-page print insert in the October 2, 2003, edition of USA Today. The idea of spending $10 million on such an insert, designed to run in about a dozen publications, went against the grain of traditional print advertising for photography brands, which tended to focus on maximum coverage and frequency. Because the campaign was ‘‘more lifestyleoriented than anything else,’’ as Berg told Adweek, the company ‘‘had to find a way to stand out in unique environments’’ rather than take a blanket approach to print placement. Goodby’s creative team decided that the magazines in which the insert would appear after its launch should be ones whose editorial focus celebrated the power of photography; the team thus chose such titles as Vogue, the New Yorker, People, Entertainment Weekly, InStyle, ESPN: The Magazine, GQ, Travel + Leisure, and Conde´ Nast Traveler. The inserts put the consumer at the center of HP’s message, featuring the word ‘‘You’’ in a prominent position on nearly every page, employing vibrant photo collages and statements such as ‘‘You are a point-and-shoot revolutionary with an itchy shutter finger’’ and ‘‘You are the Van Gogh of pic files.’’ The ads featured the full range of HP digital-imaging products, pointing out the brand’s coverage of the entire picture-making process but forgoing the usual listings of technical specifications.
The campaign’s initial television spots, directed by Vogel and shot in Barcelona, further underscored the revolutionary nature of digital-photography technology. In both ‘‘You’’ and ‘‘Statue,’’ people in social settings and on city streets were frozen in still frames suggesting photographs, while the scenes’ action moved on briskly and a continuous stream of individual moments were framed before dissolving back into motion. The fluidity of the movement from human interaction to still frame, along with the profusion of photographic possibilities suggested, communicated the limitless options available to the digital-camera owner while dramatizing the integration of artistic expression and ordinary life. The arresting visual effects worked with the Cure’s moody 1989 hit song ‘‘Pictures of You’’ to create, as Adweek put it, ‘‘an emotional paean to digital photography.’’ In 2004 Goodby’s creative team planned a second series of television spots to be paired with the upbeat Kinks song ‘‘Picture Book.’’ This time the challenge was to go beyond illustrating picture-taking possibilities and find a visual method for dramatizing the ease of printing photos. In a test spot filmed as his bid to direct the new series, Vogel shot himself at his desk putting empty white frames around his head while coolly singing along to the Kinks song playing in the background. Vogel then tweaked the footage until it appeared that he was effortlessly creating a series of casual self-portraits from thin air. Not only did this test ad get him the job, but it was reshot with little alteration as the 30-second spot ‘‘Franc¸ois.’’ In the spot ‘‘Picture Book’’ the principle of picking photographs out of thin air was applied to crowds of people. At the start of the commercial, two rows of people held frames to their faces, after which the frames became pictures, and then the people traded these self-portraits with one another. In ‘‘Relay’’ the photographic frame was passed like a baton between groups and individuals. Photos transformed into dynamic real-life scenes and vice versa as the frame made its way through a hypnotic flux of distinctive people and moments.

COMPETITION OF THE YOU + HP CAMPAIGN

Given its sprawling portfolio HP competed with a wide range of companies, but its ‘‘You + HP’’ campaign, while leveraging and further establishing its overall brand identity, directly pitted the company against other digitalcamera manufacturers. At the time of the campaign it was number six among digital-camera vendors in the United States, well behind segment leaders Eastman Kodak Company and Sony Corporation. Kodak’s success, according to Advertising Age, was chiefly attributable to its ‘‘century-long simple stance that Kodak equals pictures.’’ Though hampered somewhat by losses in the rapidly diminishing film-photography side of its business, Kodak could claim, like HP, to offer simple solutions to the entire picture-making process, especially as PCs became unnecessary for printing. Kodak had the industry-leading photo printer as well as the industry-leading online printing and storage site (called the Kodak EasyShare Gallery), and it had kiosks at major retail stores, such as Wal-Mart and CVS, that allowed consumers yet another outlet for printing pictures. Kodak’s digital-imaging ads therefore focused on ease of use while reinforcing the company’s history of photographic excellence.
Sony likewise made appeals to consumers based on its legacy, but that legacy was one of ‘‘quality technology and cutting-edge design,’’ according to Advertising Age, rather than one of film photography. This image merged neatly with the company’s digital-imaging marketing efforts, which drew attention to the convenient size and sleekness of Sony cameras. In 2005 Sony reinforced its image by unveiling the tagline ‘‘WorryFree Digital Products,’’ orchestrating a marketing push with partner retailers to head off the concerns of first-time digitalcamera buyers and assure them that its products were simple and easy to use.