Hilton bets big on India as it accelerates global expansion

As global travel demand stabilises and long-term growth drivers remain intact, hospitality major Hilton is sharpening its focus on high-growth markets such as India. With a record development pipeline, an expanding brand portfolio, and a franchising-led strategy, the company is positioning itself to capture the next wave of travel demand—particularly from emerging middle classes.

In an interview with Fortune India, Christian Charnaux, Executive Vice President and Chief Development Officer at Hilton, shares insights on regional growth trends, the company’s owner-first approach, and why India is central to its long-term strategy.

How are development environments assessed globally, and what makes Hilton a preferred partner for owners?

The global picture remains “very positive,” with travel continuing to expand across regions, says Charnaux. While Hilton has roughly 6% of the global market share today, it accounts for about 20% of new development coming into the system.

“That tells you two things—one, the overall pie is expanding, and two, our share of that growth is increasing,” he says. Mature markets like the U.S. continue to perform strongly, while emerging markets such as India offer significant long-term opportunities, driven by infrastructure growth and rising incomes.

On the owner proposition, investors are ultimately seeking strong and predictable returns. Hilton’s model is built around delivering that through a global platform, a portfolio of 26 brands across segments, and a loyalty base of over 240 million Hilton Honors members.

This, in turn, drives higher demand and better margins. “Our hotels consistently outperform their competitive sets,” notes Charnaux, pointing to the company’s RevPAR index advantage.

What is the outlook for global travel demand, and which brands are driving growth?

The outlook remains “cautiously optimistic,” says Charnaux, with travel increasingly becoming less discretionary as more consumers enter the middle class globally.

Demand continues to be resilient despite geopolitical uncertainties, and modest RevPAR growth of around 1–2% in 2026 is expected, supported by improving demand and relatively constrained supply growth.

Growth is broad-based, with strong momentum in the midscale and premium economy segments. Brands such as Hampton and Spark are key drivers, particularly in emerging markets.

At the same time, luxury and lifestyle brands such as Waldorf Astoria and Curio continue to expand in gateway cities, reflecting the strength of a diversified portfolio catering to multiple price points and travel occasions. 

What does Hilton’s global pipeline look like, and why is India central to its strategy?

Hilton ended 2025 with a record pipeline of over 520,000 rooms across 129 countries, with more than half located outside the U.S., underscoring its international growth focus.

The company added nearly 100,000 rooms last year and expects net unit growth of 6–7% going forward—an indication of strong owner confidence in its brands and platform, adds Charnaux.

India is “one of the most important long-term growth markets,” he says, highlighting the significant gap in hotel penetration—roughly one branded hotel room per 3,000 people in India, compared to one per 60 in the U.S.

The company currently has about 100 hotels trading and in the pipeline, alongside partnerships that could scale this significantly. The opportunity, particularly in the midscale segment, remains immense.

How will Hilton scale in India, and what role do localisation and franchising play?

Hilton’s relatively smaller footprint in India is being viewed as an opportunity. “It’s still early in building the network effect here,” says Charnaux.

With 5 brands currently in the market, the portfolio is expected to expand to around 10 brands in the coming years. As more brands are added across segments—from premium economy to luxury—the ecosystem strengthens, attracting both guests and owners.

Localisation remains a key pillar, with design, service elements, and guest experiences tailored to reflect local preferences while maintaining global standards.

For instance, Hampton by Hilton properties in India will incorporate locally relevant design and amenities.

Franchising is central to the expansion strategy, enabling partnerships with local operators and allowing faster, more capital-efficient growth. “India is a large, underserved market for branded hotels. Franchising blends local entrepreneurs’ market knowledge with global brands like Hampton and Spark—creating strong growth and wealth opportunities,” says Charnaux.

Strategic agreements to develop large portfolios of hotels are already accelerating this expansion, notes Charnaux.

What challenges remain, and what will drive Hilton’s next phase of growth?

Challenges such as land acquisition, construction timelines, and regulatory complexities persist, though these are not unique to India.

What stands out is the strength of demand fundamentals, driven by rising incomes, infrastructure investment, and a growing middle class. 

Looking ahead, growth will be driven by “strong brands, the right partnerships, and long-term demand drivers,” says Charnaux. Markets like India are expected to play a critical role in Hilton’s expanding global footprint.

“The opportunity is not just large—it’s highly predictable,” he adds.

For Hilton, the strategy is clear: scale with discipline, deepen partnerships, and stay anchored to long-term demand fundamentals. As global travel continues to expand, albeit unevenly, markets like India are emerging as critical growth engines—not just for incremental expansion, but for shaping the future of hospitality consumption. With a strong pipeline, a widening brand portfolio, and a franchise-led playbook, Hilton is positioning itself to capture this opportunity at scale. As Charnaux puts it, “the momentum is already in motion”—what remains is execution in markets where the demand story is only just beginning.