Top Franchise for 2013: Hampton Hotels
Hampton Hotels ranked first on the 34th Annual Franchise 500 list by Entrepreneur magazine. For a third consecutive year, the Hampton brand holds its place as top franchise. Hampton Hotels is the only hotel brand to achieve and maintain the top place in the ranking. This is a remarkable accomplishment having in mind the fact that the company made the ranking just four years ago. "To have held the top ranking for three years in a row is a true testament to the trust and commitment our franchise owners have in the Hampton brand", says Phil Cordell, global head of focused service and Hampton brand management. “Our strong business model, passionate corporate leadership and committed team members around the world are exactly why Hampton continues to be an award-winning brand."
About Hampton Hotels:
Hampton Hotels opened its first location in 1983 in Tennessee. Since then, the number of hotels and inns of the Hampton family has reached over 1900 worldwide /and counting/, most of which are owned and operated by franchisees. Hampton Hotels features a wide variety of products in its portfolio- from mid-level inn rooms to high-end suits with guest rooms, both at moderate prices. Since the opening in 1983, Hampton Hotels has emphasized on quality customer care. It is proud with its Hamptonality- a unique approach to customer care that aims at building a Hampton culture. Hampton Hotels offers a bundle of free services that competitors do not provide- from complimentary continental breakfast with hot waffles and oatmeal for everyone’s taste, to free Wi-Fi and free local calls for all guests. The company upgrades its services constantly in accordance with customer needs. 
The Hampton Hotels management believes their customer-oriented philosophy is the key to their success in growing their brand name worldwide. "The rules of engagement have changed so much over the last three years--who the customer is, where they come from and why they purchase from you are all changing" Cordell says. "It used to be, in hard times, people would adjust their spending and be frugal, then go back to their old behavior. That's not happening. People's values have reset, and we understand that."
About Franchise 500:
Entrepreneur’s annual Franchise 500 list ranks the top franchises. The 2013 ranking indicates the newest business trends and shows which the fastest-growing industries are. "This year's Franchise 500 shows a strong upsurge", says Amy Cosper, vice president and editor in chief of Entrepreneur."Collective unit numbers from the listing almost doubled between 2011 and 2012, thanks to expanding opportunities like Hampton successfully growing their brands." The ranking of the top Franchising 500 companies is based on objective factors. Employee satisfaction and loyalty are not taken into consideration. The franchises are given points for different factors. The points are collected and the businesses with the best result enter the ranking. “The most important factors include financial strength and stability, growth rate and size of the system” Entrepreneur writes. ”We also consider the number of years a company has been in business and the length of time it has been franchising, startup costs, litigation, percentage of terminations and whether the company provides financing”. The use of this method guarantees a transparent and precise ranking.
What makes Hampton Hotels successful:
Hampton’s ranking history shows that in 2009, right after the recession, Hampton Hotels made the ranking for the first time as 21st in the list. A year later, in 2010, it scored 4th. Hampton management has not only found a way to retain the business right after the recession in 2008, but also turn it into the lead force in the hospitality industry.
The Hampton success is due to its policy of extensive international expansion. New franchises are open simultaneously in different countries each year. In 2012, the international Hampton franchises numbered 34. Another factor for its success is the differentiation of both customers and new franchisees. "We're not naive enough to just replicate the U.S. Hampton and plop it into country X" says Cordell. "Guests will always receive a free breakfast, free high-speed internet and a clean bed, but there will also be local differentiation. In Europe, they expect a small bar and light cafe menu. China is a country where many U.S. brands have failed because they haven't understood that need to be local, or appreciated the mindset of the Chinese consumer. We're trying to … enter that market in the right way".
