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Travelodge Swot Analysis

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Chance also investigated the franchise route but concluded that it was not for Junction Hotel with its luxury, independent image. Also in joining a global luxury hotel group proved to be very costly and restrictive for the longer term financial success. Shifts in perception especially over time can occur. Wallace, chairman of Travelodge argues that they are not a budget but “value” hotel comparing them to how customers view and now use EasyJet in comparison to British Airways.(Scotsman 2015) Reduced costs lead to increased savings and can become the accepted normality as in the Subway chain where customers fill their own drinks.
Chance recognises the rich history within Junction Hotel and realises he must develop the hotel further along its core strengths of luxury provision in developing the different departments within. New ownership areas were created in “Team Junction Restaurant”, “Coral Reef Spa” and the “Wedding Service Package”. Overall impressions must be well beyond basic value and that of luxury desirability eg wedding venues.“Earlier this year, Travelodge revealed a surge in profits as its owners reportedly lined it up for a sale that could value it at more than £1 billion. The figures highlighted the progress made by the group, which almost collapsed under a …show more content…

The turnaround in fortunes was achieved by solid sound management who implemented a new structured plan identifying the various areas in which improvements had to be made over a period of time. The main element to the transformation was realised by capturing greater occupancy numbers to visit/stay in the hotel utilising existing football contacts and the new listings with online sites. Also in adopting the time saving and cost cutting practices in various specific areas. However, the “Junction International” did not realise its full potential as part of a luxury chain due to the loss of individuality as well as higher operating

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