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Cynthia Calagan Consumer Behavior Travelodge Case 4-5-01 Situation Analysis Travelodge is a hotel that offers lodging and accommodations at economical prices Travelodge is targeting the travel market with a focus on business travelers They currently have a travel program for their frequent guests where they can receive a free night of accommodations after 10 qualified stays Due to a shift in the travel market they are currently designing a new rewards program that will hopefully attract more business for Travelodge Environmental Scanning The recent belt-tightening recession has resulted in less pleasure traveling Many companies that are trying to cut back on spending have more rigid limitations in what their employees are allowed to spend on travel expenses while on business trips As a result of these stricter spending polices many corporate business travelers have begun staying at budget hotels and inns The US tourist industry has also lost a lot of revenue due to international economic issues The UK is currently facing problems with their livestock industry which has cost them millions of dollars UK tourists in many cases no longer have the funds to spend on international vacations to the US so many hotels have to implement new strategies to increase current business and attract new business Strengths Travelodge is already established in their industry and have over 600 locations throughout North America They offer nice accommodations at low prices 45-80 per night They have a great website that offers online booking pictures of each location both inside and out and photos of the hotels amenities Travelodge has come up with a great travel rewards program that allows users to receive points for every dollar that they spend at a Travelodge or Thriftlodge location which they can accumulate and redeem for frequent-flier miles free hotel
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