Page 1: Introduction
Fast-developing organisations have a range of business objectives that provide a direction for their actions and drive them forward, particularly in markets that are prone to change and innovation. In recent years few market areas have changed quite as much as that of hotels, where there has been a general recognition that consumer groups have different and changing requirements.
This case study outlines how Travelodge quickly established itself as the leading brand in the budget hotel market and how it is now consolidating this position through embracing the Internet technologies needed to create competitive advantage in the 21st century.
Many leading businesses have gained their positions of prominence by identifying consumer needs that are poorly provided for and then presenting business solutions to satisfy consumer requirements. Having provided the solutions to customer needs, the intelligent business will then seek to improve its product in line with ever-rising customer expectations.
Travelodge is an example of a leading brand which has been created in a relatively short space of time. Today, nearly everyone has heard of Travelodge, yet the first lodge only opened in 1985. Travelodge recognised the need for budget accommodation when it created the sector in the UK, with the opening of the first lodge at Barton-under-Needwood, a 20-bedroom property on the A38 near Burton.
Today Travelodge has over 200 properties in the UK and Ireland providing more than 10,000 bedrooms. Travelodge now has properties in most major towns and cities. The 200th site opened in the city of London in July 2000. This was a 140 bedroom Travelodge just off Liverpool Street in Harrow Place.