Contemporary Themes in Hospitality Industry

This presentation discusses the contemporary themes in the hospitality industry, including PESTEL analysis, SWOT analysis, and current and future trends. It explores the factors affecting supply and demand in Whitbread and Travelogue hotels. The presentation provides insights into the political, economic, social, technological, environmental, and legal factors impacting the industry. It also highlights the strengths, weaknesses, opportunities, and threats of Whitbread and Travelogue hotels. Additionally, it discusses the current trend of internet services and future trends like direct booking and tracking facility. Overall, the presentation offers a comprehensive understanding of the hospitality industry and its key aspects.

CONTEMPORARY
THEMES IN
HOSPITALITY
INDUSTRY

TABLE OF CONTENT
 PESTEL ANALYSIS
 SWOT ANALYSIS
 CURRENT AND FUTURE TRENDS

PESTEL ANALYSIS
Analysis of macro environment is necessary for the organisations in
hospitality industry. As with the help of this analysis strategies can be
made for the future action plan. With the help of PESTEL analysis
organisation will be able to decrease the competition level within
limited period of time. Various factors of PESTEL analysis are as
follows-

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Political factor- It is concerned with stability and policies of the
government of a particular country. The VAT rate in UK is stable
from past many years and due to this organisations are able to
operate its business activities in the proper manner. It is proving as
positive sign for hospitality industry(Menet, 2016). While in some
countries the rate is continuously fluctuating and due to
organisations in this industry need to make changes so that negative
impact can be decreased.

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For example- In this type of factor Travelogue is facing various type of problems and
issues. This is because government is focusing on making changes in the rules and
regulations for the well functioning of hospitality industry. Due to this work of
Travelogue as well as Whitbread is negatively affected.
Economic factor- It is related with per capita income, inflation and deflation rate of
the economy. After the introduction of Brexit in the economy of UK the functions
of various organisations of hospitality industry is negatively getting affected. The
competition level in this type of industry is very high so it become essential for the
organisations to make plans for reducing negative impact of Brexit.

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For example- It is very much essential for Travelogue to make appropriate plans and
strategies for reducing negative impact of Brexit. As by doing this organisation
will be able to attract more and more customer's within limited period of time.
Social factor- It is related with preferences, belief and values of customer's which
directly affects the performance of organisations in hospitality industry.
Customer's demand is uncertain which lays a negative impact on the functioning
of Whitbread(Myung, McClaren and Li, 2012). To reduce adverse impact of this
factor various training programmes can be arranged for the employee's. So that
they are able to meet the demand of customer's in the systematic manner.

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For example- To know the exact demand of customer's in hospitality industry
Travelogue can analyse the exact need and preferences of the customer's. As by
doing this satisfaction level of the potential customer's can be improved.
Technological factor- Hospitality industry required use of latest tools and techniques
for competing the task in the efficient manner. Latest technology are used in
Whitbread so that their satisfaction level is enhanced. Online booking facility is
introduced for its customer's and various discount coupons are offered to them. The
major motive behind this is to reduce the chances of negative impact of this factor on
the functioning of organisations in hospitality industry. If the hotels are able to make
best use of latest technology than its sale and productivity will be directly increased.

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For example- There is high degree of competition due to technological factor and its
directly affects the growth and profitability of Travelogue. So to overcome this
problem management of the hotel can introduce nee innovative services so that
competitive advantage can be achieved.
Environmental factor- It is related with protection and conservation of natural
resources by using laws in the systematic manner. To reduce the negative impact
of this factor organisations are aiming at establishing green parks. Healthy
atmosphere is created within the premises of Whitbread so that customer have
good experience while visiting the hotel.

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Example- Travelogue hotel needs to make disciplined rules and
regulations so that best and competitive position can be
attained by the hotel.

SWOT ANALYSIS
SWOT analysis is very essential for various organisations which are
operating its business in UK. As with the help of this strength ,
weakness and opportunities can be known in the efficient manner.
SWOT analysis will lead to using the available opportunities for
attaining competitive position in the market for a longer period of
time. Various factors of SWOT analysis related to Whitbread is
discussed below-

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Strengths
 The price of the services offered by the hotel is according to the
paying capacity of customer's. Due to this Whitbread is able to
create wide customer base.
 Different kind of discount coupons are offered to the customer's.
This is led to creation of loyalty among potential customer's.
Weakness
 The rooms of Whitbread are not in good condition due to this
customer's are not satisfied.

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 Demand of large size families are not fulfilled by hotel because its
rooms are small in size.
Threats
 Hilton, Travelogue and Marriott are the top competitors of the
hotel. This is affecting the sale and profitability of Whitbread.
 The need and demand of customer's in this type of industry is
unlimited and ever-changing. Due to this growth of the
organisation is getting affected in the negative manner.

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Opportunities
 Whitbread has wide range of opportunity to introduce its business in
different parts of Europe.
 The organisation can make plans for coming into partnership with other
hotels, so that its market share is increased.
With the help of this analysis management of Whitbread will be able to vital
decisions regarding the operations and strategies. Negative impact of
decrease in customer's base will be reduced because appropriate solution of
the problem can be drawn.

SWOT Analysis of Travelogue
Strength
 The price of its services are decided according to the paying capacity of its
customer's.
 The brand image of the hotel is positive and due to this its sale and profitability
is increasing.
 The advertisement plans Travelogue is appropriate. This helps them in attracting
large number of customer's.
Opportunities
 The management of the organization can make plans and strategies for
introducing their business in international market.

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 Major improvements in the services can be done.
 Advertisement polices can also be improved.
Weaknesses
 Appropriate set of services are not provided to the customer's.
 Food and other facilitates is also not up to the mark.
 Its online booking facility is also not up to the mark.

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Threats
 The competition level in this type of industry is very high.
 The customer's of the hotel are not satisfied because its food services are
not proper.
 Work is also getting affected because of tax polices.
Factors effecting supply and demand of Whitbread Hotel Group
The hotel is focusing on increasing its performance in UK, various types of plans and strategies
are made to achieve the targeted goals and objectives in the best possible manner. But the
management of Whitbread is unable to forecast actual need and demand of its customer's. Due
to this hotel is not able to supply better services and satisfy the demand of its potential
customer's.

Factors effecting supply and demand of Travelogue Hotel
Hotel is also making different kinds of plans and strategies to full fill the demand of its
potential customer's. Since the organisation is lacking in online booking facility so
major changes can be made to increase the brand image of the hotel. As by doing
this actual demand of the customer's will be fulfilled and competitive advantage
can be achieved.

CURRENT AND FUTURE
TRENDS
Trends helps the organisations to achieve its targeted goals and
objectives in the best possible manner. Some of the current and
potential trend in the hospitality industry is mentioned below-
Current Trend
Internet services- It is the latest trend which is going on in the
hospitality industry. The major motive of this trend is to provide
adequate information to the customer's related to the hotel in which
they are planning to spend their leisure time.

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Trend 1- the need and preferences of the customer's are changing at a rapid growth rate. It becomes
essential for the organisations in this type of industry to make different set of strategies so that large
number of customer's can be attracted.
Trend 2- As the present scenario customer's of the hotel are demanding transportation facility so that
they can reach to their destination within limited period of time.
Trend 3 – customer's in this type of industry are also demanding proper entertainment facility. So the
management of organisation can make plans and strategies for organising sports and cultural
activities. As by doing this large number of customer's can be attracted.
Trend evaluator- If the management of hotel is successful in using these trends than hotel will
automatically perform better. Its overall performance will be increased and better competition can
also be given.

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Tech explosion- Customer's are demanding better services with affordable
prices. But they do not like to disturb the employees of hotel for
fulfilling their demands. So latest technology can be launched in which
best use of technology can be done in a friendly manner.
Future Trend
Direct Booking- Inter- Whitbread can launch online booking facility for its
customer's. As with the help of this they can book rooms in the hotel according
to their need and convenience without wasting time(Yoo and Bai,2013).

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Tracking facility- This technology aims at tracking the location of visitors
or tourist. With the help of this technology large number of visitors can be
attracted.
If the motive of Whitbread is to increase its sale and profitability than some
changes in the use of tools and techniques and working environment can
be done. As with the help of this hotel will be able to sustain in the market
for longer period of time. The changes can be training and development
programmes can be arranged for workforce. As with the help of this best
use of resources and latest trend can be made.

CONCLUSION
There are also various kinds of opportunities available in the market
which can directly lead to increase in sustainability of hospitality
industry. PESTEL and SWOT analysis can be conducted by industry
for analysing the external environment in the systematic manner.
With the help of this analysis better plans can be made for the giving
tough competition to the competitors which are operating their
business in same type of industry.

REFERENCES
Books and Journals
Anderson, C.K. and Xie, X., 2010. Improving hospitality industry
sales: Twenty-five years of revenue management. Cornell
Hospitality Quarterly. 51(1). pp.53-67.
Blomme, R.J., Van Rheede, A. and Tromp, D.M., 2010. Work-family
conflict as a cause for turnover intentions in the hospitality
industry. Tourism and Hospitality Research. 10(4). pp.269-285.
Bowie, D., and et. al., 2016. Hospitality marketing. Routledge.
Buhalis, D. and Crotts, J., 2013. Global alliances in tourism and
hospitality management. Routledge.