CHTM27: Premier Inn's Business Development & Hospitality Strategies

This report provides an analysis of Premier Inn's business development and management strategies within the UK hospitality industry. It highlights the significance of the hospitality industry to the UK's GDP, Premier Inn's market position, and its competitive landscape. The report covers Premier Inn's facilities, current business status, and issues, including a SWOT and PEST analysis. It also offers recommendations for business improvement, emphasizing data processing, social media engagement, and enhanced facilities. The conclusion underscores the importance of management systems and consumer relations for sustained success. Desklib offers a platform for students to access this and other solved assignments and past papers.

HOSPITALITY
AND TOURISM
INDUSTRY

HOSPITALITY INDUSTRY
OF UK
 The hospitality industry of UK chiefly
represents the hotels, restaurants, pubs and
leisure companies of the nation that serves
both local as well as international consumers
(Bowie et al. 2016).
 bears high significance to the nation, since it
produces approximately 4 percent UK GDP per
year.
 pays around 57 billion pound as tax to the UK
government in the year 2016, which is nearly
half of VAT (Falk 2016)
 One of the fourth largest industries in UK
 Lacks support from the UK government

THE PREMIER INN HOTEL
CHAIN
 Premier Inn is a British hotel chain and the UK's
largest hotel brand
 The total number of rooms in the premier inn hotel
till date is 72,000 (Joo-Ee 2016).
 The total number of hotels in the hotel chain is 785.
 The hotel is found to operate in a good number of
locations that includes suburbs, airports and city
centers.
 The chief competitors of the mentioned hotel are
Travelodge and Ibis Hotels (Liu, Sun and Wang2016)
 The organization has their hotels in Ireland, UAE,
Quatar, India and Germany along with India
 The nature and quality of the products as food, drink
and for accommodation purpose are also high

THE PREMIER INN HOTEL
CHAIN
 The chief consumers of the hotel chain include
upper middle class as well as elite class consumers.
 hotel staffs are provided with effective training in
order to ensure high satisfaction of the consumers
 Premier Inn rooms feature a super comfortable
double or king size bed, en-suite bathroom, remote
control television, facilities of making tea and coffee
along with desk area (Bowie et al. 2016)
 irons, hairdryers as well as free cot hire also
available for the consumers on request
 the organization has introduced “hub” hotel chain
 The target consumers of the “ Hub” hotel chain is
middle class as well as upper middle class
consumers.

FACILITIES PROVIDED AT
PREMIER INN
 Food and Beverages
 Premier Inn provides the consumers superior quality of services as well
as products in order to stay competitive in both UK
 Both breakfast and dinner is offered to the consumers by the hotels
 A full plate of breakfast at Premier Inn starts from 9.50 pounds
 Kid friendly breakfasts with yogurts and chocolates are also served at
the hotel
 The kids breakfasts up to two children are offered t the guests on
purchase of a Full premier Inn Breakfast
 consumers can also avails a good number of bakery items, sweet treats,
soups, one pots, sandwiches and salads (Bowie et al. 2016)
 Other operations
 Premier Hotel chain as well as the newly found “Hub” Premium Hotels
include luggage room facilities and free Wi-Fi services
 The Wi-Fi provided by the Premier in organization is sufficient for
browsing the web. The maximum data limit allowance is 1GB per day
 However, if enhanced Wi-Fi experience is need that will enable the
consumers to download large files or movies, they can upgrade to high
speed (Ford and Sturman 2018)

CURRENT BUSINESS
STATUS OF PREMIER INN
 As per the Brand Strength Index (BSI), Premier
Inn has scored 88.7 ahead of Holiday Inn at
85.4, Days Inn at 85.2, Hilton’s 84.9 and
Hampton by Hilton’s 84.6.
 Well trained staffs, superior quality of services
as well as products can be considered as the
chief reasons behind high branding of the hotel
 The management of Premier Inn maintains a
regular track of the services provided by
themselves as well as their competitors
 the hotel chain is currently leading in the
hospitality industry of UK (Ford and Sturman
2018)

ISSUES OF PREMIER INN
 The organization does not provide the
consumers with any kinds of leisure
facilities like gym and swimming pool
facilities
 The organization does not provides
room delivery to the consumers (Ford
and Sturman 2018)
 This is imposing negative impact on the
competitive advantage of the
organization

SWOT OF PREMIER INN
Strengths
• the organization is in its
growth stage
• The hotel chain has
strong presence in UK
•The brand image of the
hotel is good
Weaknesses
• A good number of hotels
of the premier Hotel chain
are facing hygiene issues
• limited global presence
till now is another
weakness of the
organization
Opportunities
• New market in the
Middle east
•Can implement new décor
Threats
• The competitors of the
mentioned hotel chain is High
•The organization is may
also face major legal threats
due to hygiene issues

PEST ANALYSIS
Political
•Political condition of UK is
currently stable.
•The government is open to
new investors for the
Hospitality and tourism
industry
Economic
•The economic condition of
majority of the residents are
stable
• However, the labor charge
is high
• Hotel management needs to
import labor from middle
eastern countries
Social
• A cross cultural tension is
present
• Due to expansion in business,
the number of foreign travelers is
increasing
• The population is a aging
Technological
•The nation is technologically
advanced
•24*7 hours facilities of internet
and transportation are present
• Technology has facilitated
communication and transfer of
information bridging the gap
between several parts of the

BUSINESS DEVELOPMENT,
MANAGEMENT STRATEGIES AND
RECOMMENDATIONS FOR BUSINESS
IMPROVEMENT
 The organization should work closely with a
technically capable data processing and
analysis specialist
 The first step is to gather consumer data
held in various operating systems run in
various parts of the business (Joo-Ee 2016).
 It should include web bookings as well
 Secondly single consumer view should be
incorporated in order to split information
collected in n organized way
 The last step that needs to be incorporated is
consumer segmentation (Bowie et al. 2016).

MANAGEMENT STRATEGIES AND
RECOMMENDATIONS FOR
BUSINESS IMPROVEMENT
 In order to deal with this case, the organization
needs to be highly active in social media platforms
 A detailed post about the incident that took place
and justifications on behalf of the management
should be given
 Along with this regular interaction of the company
with the consumers should be kept in order to
maintain and enhance the company consumer
bonding (Ford and Sturman 2018).
 Along with this, the organization needs to work on
improving its facilities.
 In order to enhance its competitive advantage,
room service facilities can be introduced by the
mentioned organization.

MANAGEMENT STRATEGIES AND
RECOMMENDATIONS FOR
BUSINESS IMPROVEMENT
 The organization should use a selected Best outcome
platform in order to manage complex programs (Joo-
Ee 2016)
 The management should create milestone
reporting for each stage of the process
 The second step will be to co-ordinate all
processes: property, construction, legal, marketing,
housekeeping, finance and IT
 The third step will include creation of visibility of the
project process, costs, contracting as well as facilities
management
 Finally it is required to mitigate the risk of project
slippage in order to ensure best practice across the
portfolio (Liu, Sun and Wang 2016).