Travelodge Hotels Ltd: UK Sector Analysis and Tourism Employability

This report provides a comprehensive analysis of the international tourism industry, focusing on the UK sector and the case of Travelodge Hotels Ltd. It begins with an executive summary and an introduction, followed by an overview of the company and its operations. The report then delves into the key issues affecting the hospitality sector and Travelodge, including sustainability, higher customer expectations, the use of mobile applications, marketing and reputation management, and guest experience personalization. It examines the main characteristics of the hospitality sector from economic, political, social, and environmental perspectives. The analysis incorporates the impact of factors like Brexit and technological advancements. The report concludes with a summary of the findings, highlighting the challenges and opportunities for Travelodge within the evolving tourism landscape. The report uses various sources to support its findings and includes references in the Harvard system.

3/27/2020
Running Head: THE INTERNATIONAL TOURISM INDUSTRY AND EMPLOYABILIT 0
The International Tourism Industry and Employability
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Table of Contents
Executive summary......................................................................................................2
Introduction...................................................................................................................3
Company overview.......................................................................................................3
Issues for hospitality and Travelodge Hotels Ltd.........................................................5
Sustainability.................................................................................................................5
Higher customer expectations..................................................................................6
Streamlining processes with mobile applications.....................................................7
Marketing and Reputation Management...................................................................7
Guest experience personalisation............................................................................7
Main characteristics of the hospitality sector................................................................8
Economic..................................................................................................................9
Political......................................................................................................................9
Social.........................................................................................................................9
Environmental.........................................................................................................10
Conclusion..................................................................................................................11
References.................................................................................................................12

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Executive summary
Most of the industries have based on technological innovations including the
hospitality industry. The hospitality industry has faced many issues because of
changes in the economy, social, and environmental changes. Besides, there are
many good things in the industry, which are based on technology and management
as well. In addition, this report will analyses the Travelodge company based on its
business processes and strategies. It will describe about the different factors of the
hospitality industry on Travelodge including social, economic, and environmental.
Besides, most of the things can be managed using AI-based systems. This report
will provide details about it.

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Introduction
The tourism industry is affecting the economy of a country that is an important part of
improving the financial status of a country in the international market. Travelodge
Hotels Ltd is a well-known company in the UK. The company will open 100 new
hotels at various places by 2024 (Hancock, 2019). The firm has created an excellent
image in the industry based on its services including stay and food. Besides, the
hospitality industry has based on the services to its customers (Agnew & Viner,
2001). Besides, the tourism and hospitality industry has connected. Most of the
people visit hotels because of tourism. The UK is a well-known place to travel in the
world. The company has provided its services in the UK as well as Spain and
Ireland. Thus, it is an important part of a system to improve the services to attract
travelers for better services (Akehurst, 2009). This report will be discussed about the
company profile and its issues along with the hospitality industry. This report will
analyze the challenges of the hospitality industry in the UK as well as the
international market including economy, political, social and environmental factors.
In this report, internal issues will discuss using proper pieces of evidence based on
the UK hospitality industry.
Company overview
Travelodge is a good company in the hospitality industry based on its services and
products as well. Most hotels have created a good image in their field based on the
basic processes (Arbelo-Pérez, et al., 2017). The company has provided online
services for its customers, which is the best way to manage customer relationships
for a long time. The company was founded in 1985, which is the first value brand
hotel in the UK. It was situated in Barton, which is in the heart of England. The
company has operated more than 570 hotels and serves 40,000 guest bedrooms.
The company has provided its services not only in the UK as well as Spain and
Ireland.
The company has opened more than 190 hotels, which have attached to the bar café
restaurant that is suitable for travelers. In the year 2020, the firm will open 13 new
hotels for travelers with an advance level of services for their guests. Besides, the

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firm will open more than 100 hotels at the end of 2024 using proper identification for
expansion of business as well.
It is an economic challenge in front of the company as well. Besides, there are many
other challenges have faced by the company as well in their business functions.
Travelodge is the second-largest economy hotel chain in the UK. However,
Travelodge will open new hotels, Inn, and conference venues as well (Binkhorst &
Den Dekker, 2009).
Besides, Travelodge will open a new site in which it will provide 395 luxury rooms for
guests in the city of London. Most of the hotels of the company are operated in out-
of-town locations. There is a huge investment in the hotel, as10 hotels will be part of
a £100m, which is near the UK event sites (Brown, 2005).
Source: (Travelodge, 2020)
In addition, there are various benefits of the hospitality industry, as the company has
reported revenues up 8.8 percent to £693.3m. it is the best way to improve the
revenue of the company in short terms. It is the best way to improve the profit of the

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firm as well. Besides, Premier Inn has performed 1.1 % in its revenue, which is 0.9 in
the Travelodge (Gurtner, 2016).
The firm has used various approaches to reduce the offset cost using occupancy
rates and other payment methods. Besides, there are many changes in business
rates and minimum wage and others. The firm has created a five-year plan for
transformation, which is helpful in the managing impacts of Brexit as well (Haan,
2018).
Besides, Travelodge will create about more than 3000 jobs in their new hotels, which
is a good opportunity for skilled employees. It will help in the employment agencies
of the government as well. Besides, tax, depreciation, Earnings before interest, and
amortization increased £9.6m in 2018 to £122m (Hall, et al., 2013).
Issues for hospitality and Travelodge Hotels Ltd
The hospitality industry has faced various issues that are based on different types of
things including social, political, environmental, and economy. In addition, there are
various things to manage in the hospitality industry that can be beneficial for long
time profit and revenue. There are some issues and challenges have faced by
hotels in their industry. Thus, it is necessary to manage those issues using proper
identification and other processes (Holden, 2004). These are some issues that are
faced by the Travelodge, which areas:
Sustainability
The hospitality industry has faced this issue in which sustainability is
necessary for various things including their business functions and
stakeholders. It is an increasing applicable issue because it could affect
hotel in different ways (Jayawardena, et al., 2013).
In addition, it is necessary to make all the business functions
environmentally friendly, as it is the demand of customers as well as other
government agencies because of the climate change issue in the globe.
Thus, Travelodge should provide a message on their website and another

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advertainment for eco-friendly systems in their hotels and guesthouses
(Jovicic, 2019).
Besides, Travelodge should get profit from monetary incentives, as the
government has focused on the green groups, which is a great advantage
for the hotel as well. Besides, environmentally pleasant technology can be
used for increasing the profitability of Travelodge as well (Litvin, et al.,
2008).
There are many other ways to improve sustainability using low-flush
toilets and many more. It will be best for the company as well. Most of the
functions can be changed using different types of technological
innovations (Maitland, 2010).
Source: (Travelodge, 2020)
Higher customer expectations
In this present era, travellers have required good and quality services, as they have
paid a large amount of time. Besides, online services can be used for efficiently
managing all the things. Besides, hotels should take action on the feedback of
customers to improve their services as well (McCabe, 2009).

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A manager should assure all the things proper for their customers, as lack of
attention is a reason for poor services. Thus, it is necessary to improve the visits and
identify issues in the services from various sources. Cleaning is a basic need of a
customer. Therefore, it should be proper in a hotel. Besides, labour is a huge issue
in the UK, as it is costly from other countries as well (Ooi & Laing, 2010).
In addition, the software can be used for properly taking services. The technician can
improve their processes to manage all the things in a better way. Besides, the hotel’s
manager should follow all the things in a better way (Peterson, 2019).
Streamlining processes with mobile applications
There is a big advantage of mobile technologies in the hospitality sector. Customers
can raise their issues according to their needs, which can be noticed by a person of
the hotel and it will resolve as soon as possible (Reisinger & Turner, 2012).
In addition, most of the mobile-based applications have used for resolving online
booking and other issues of a hotel. There is proper information about the booking
and packages, which is good for the customers and the company as well.
besides, computerized systems can be used for managing operations and crew
members as well (Robinson, et al., 2008).
Marketing and Reputation Management
In the case of the hospitality sector, marketing is a huge task to improve its
reputation in the market, as well as other benefits. Besides, the website should be
properly managed for updated information, which is suitable for the customers as
well. Most of the customers have used proper sources from the website and mobile
applications (Scott, et al., 2012).
Besides, ranking can be increased using blogs and other marketing resources
including social media sites, which is the best way to improve the image in the
market. Blogs are a useful tool for marketing as well (Scutt, 2018).
Guest experience personalization
It is necessary to use the feedback of the customers. Most of the people have
provided better resources and feedback. Personal experience should be noticed by
the managers as well. Most of the hotels have used customers' feedback for
improving their services, which is good for long terms. In addition, there are many

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benefits of feedbacks and suggestions as well. It can be more beneficial for new
hotels and inns.
Source: (Becken & Clapcott, 2011)
Most of the hotels are business hotels, which is the prime need of travellers and
business persons. In addition, there are many hotels near airports, which is a basic
need for travellers, as they have less time for various activities. Thus, resorts and
spas have covered a small amount from the hotel industry (Sharpley, 2018).
Main characteristics of the hospitality sector
Travelodge is a sacksful hotel chain in the UK, which is most popular in Spain and
Ireland as well. There are many good characteristics of the company. Thus, there
are many changes in the basic needs of the customers. Most of the things have
affected customers. The company has proved proper resources for booking of hotels
and services. Besides, it has included various good things, such as feedback and
suggestion policies and more (Turner & Guilding, 2014).
The company has managed all the things using technologies and other systems.
Mobile technologies have used for managing different processes. Sustainable
development is a new feature of the company, which is necessary for managing
different things in the hotels (UNWTO, 2019).

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Source: (Travelodge, 2020)
Economic
The company has faced challenges in its business because of Brexit and other
political issues. Most of the changes have affected economic conditions. The
company has planned for the next five years to resolve all the issues using their
characteristics (Van Vuuren & Slabbert, 2012).
Annual revenue of Travelodge in the United Kingdom (UK) from 2013 to 2017

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There are many good things of economic conditions, as labour market has affected
the business of the company as well.
Political
Brexit is a huge change in the various industries including the hospitality sector. The
company has involved new planning for more than 100 hotels by 2024 to manage its
business and revenue as well. It will be better to improve the profit and revenue
using business analysis (Vidal, 2018).
Social
The company has involved various social activities to contribute to the social works,
such as donation, community practices, campaign and many more. It is the best way
for social activities. Most of the firms have used community practices for social works
(Volo, 2013).
In addition, sales of the company have increased because of online travel sales.
Thus, customers have noticed social works as well (Weaver, 2011).
Environmental
Most of the hotels have used environmentally friendly resources in their business to
improve investment. Thus, natural disasters will be less using sustainable
development. The company has focused on its business functions as well.

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Source: (Scutt, 2018)
Travelodge is a best place for trust in the UK. Besides, business persons have
provided better ranking to the company based on their services.
Besides, Travelodge has invested over £1million in education its personnel to ensure
customized visits while existing visitors go back, or to welcome newcomers.
however, it is aware of its limits with regards to kitting out its rooms and the offerings
it offers (Gee, 2017).
Furthermore, the hotel industry should consider new opportunities for their growth in
the industry. Thus, most of the hotels have successful in the industry because of
technological innovation and strategic alignment of business processes. Besides,
Travelodge has improved its status in market based on their quality services and
sustainable development (Gee, 2017).
Conclusion
In conclusion, Travelodge has established its hotel business in the marketplace in a
good manner. Besides, there are many changes in the hospitality industry, which are
based on emerging technologies and innovations. Most important thing is that
Travelodge will open new hotels in identified locations, which will provide better
profitability and revenue as well. The company has identified different types of issues
in their hotels and the firm is trying their best to resolve those issues. Mostly,