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Description
SWOT Analysis This is a detailed SWOT analysis of Premier Inn. Strengths Locations Many Premier Inn hotels are close to the airport and famous tourist attractions as some hotels are also close to the university. This allows different customer groups to be close to where they need to go (Manns, 2020). Brand Image Premier Inn has developed a perfect brand image over the years where a child-friendly image and bicycles, and complimentary 24-hour Wi-Fi are essential selling points for the hotel. For 7 consecutive years, it was named "Great Britain Hotel" at the British Travel Awards 2017. It was voted Best Hotel Brand at Discounted Rates in the Business Travel Awards 2020 and won the TripAdvisor Travelers' Choice Award in 2019 (George, 2021). Weaknesses Limited Global Presence Limited global capacity is Premier Inn's weakness, as Premier Inn does business in very few countries (Pearson, 2020). Although, it has won many honours from some of the UK's prominent organizations. Refund Issues Premier Inn has been charged with refusing reimbursement to specific customers who have made reservations in certain parts of Wales that are tightly locked. This leaves many customers unsatisfied (Manns, 2020).
Big Issues with Hygiene A secret video shot by a Channel 4 reporter in February 2018 showed that cleaning staff (agent staff) employed at the Premier Inn used the same towels for guests to clean the entire bathroom, including the toilet (Pearson, 2020). In the same vein, the union expressed concern over the operational practices of Premier Inn. Opportunities New Markets The exploration of new markets where it is worth getting to know more countries and regions. After successfully entering Germany, Premier Inn finally entered the Republic of Ireland (Aprilioni, 2017). New Décor Some hotels have experienced the design and decoration of state-of-the-art rooms, which is a pleasant surprise for budget hotel guests. In 2018, they signed a contract with an executive company for a comprehensive update of tiles and flooring and solving the flammable cladding of some real estate (Evans, 2019). Threats Competitors The main competitors of Premier Inn are the Holiday Inn, EasyHotel and Ibis in the same category of the economy hotel segment, but also face stiff competition from Marriott and many other small, independent hotels (Pearson, 2020).
Legal Threats Due to some of the issues listed in the vulnerability section above, if Premier Inn fails to act as needed (possibly from the union and the health and safety director), legal action may be taken against Premier Inn (George, 2021). Lockdowns In recent years, the blockade has devastated many companies around the world. Premier Inn has also been hit hard. Such situations in the future can become extremely difficult (Manns, 2020).
PESTEL Analysis This is a detailed PESTEL analysis of Premier Inn. Political Factors Following the global economic slowdown, the government introduced several policies to stimulate economic growth. Based on these political factors, the strategy adopted by Premier Inn is successful, especially the business strategy. Premier Inn's business strategy is aggressive and fits the political situation. In addition, Premier Inn has also launched the Good Together program to reduce carbon dioxide (Manns, 2020). These practices are not in line with the governmentbacked plan but are in line with the demands of the environmental society. Economic Factors The Olympic and Paralympic Games offer great opportunities for the British hotel industry. Of course, Premier Inn took the opportunity as it built a series of hotels adjacent to the Olympic Stadium. The new website will play an essential role in facilitating the consumer. The marketing strategy adopted by Premier Inn has worked. However, in the past year, regional
revenues fell by around 6.4, while the regional hotel sector fell by 8.5, and the entire regional hospitality industry fell by 9.6 (Evans, 2019). Social Factors Social factors also play an essential role in business development. Living conditions, income distribution and lifestyle have a significant impact on the way companies operate. As living conditions improve, people tend to spend more money enjoying life and rest after work because their work is too busy and they rarely have free time. Therefore, the services offered by the best hotels meet the demand. However, domestic demand was weak after the economic crisis, and more Britons chose to travel by boat over domestic travel (Aprilioni, 2017). These social factors are not advantages of the hospitality industry. The Good Together Premiere Plan reflects the efforts to protect the environment, improve the company's image, and increases the company's competitiveness. Technique Factors Premier Inn has launched a new website that now has over 3 million visits per month. In addition, the company lowers internal costs by improving management. The problem, however, is that it relies too much on international tourism. After the outbreak of the economic crisis, this mode of operation is very dangerous, and the company may have problems (George, 2021). Therefore, Premier Inn should develop several strategies to attract these potential consumers. To serve these high-quality customers, Premier Inn should provide amenities and services that meet the highest demands. High-quality multi-functional rooms equipped with the most modern communication devices (including online 3D conferences) will be very attractive.
Environmental Factors Today's customers are more vigilant and generally prefer organizations that care about the environment and consciously engage in business activities that help reduce pollution and dispose of waste properly. A strong emphasis on corporate social responsibility (CSR) is one of Premier Inn's core competencies. Formulated a strong corporate social responsibility strategy to achieve "Together for Good" and the Whitbread direction (Evans, 2019). Premier Inn's environmental policy is based on an environmental and energy policy that includes several CSR compliance principles. Legal Factors To avoid legal problems and maintain high standards, the parent organization of Premier Inn has developed a Responsible Sourcing Policy that defines Premier Inn's minimum standards and policies for working with suppliers, contractors and business partners (Pearson, 2020). It also commits to working with suppliers as needed to support policy delivery.
References
Aprilioni, J.R., 2017. Studi Deskriptif Pengembangan Sumber Daya Manusia pada Premier Inn Hotel Surabaya. Agora, 5(2). Evans, N., 2019. Strategic management for tourism, hospitality and events. Routledge. George, R., 2021. Tourism and Hospitality Products, Branding, and Pricing. In Marketing Tourism and Hospitality (pp. 249-283). Palgrave Macmillan, Cham. Manns, J., 2020. Growing closer: Reflections on the future of visitor accommodation and the city. Journal of Urban Regeneration & Renewal, 13(4), pp.357-364. Pearson, C., 2020. Mock Tudor. Architectural Theory Review, 24(2), pp.211-213.