Competition

Competitive Set Intel• You against the rest mentality (but find allies)

S.W.O.T Comp Set Analysis• Comparisons between you & your competition

Parking Lot Sweeps• New leads & effective ways to find new business

Competitive Set IntelligenceDefinition:• The focus is on the external business environment.• A process of gathering information, converting it into intelligence and then

utilizing this in business decision making.• The use of public sources to locate and develop information on competition and

competitors.

Goals of Competitive Intelligence:•Detecting competitive threats•Eliminating or lessening surprises•Enhancing competitive advantage by lessening reaction time•Finding new opportunities

Primary Objective for Competitive Intelligence:The objective of competitor intelligence is not to steal from a competitor. It’s to gather information in a systematic, overt (i.e., legal) manner that when collated and analyzed provides a fuller understanding of a competitor’s structure, culture, behavior, capabilities and weaknesses.

Competitive Set Intelligence Be Creative, Think ‘outside the box’ How would a prospective guest look for a hotel? Learn 'who' your competitor's Top Clients are Are your competitors more Corporate or Leisure oriented? What specials do they offer? (Can you match) Daily Call A Rounds: Calls to surrounding hotels to check their occupancy & rate.

(Standard in most areas) These calls will give you an idea of how the market is currently performing &

can help with rate negotiations. Set up a hotel visit & see what your competitor's property looks like. Visit their website, check rates, check amenities Revisit your competitive set analysis sheet (next slide)

Comp Set Analysiso Comp Set Analysis

o Everyone did one this yearo Lists of how you match up

against your competitiono Main sources of Business

o Revisit Business Plano Do this monthly/quarterlyo Lets you know how you’re

property is performingo Tracks progress

o Update Comp Set Info o New Properties to the areao Any changes in the market o Amenities (You vs. Comp) o Comp Set’s Top Clients o Advantages/Disadvantages

o Revisit Annual Budgeto Advantages/Disadvantages

StrategyImplementing strategy: Getting a game plan together (ahead of time) is crucial! EXECUTION! 80% of the battle is executing your strategy. Pick up the phone, get off your butt!

Market analysisThe overall market: Understand seasonal demand & the level of rate flexibility.Changes in the market: New projects, construction & events will help when posting rates. Market segments: Leisure, Corporate, Group/Tour, Government, University (see next page)Target market and customers: What is your hotel’s specialty? (Family, Corporate or Leisure) Customer characteristics: Is your hotel more Group, Corporate or Construction-Oriented?Customer needs: Guest percentage breakdown. (Suburban is 50%+ Extended Stay) Customer buying decisions: Are there a lot of hotels near you? What are your key selling points?

Competitive analysisIndustry overview: What is the primary demand in your market? (University, Vacation, Business)Nature of competition: Do you work with certain hotels in area (same brand) or is WAR?Changes in the industry: Are there large projects starting (or ending) in the area?Primary competitors: Competitive Set, specific hotel that you are constantly competing against. Competitive products/services: How do you compare (amenities, service, location) Be HONEST!Opportunities Threats and Risks: New Hotels being built, more competition & partnerships.

S.W.O.T Analysis

Comp Set S.W.O.T Analysis

Action PlansTarget Market segments  S.W.O.T Analysis

Action PlansTarget Market segments  

S.W.O.T Analysis

Action PlansTarget Market segments  

S.W.O.T Analysis

Action PlansTarget Market segments  

S.W.O.T Analysis

Comp Set

Know your SurroundingsKnow your CompetitionKnow your Market AttractionsKnow your Key Demographic

Comp Set Parking Lot Sweeps•Pick 4-6 Hotels (preferably in your comp set)•Parking Sweeps 1-2 times per week (after 7pm)•Monday – Thursday (more worker truck leads)•Take a quick picture & edit later•Make sure you follow up on leads IMMEDIATELY!•Mention you ‘noticed’ their vehicles in the area•Don’t say you saw them at ‘X Hotel’

• Be able to explain why you’re contacting them•It’s not ‘stealing’ if you’re just viewing public areas

• It is if you enter a location without permission

•Keep an excel list of leads to track (example next page)

Comp Set Parking Lot SweepsList of Leads from 1 NightLess than 1 Hour (5 Hotels)

Parking Sweeps: • Recognize repeat vehicles• Understand why they’re in

town• Immediately research that

company & get started!

Recruit Others: (Staff)• Simple as being observant

while driving around town. • Ask staff members to look

for out of town vehicles.• ‘Ask’ for their input & ideas

• http://en.wikipedia.org/wiki/Competitive_intelligence• http://www.evisionworldwide.com/competitor-analysis-for-hotels/• http://www.va-interactive.com/inbusiness/editorial/bizdev/ibt/analyze_comp.html• http://www.xotels.com/en/revenue-management/revenue-management-book/competitor-analysis• http://www.itsincognito.com/services_competitor_analysis.php• http://en.wikipedia.org/wiki/Competitor_analysis• http://uhaweb.hartford.edu/katrichis/Mktg_Pln/SA_mktpln_example/HTML%20Files/expsaiiic.htm• http://www.hotelcompete.com/journal/120516_hotel-comp-set-analysis/• http://smallbusiness.chron.com/four-major-types-competitive-strategies-24974.html• http://www.hotelnewsnow.com/searchresults.aspx?q=+competitive+set• http://www.lodgingmagazine.com/PastIssues/PastIssues/Comp-Sets-Revisited-2343.aspx

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