Travelodge kicks off price check campaign
Monday, 20 Jan, 2009
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Travelodge is kicking off a supermarket-style price war with a campaign that checks the rates of rival hotels.
The ‘price check’ initiative is designed to highlight the savings to be made if consumers shop around.
Travelodge has teamed up with an independent price monitoring company to check more than 1,300 hotel rates every day.
The budget chain is supporting the price checking with a national advertising campaign highlighting up to £70 difference per night against hotel rivals such as Marriott.
Comparisons to its major budget rival Premier Inn will show a gap of up to £20 for the same night in the same area, Travelodge claims.
It will also highlight “rip-off” pricing practices such as ‘per person, per night rates’ and ‘excluding VAT’ prices.
Travelodge’s first price check revealed savings if customers were prepared to switch hotel brands and do away with non-essential extras in some cases.
The chain is to make £13 million-worth of price cuts this year by maintaining £9 and £19 sales and aims to sell 2.5 million rooms at less than £30.
It recorded a booking every two seconds in the first hours of a new year £9 sale.
Travelodge claims to have seen a significant increase in new customers from higher priced three and four star rivals as consumers’ cash has tightened over the last six months.
This is a trend supported by both the Henley Centre and an independent study by market specialists, BDRC, according to Travelodge.
The Usage and Attitude survey stated that 46% of hotel users prioritise price when booking an overnight stay.
The study also shows that a £10 price saving would encourage 30% of business and 37% of leisure customers to switch to another hotel brand in that same location.
Travelodge UK managing director Guy Parsons said: “Consumers are now in a daily battle to manage their finances and maintain their lifestyle.
“We are all now being uncompromising on value and rightly so. This new approach will ensure that Travelodge is the undisputed leader on price and customers will feel that with us, they have secured the best possible deal.”
He added: “It cannot be right that mid market hotels such as Hilton and Marriott can charge up to £70 more for the same location on the same night.
“Our price checking shows that even fellow budget operator; Premier Inn is charging up to £20 more a night for the same night’s sleep.
“Offering shower caps, trousers presses and fluffy bedspreads does not justify hiking prices beyond consumers’ reach. Customers must be able to access maximum value when they stay away in this country.”
*Prices charged by major hotel brands across the three biggest UK cities and top 2009 UK holiday destinations within a 30 day period starting January 16 (source: Travelodge)
|
Hotel Brand
|
Birmingham
|
Edinburgh
|
London
|
|
Hilton
|
£85
|
£106
|
£130
|
|
Marriott
|
£135
|
£94
|
£172
|
|
Thistle
|
£75
|
£92
|
£96
|
|
Holiday Inn
|
£85
|
£74
|
£96
|
|
Premier Inn
|
£63
|
£76
|
£78
|
|
Ibis
|
£50
|
£59
|
£63
|
|
Travelodge
|
£38
|
£45
|
£51
|
by Phil Davies
Phil Davies
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