Understanding your weaknesses involves some critical self-evaluation. These are internal factors that are within your property’s control. Weaknesses refer to elements that inhibit growth or optimal performance, or things that your hotel lacks.
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For example, if all of your competitors provide fast check-in and free wi-fi, then this is not a strength in your market: it's probably a necessity. Remember, any aspect of your organization is only a strength if it brings you a clear advantage. Use your own knowledge of the property, as well as staff and guest feedback, to map and include your intangible strengths alongside the tangible ones. Maybe your front desk employees have a higher level of training and professionalism, or your business center provides more modern value, or your food and beverage is significantly better than the competition’s. But don’t forget to include intangible strengths in your analysis. Strengths can include tangible benefits such as intellectual property, proprietary software, and capital. Which metrics have you identified that are better than average, or better than your competitors’? What are the things that your hotel does well? What do customers say about their interactions with you? Consider these factors as advantages that your hotel has at its disposal. These are internal factors that are within your control.
This refers to the positive traits, both tangible and intangible, that are present in your hotel. Here are a few metrics you may want to include in your analysis: You can find reports containing many of these metrics in your CRM and PMS systems. What is the status quo? Metrics and Key Performance Indicators (KPI’s) are an important part of this process, as they give you hard data you can use and compare to other properties, brands, or similar initiatives. Critically examine your metrics and results.īefore you begin mapping out your strengths, weaknesses, opportunities, and threats, you need to gather all of the information about your hotel and the proposed initiatives that you can. Think of opportunities and threats as external factors, arising from your market, your competition, and the wider economy.īring strategy to life with industry-leading tools 2. To clarify which section an idea belongs to, it may be useful to think of strengths and weaknesses as internal factors – that is, to do with the organization, its assets, processes, and people. A SWOT analysis can help you brainstorm the pros and cons of these actions, and give your team a good idea of whether to move forward with the proposed initiative. Think about key initiatives, projects, or purchases that your property is considering in the next year. It can also be used for smaller decisions that still have an important strategic impact, such as switching your CRM software, adopting new in-room technologies, or purchasing modular furniture for your event space. In the hotel industry, SWOT analysis can be used for large strategic initiatives like opening a new property, considering refurbishment, or rebranding. SWOT analysis works well when you’re considering a change and need to know if it’s worth the time and money required.
Discover the 7 simple steps for a hotel SWOT analysis: 1.
Here we’ll take a look at the seven simple steps you need to take to create your own powerful SWOT analysis. The key is that you take a look at the four main areas - strengths, weaknesses, opportunities, and threats - and see how they stack up for the proposed project.
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Rather than buying software as a result of negative reviews, declining sales, or turnover of key staff, you can consider your options carefully and decide on actions before problems arise.Ī SWOT analysis can be as simple or as complex as your hotel requires, from a back-of-the-napkin sketch with bullet points all the way up to a formal report. The key benefit of this type of analysis is the opportunity it gives you to plan ahead and approach problems proactively. In the hospitality industry, this tool is used for everything from software purchasing to refurbishment and adoption of new in-room technologies. As a result, SWOT diagrams can be especially useful when trying to decide whether or not to embark on a certain venture or strategy by visualizing the pros and cons. A SWOT diagram analyzes a project or business venture by focusing on each of these factors. SWOT stands for strengths, weaknesses, opportunities, and threats. A SWOT analysis is a classic tool used for strategic planning and decision making.