Ever thought of a way of identifying the Strength, Weaknesses, Opportunities, and Threats that your company may encounter?
NB: This is an article from Catala Consulting
SWOT is a TOOL that helps hotel owners access favourable business opportunities in the context of market trends and get better insights into those areas needing adjustments and improvement. In this article, we have covered the basics of SWOT analysis and some common examples and DIY steps for performing an analysis.
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What is SWOT Analysis for hotels?
A SWOT analysis is a classic tool used in the hospitality industry for planning and decision-making. SWOT is an acronym for STRENGTH, WEAKNESSES, OPPORTUNITIES, and THREATS. The main aim of conducting an analysis is to discover the benefits while watching for what could go wrong.
SWOT analysis for Hotels comes in handy when deciding whether to proceed with specific changes or investments in your hotel by analyzing the pros and cons.
Performing an analysis is crucial in a hotel business because it enables you to detect opportunities and shows you how to attack specific bottlenecks ahead of time.
More so, it is worthy of note that SWOT analysis
varies depending on the type and size of the hotel. For example, there are luxury hotels, boutique hotels, all-inclusive hotels, casino properties, spas, and lifestyle resorts. Every hotel has its own business mission, essential marketing, and unique selling proposition.
Breakdown of SWOT Analysis of a hotel
To further understand SWOT analysis and help you conduct your own, we have broken down the acronym and provided some examples below:
STRENGTHS
These are areas where you have a tangible and intangible edge over your competitors in the industry. They are those qualities your hotel possesses that distinguish you from your competitors. In the hotel business, strengths are mostly any of the following:
