Choice Hotels SWOT Analysis, Competitors & USP

SWOT analysis of Choice Hotels analyses the brand by its strengths, weaknesses, opportunities & threats. In Choice Hotels SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Choice Hotels to benchmark its business & performance as compared to the competitors. Choice Hotels is one of the leading brands in the tourism and hospitality sector.

The article below lists the Choice Hotels SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Choice Hotels SWOT Analysis:

SWOT Analysis of Choice Hotels

For Choice Hotels, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.

Choice Hotels Strengths

The strengths of Choice Hotels looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Choice Hotels :

1. Affordability and high quality service giving a unique customer experience
2. USAs first hotel chain
3. Franchises more than 6100 hotels in over 30 countries and territories.
4. Very strong presence in US

5. Diverse portfolio

6. Expansion is easier due to the franchise model

7. One of the world’s largest lodging franchisor

Choice Hotels Weaknesses

The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Choice Hotels SWOT Analysis:

1. Limited international presence and is dependent on the Indian market

2. Difficult to maintain control over each franchise

3. Sales team is too aggressive leading to a loss in credibility

Choice Hotels Opportunities

The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Choice Hotels SWOT Analysis:

1. Emerging markets and expansion overseas
2. Service expansion
3. Rising income

4. Emphasis on promotional programs and packages to increase loyalty

Choice Hotels Threats

The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Choice Hotels are as mentioned:

1. Competitors, Indian/international venturing into the segment
2. Local hotels/inns with better offerings and a legacy to back them up
3. Franchise customers can move to other such brands (eg. Best Western)

Choice Hotels Competitors

There are several brands in the market which are competing for the same set of customers. Below are the top 3 competitors of Choice Hotels:

1. Best Western
2. Country Inn

3. Ginger Hotels

Hence this concludes the Choice Hotels SWOT analysis.

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About Choice Hotels

Choice Hotels Overview
Parent Company	Choice hotels
Category	Hotels and Resorts
Sector	Tourism and Hospitality
Tagline/ Slogan	Please help yourselves
USP	Good comfortable, affordable lodging
Choice Hotels STP
Segmentation	Budget Hotels, Mid-Market, Upscale
Target Market	Middle class, high tech youths, extended stay, backpackers, value driven leisure travelers, pet friendly hotels
Positioning	A global hotel chain that emphasizes on good services with a good value.

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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