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Quiet Night Motel Case

Tristan Knaus owns the Quiet Night Motel, which has been experiencing low occupancy rates and faces increasing competition. The motel only offers basic amenities and services. A regional study found potential customers prefer facilities with recreational amenities like a pool and WiFi. To attract these customers, the report recommends Tristan remodel the motel to add more amenities, improve his online presence and marketing, or franchise under a well-known brand like Days Inn. Franchising under Days Inn would allow the motel to benefit from their proven advertising, promotions and booking systems without large upfront costs.

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Martial ATTA
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343 views1 page

Quiet Night Motel Case

Tristan Knaus owns the Quiet Night Motel, which has been experiencing low occupancy rates and faces increasing competition. The motel only offers basic amenities and services. A regional study found potential customers prefer facilities with recreational amenities like a pool and WiFi. To attract these customers, the report recommends Tristan remodel the motel to add more amenities, improve his online presence and marketing, or franchise under a well-known brand like Days Inn. Franchising under Days Inn would allow the motel to benefit from their proven advertising, promotions and booking systems without large upfront costs.

Uploaded by

Martial ATTA
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as ODT, PDF, TXT or read online on Scribd
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Quiet Night Motel case

Problems
Tristan Knaus is troubled by the poor performance of his Quiet Night Motel. The motel
occupancy rate is below the average in the industry, and competition is expected to be more
aggressive soon.
Causes
Tristan has chosen to run a low-cost motel that only offers standard room services and
fundamental amenities such as breakfast. Therefore, it seems to suit better, people who are
looking for a room for just one night or two. Tristan does not invest in advertisement and
promotion and makes insufficient efforts to increase the good reviews on online hotel websites.
Also, the location attractiveness, favorable for vacations and near an interstate highway, has
the rumors to predict an inflow of new competitors.
Recommendations
The regional tourist bureau recent study revealed some compelling findings. This study provides
a profile of visitors in the area, potential customers for the motel. The bureau concluded that
potential customers are mostly young or couples without kids and are willing to spend a
relatively long time in the area, thus at the hotel, and they would be pleased with a facility that
offers recreational accommodation.
Tristan will need to cope with that type of customer. He will have to increase the customer
awareness of Quiet Night Motel and remodel the facility or add more amenities such as a
swimming pool and a Wi-Fi connection. To achieve this new plan independently, Mr. Knaus
could perform some affordable changes in the physical environment of the motel, be active on
the internet, put up some visible signs, and adhere to marketing organizations such as The
Leading Hotels of the World (LHW) for the bookings and promote the uniqueness of the motel.
However, it will not make it easy as an independent owner to face increasing competition with
established brand names. Therefore, the option of operating the motel under a well-known
brand seems to be the most effective solution.
Become a franchise for Days Inn, even though binding, would allow Quiet Night Motel to be
part of a nationally known brand that operates on the same market segment, the low priced
motels, with the same mission to stay affordable, comfortable and consistent anytime. Days Inn
has a proven TV advertising, sales promotion, and membership program system that has been
successful for decades and open to new adhesions. It does not require significant investment,
and it provides business and customer support. The consistent increase in room occupancy rate
will help take care of the franchise and booking fees and make profits.
Holiday Inn has a similar membership program and has seen good results from its print
advertising. But it requires substantial capital investments to be part of the brand, and there is
no guaranty of matching returns on a reasonable length of time, even though the room rate will
almost double.

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