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Travelodge Turnaround Understanding how CX can become a competitive advantage

Travelodge Turnaround - Engage CX Marketing · [email protected] @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

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Page 1: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Travelodge Turnaround Understanding how CX can become a competitive

advantage

Page 2: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Travelodge

• 500+ hotels

• 35,000 rooms

Page 3: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

UK Hotel Market

• Lots of competition

• Structural move from unbranded to branded

• Mid-range value brands account for most new capacity

Page 4: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

2008 - Customers had lots of choice but brands were relatively similar

Differentiated

Cu

sto

mers

Competitor CX

Trapped

Parity

Free

£ €

Page 5: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Which would you choose?

1 2

Page 6: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

On receiving end of CX improvement

YouGov Brand Index 2009-2013

2009

Gap: -27

2013

Gap: -70

0

20

40

60

80

100

120

De

c-0

9

Jan-1

0

Feb

-10

Ma

r-1

0

Apr-

10

Ma

y-1

0

Jun-1

0

Jul-1

0

Aug-1

0

Sep-1

0

Oct-

10

No

v-1

0

De

c-1

0

Jan-1

1

Feb

-11

Ma

r-1

1

Apr-

11

Ma

y-1

1

Jun-1

1

Jul-1

1

Aug-1

1

Sep-1

1

Oct-

11

No

v-1

1

De

c-1

1

Jan-1

2

Feb

-12

Ma

r-1

2

Apr-

12

Ma

y-1

2

Jun-1

2

Jul-1

2

Aug-1

2

Sep-1

2

Oct-

12

No

v-1

2

De

c-1

2

Jan-1

3

Feb

-13

Travelodge - Brand Index Premier Inn - Brand Index

Bra

nd

In

de

x P

oin

ts

Page 7: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Present: Customer experience differentiation has changed markedly

Differentiated

Cu

sto

mers

Competitor CX

Trapped

Parity

Free

£ €

Page 8: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Travelodge – Simple strategy

Update and improve the product

Re-launch the brand

Regain market share and RevPAR

Focus on the customer

Continue to build new hotels

Page 9: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Our CX strategy – reduce the differential

1 2

Page 10: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Understand what matters most to experience

Net Promoter

Comfortable Stay

No Problems

Rooms Great Value for Money

Hotels Located Where I Need

To Be

Hotel Clean and

Maintained

I Feel Cared For

Page 11: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

CX programme founding principles

Always start with “Customers tell us…”

Keep the cost base intact

Make it easy for hotel teams to do

• Pillow Talk is primary source • Decisions made in the room

• No addition without customer or life cycle cost benefit

• Simplify process – complexity in centre • Support behaviour change – Make it fun

Page 12: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Let the team shine

Customers told us our staff were our greatest asset

Page 13: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Delivering what customers want from the inside out

One Team Clean

Behaviour change disguised as a cleaning programme

Page 14: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Customer & employee Net Promoter scores have moved together

0

5

10

15

20

25

30

35

40

2012-13 2013-14 2014-15

Net

Pro

mo

ter

Sco

re

NPS

E-NPS

Page 15: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Our customers are spreading the word for us

0

50

100

150

200

250

300

350

400

2013 2014 2015

Number of Hotels with 4+ TripAdvisor Rating

156

301

380

Page 16: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

That’s Travelodgical…

Form a vanguard

Meet customers on the shop floor

Fail fast, fail productively

Lessons learnt from last 5 years

Page 17: Travelodge Turnaround - Engage CX Marketing · andrew.archibald@travelodge.co.uk @archie3001 . Title: Presentation title Author: Andrew Archibald Created Date: 12/9/2015 12:10:29

Thank You

Andrew Archibald | Director of Customer Experience

[email protected]

@archie3001