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Prime Stay Motel Chain Ferris Batie Sanjay Prasad Patrick Simpson Xin Tian.

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Presentation on theme: "Prime Stay Motel Chain Ferris Batie Sanjay Prasad Patrick Simpson Xin Tian."— Presentation transcript:

1 Prime Stay Motel Chain Ferris Batie Sanjay Prasad Patrick Simpson Xin Tian

2 “Prime Stay" is a new motel chain aimed at offering affordable and consistent quality in India's most popular business and leisure destinations. Prime Stay provides clean and comfortable lodging to business and leisure travelers on a budget. Guest going with Prime Stay can rest easy knowing that with our online reservation system their room will be ready when they arrive and in the top-notch condition they've come to expect. A stay with Prime Stay means an affordable, convenient and comfortable guest experiences every stay.

3 Market Opportunity The fact is… India hotel & motel industry 2007: $4.5 billion, up 15.5% Domestic consumers: 57.1%, growth rate: 8% The reasons are…. Demand-supply disparity  Lower cost airlines  Upgrading of national highway New business opportunities Rising income

4 Customer Business Travelers Middle level executives who  open offices during start-ups  stay for long duration projects  attend conferences, conventions Leisure Travelers Individuals, couples, families who  attend sporting or social events  shop  visit friends & relatives  visit hospitals & universities Bed & breakfast Printer, fax machine & telephone Free high-speed internet Parking & guiding service We offer

5 Financials Cost Components, 2015

6 Market Entry Plan A Single Transaction Reserve Online/Phone Credit Card/Driving License Info. Check InCheck Out Credit Card Charged

7 Channels and Sales Strategy ChannelStrategy Business TravelersCorporationsSend brochures DirectAdvertising-Radio, Newspaper, Magazines Leisure TravelersSports and Social EventsSponsor local events UniversitiesOn-site advertising DirectAdvertising-Radio, Newspaper, Magazines

8 Competition CompetitorMarket SharePrice($)LocationMajor Players High-end Hotel Chains big130-350City centerTaj Group of Hotels Oberoi Group of Hotels Le Meridien Group of Hotels Best Western Group Independent Motel Operators medium30-120HighwayIndividually-owned w/ different qualities Local Budget Inns small20-50SuburbanIndividually-owned w/ different qualities

9 Competitive Advantage Low prices: only $40 per night A vivid brand image: Comfort, Economic, Convenient Simple but fashionable decoration Fresh and welcoming environment A focus on providing the best quality Bed and Breakfast Effective distribution channel: online or telephone

10 Team Sanjay Prasad CEO/Marketing Ferris Batie COO Patrick Simpson HR/PR Xin Tian CFO

11 Risks Competition intensifies: Occupancy rate may not reach the projected number. Prime Stay will heavy emphasis on its differentiation points and gradual creation of a brand. Rent is too expensive: Quality locations may cost significantly more than projected ($100/sq. meter annually). Prime Stay will budget for large rent expenses and will be looking into possible government partnerships regarding real estate issue. Change in traveler’s behavior: If middle-class travelers would rather spend $100 to live in a higher-end hotel, Prime Stay would not be a appealing to these people. The management team will be analyzing the travel trends and make adjustments should any significant change in the trends occur.

12 Thank you! Questions?


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