V.Competitive Analysis
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Direct & Indirect Competitors
The following Bed and Breakfasts are located within a 10 mile radius of [Company Name], thus providing either direct or indirect competition for customer acquisition:
The Madison Concourse Bed and Breakfast
The Madison Concourse Bed and Breakfast is Madison’s leading Bed and Breakfast and has been in business for 20 years. The Bed and Breakfast offers a wide array of services and amenities that you typically find at a Bed and Breakfast.
The Madison Concourse offers luxury amenities, many of which are not necessary for travelers and charges a high price for those amenities ($200-300 per night). Furthermore, the Bed and Breakfast does not offer a small conference room, only larger meeting spaces. Additionally, this Bed and Breakfast does not offer wireless internet in sleeping rooms.
The Edgewater Bed and Breakfast
The Edgewater Bed and Breakfast has been in business for 15 years. The Edgewater Bed and Breakfast offers a variety of services and amenities all typical of the Bed and Breakfast and hospitality industry.
However, [Company Name] has several advantages over The Breakers Bed and Breakfast including:
- Edgewater is priced at a premium because of its waterfront location
- Edgewater’s rooms are aging and in need of renovation
- Edgewater does not have studio apartment options for long-term stay
- Edgewater does not have meeting space
Doubletree Bed and Breakfast Madison
Doubletree Bed and Breakfast Madison is located four miles to the East of our intended location. Doubletree Bed and Breakfast Madison has been in business for the past 10 years and is part of the Hilton family of Bed and Breakfasts, allowing it to use centralized booking with Hilton and the Hilton loyalty points system.
[Company Name] has several advantages over Doubletree Bed and Breakfast Madison including:
- Doubletree Bed and Breakfast Madison does not have a central downtown location
- Despite the rooms being more modern than most existing, Doubletree Bed and Breakfast Madison is still behind the time with no LCD TVs or Wireless Network.
While we expect that Doubletree Bed and Breakfast Madison will continue to thrive based on the Hilton loyalty program, we expect that more and more customers will frequent [Company Name] based on the value offered for a similar price and more central location.
Competitive Pricing
| Madison Concourse | Edgewater Bed and Breakfast | Doubletree | |
|---|---|---|---|
| King Room | $150-$200 | $200-$225 | $235-$265 |
| Executive suite | $250-$325 | $375-$400 | $325-$400 |
| Family Suite | $350-$425 | $400-$475 | $425-$500 |
Competitive Advantage
[Company Name] enjoys several advantages over its competitors. These advantages include:
- Location: [Company Name]’s location in the downtown area, gives the best access to the airport, tourist attractions, corporate center, downtown, shopping and restaurants. The Company also offers adequate parking making it easy for customers to relax upon arrival.
- Business Amenities: Wi-fi throughout the Bed and Breakfast will make working remotely simple for business visitors.
- Management: Our management team has years of business and marketing experience that allows us to market and serve customers in the same manner as our most sophisticated competitors.
- Relationships: Having visited the community for a number of years, [Founder’s Name] knows all of the local leaders, newspapers and other influences. As such, it will be relatively easy for us to build the brand and awareness of the Bed and Breakfast.
