INTERES Invest in Spain

Horacio Alcalá, International Development Manager

1. Why did you choose Spain to make such an important investment?
We already have three hotels in Spain so we understand the market. The budget hotel market in Spain only represents 1% of hotels in this country so the potential is excellent. Spain’s internet usage is also one of the fastest in Europe which is very important to us as 87% of our customers book online.

2. What kind of points has your company valued most when it decided to make its investment in our country?
Strong tourism economy, internet usage, under developed budget sector

3. What is the importance of the Spanish market in your global strategy? Now or in the future.
It will be our second major growth strategy after the UK. It is a very important programme for us and in the long term, will be a major profit contributor to the Travelodge business.

4. Could you explain any differences between the Spanish market and other markets where Travelodge is implanted?
Spain’s budget hotel market is very under developed so there is much opportunity for Travelodge to expand. Internet usage is lower than the UK but catching up fast. This means that consumer choice is now growing in Spain and travellers can choose low cost products. IKEA and easyJet are two brands that are growing fast in Spain because of this. We believe Travelodge will have the same impact.

5. Your opinion about the Spanish hotel market.
The Spanish tourism product is world class and it is clear that the government give the industry a high priority. We believe we have an opportunity to offer Spanish business and leisure travelers a low cost product that offers the best value for money. The budget sector is yet to develop and no existing hotel company in Spain really offers a genuine low cost product.