Granada will pump 150m into the Travelodge budget hotel chain over the next three years to build new city centre sites and revamp existing hotels.
Travelodge is considering a first move into TV advertising. It is looking for a broadcast sponsorship deal to raise brand awareness, with Granada increasing Travelodge’s ad budget to 3m this year.
Travelodge marketing manager marc Bell says: “The budget sector is recognised as being under- developed in the UK, where it makes up about two to three per cent of supply, compared with 15 per cent in the US.”
Travelodge has appointed TBA Marketing to take the budget hotel concept to a broader market of business and leisure travellers. As part of the Granada group, it will work with ITV sales house Laser Sales.
The agency already handles the 3m through-the-line account for sister brand Little Chef – last week Grey was handed a 5m long-term TV advertising project (MW March 5).
Travelodge previously used Barrington Johnson Lorains & Partners.
Granada aims to build 25 new city centre hotels by the millennium, in addition to regional development. It has already built budget hotels in Birmingham, Glasgow, London, Edinburgh and Milton Keynes, with a flagship hotel at London Docklands. It recently unveiled plans for a city centre site in Aberdeen.
See Media Analysis, page 16