Premium Essay

Rosewood Hotels & Resorts

In:

Submitted By SonjaD
Words 702
Pages 3
Running Head: CASE STUDY

Rosewood Hotels & Resorts
Sonja D. White
Marketing In The Global Environment

Overview Rosewoods Hotels and Resorts have been operating for 25 years and possesses’ 12 hotel properties all over the world. The group of hotels has a well-built ability and power to raise value of properties by building unique, one of kind properties with a small ultra-luxury residential style. Emergence of new hotels has increased intense competition in the hotel industry and it has become difficult to position Rosewood’s collection of properties in an increasingly flooded field of luxury operators (Hatch & Schutz, 2008). Thus, the management team has been strongly considering Rosewood Hotels and the Resorts as the corporate brand, similar to other competitive brands. Following the Customer Lifetime Value (CLTV) analysis, Rosewood will implement a new brand strategy and work to bring remarkable improvement in the total profit and revenue.
Pros of Rosewood Hotels Moving to a Corporate Brand Higher customer life time value: The movement of Rosewood Hotels from individual brand to corporate brand will lead to higher customer life time value, which in turn, will results in higher profit and revenue. Better brand recognition: Corporate branding enhances the recognition of the brand name (Kotler & Pfoertsch, 2010). This attracts increased number of customers towards the hotel.
Retain higher customer loyalty: As the Rosewood hotel is dynamic and unique in every aspect, there will be a unique value linked to it. Maintain consistent service across properties: As the brand is introduced and established, customers are generally influenced by a known brand as compared to the new one, and thus, individual hotels could gain collective experience (Kotler & Pfoertsch, 2010).
Cons of Rosewood Hotels Moving to a Corporate Brand

Similar Documents

Premium Essay

Rosewood Hotels & Resort

...2. What would you recommend to Rosewood Hotels & Resorts? Rosewood Hotels and Resorts’ management is considering a new brand strategy. They are hoping this will strengthen customer awareness of Rosewood Hotels and Resorts' other luxury hotel and make the brand more present in advertising. That is, until now they have kept the ‘Rosewood’ name out of all marketing and advertising at all their luxury hotels. In order to make a shift they need to create an implementation plan that is going to be effective but must be very calculated in its way of doing so. Rosewood’s management envisions great potential in this branding, for instance, they will be able to build awareness of their other properties and boost sales in the process. If part of the marketing team, I would make the following recommendations: 1. Increase awareness of Rosewood Hotels and Resorts to their current customers. There are few current customers that know Rosewood Hotel and Resorts exists and manages other properties. We are provided instances in which guests have never heard of the Rosewood Brand unless expressly told by their travel agents. Incorporating a Rosewood Logo would alleviate this and solve this problem. The manner in which is done will need to be in line with the hotel’s ‘luxury’ appeal. 2. Educating current customers of Rosewood’s other ‘luxury’ hotel locations. If these customers are happy with their accommodations at hotels such as Jumby Bay in the Caribbean they will be more likely...

Words: 533 - Pages: 3

Premium Essay

Rosewood Hotels & Resorts

...Case Study 2: Rosewood Hotels & Resorts Problem Definition Rosewood Hotels & Resorts, a private hotel management company, wants to build a global reputation with its iconic luxury hotels such as The Mansion on Turtle Creek in Dallas, Texas and The Carlyle in New York. These properties, among others, currently thrive on their own name and the marketing of it. They currently do not have any “corporate” association nor have they ever. Each of these properties is so distinct that there is very little that ties them together. In early 2004, John Scott, Rosewood’s president and CEO, and Robert Boulogne, vice president of sales and marketing, were considering ways to associate all of Rosewood’s properties together under one brand. They think that tying them together under one corporate umbrella would make it easier to encourage guests to stay at one of their other hotels. They believe that if guests knew that all of the Rosewood properties were owned by Rosewood and part of the Rosewood group that they would likely return to another Rosewood property and would help build brand loyalty. Putting all of these distinct properties, each with unique histories under one brand has become more difficult that originally thought. If these changes were to take place they will need to be done carefully so that each of the unique hotels didn’t lose value on its own brand. They must also be able to convince the current co-op owners that it’s a good idea. Currently they do not...

Words: 2904 - Pages: 12

Premium Essay

Rosewood Hotels and Resorts Case Study

...Rosewood Hotels and Resorts is a business that has 12 establishments worldwide. Until 2004, the company has run an individual branding strategy; but recent events, such as the adoption of a new President and CEO, have the company considering a corporate branding strategy. Rosewood seems to have hit a roadblock with their current strategy; they are concerned that their guests do not fully understand the Rosewood brand. Rosewood believes if they are able to adopt a corporate brand, that their guests will recognize more of their facilities and become loyal which in turn could increase revenue because their guest’s customer lifetime value will have risen. Rosewood also believes that by implementing a corporate brand, they will have an advantage over their competitors. The main issue with their current branding is that their customers are unknowledgeable about their brand. If they instill a corporate brand, more guests will choose their Hotels over competitors. Rosewood believes that by becoming a company who runs a corporate brand strategy, they will be able to increase their cross-selling rate. According to analysis of guest data, corporate-branding properties had higher cross-selling rates among their properties than those that utilized individual branding. Research shows that having a corporate-branding strategy resulted in a 10% to 15% cross-selling rate; this is because up to 40% of their guests returned for another stay. We compare these numbers to those of the individual-branding’s...

Words: 859 - Pages: 4

Premium Essay

Rosewood Hotels & Resorts Executive Summary

...Rosewood Hotels & Resorts: Branding to Increase Customer Profitability and Lifetime Value Nature of Situation Rosewood Hotels and Resorts is a privately held hotel management company. Rosewood is the corporate entity behind many popular luxury hotels such as The Mansion on Turtle Creek and the Carlyle. Rosewood developed the luxury properties based on their concept of “A Sense of Place”. “A Sense of Place” incorporated the unique features-characteristics-culture of the location with the hotel to create a unique hotel at each location. In order to maintain the uniqueness of each individual hotel, Rosewood has kept the corporate company hidden from the boutique hotels. The strategy has allowed Rosewood to become a success and remain separate from some of their chain competitors. The differentiation of each hotel has created iconic hotels with no brand recognition amongst them. The following data demonstrates the importance of having brand loyalty in the luxury hotel business. 2003 report showed majority of customers did not know the Rosewood Brand. In 2004, John Scott, Rosewood President and CEO, and Robert Boulogne, vice president, were working to boost the growth and sales of the company. They looked to a competitor, AmanResorts, who had clientele that would seek out their hotels: Rosewood wanted to create the same clientele awareness. Rosewood was also collecting more data from their guests by using its central reservation system (CRS). The database is currently...

Words: 472 - Pages: 2

Premium Essay

Rosewood Hotels and Resorts Case Study

...Rosewood Hotels and Resorts is a business that has 12 establishments worldwide. Until 2004, the company has run an individual branding strategy; but recent events, such as the adoption of a new President and CEO, have the company considering a corporate branding strategy. Rosewood seems to have hit a roadblock with their current strategy; they are concerned that their guests do not fully understand the Rosewood brand. Rosewood believes if they are able to adopt a corporate brand, that their guests will recognize more of their facilities and become loyal which in turn could increase revenue because their guest’s customer lifetime value will have risen. Rosewood also believes that by implementing a corporate brand, they will have an advantage over their competitors. The main issue with their current branding is that their customers are unknowledgeable about their brand. If they instill a corporate brand, more guests will choose their Hotels over competitors. Rosewood believes that by becoming a company who runs a corporate brand strategy, they will be able to increase their cross-selling rate. According to analysis of guest data, corporate-branding properties had higher cross-selling rates among their properties than those that utilized individual branding. Research shows that having a corporate-branding strategy resulted in a 10% to 15% cross-selling rate; this is because up to 40% of their guests returned for another stay. We compare these numbers to those of the individual-branding’s...

Words: 319 - Pages: 2

Premium Essay

Rosewood Hotels & Resorts: Branding to Increase Customer Profitability and Lifetime Value.

...Analysis Rosewood business is going well but it lacks a cohesive brand image to optimize the customer profitability and lifetime value. The majority of Rosewood customers do not know that they are staying at a Rosewood hotel or even recognize the Rosewood brand. The new CEO John Scott recognized that the Rosewood brand had log recognition and brand-wide usage among guests and was an untapped asset. To increase the company’s value, Rosewood needs to increase the profitability of the current and future customers. It needs to develop a way to enable consumers to get more knowledge on the fact that they can enjoy “A Sense of Place” Rosewood type of experience in different parts of the world. Rosewood had two options by which it could encourage its customers to use more than one Rosewood hotels: * Introduce a frequent-stay program * Create/adopt a corporate brand Market research has shown that the number of guests enrolled in frequent –stay programs(mostly point based)grew by nearly 12% in 2003 and such programs are believed to double repeat business. Creating Rosewood brand awareness would provide a platform for encouraging Rosewood customers who stay at one of Rosewood property to stay at some of the others. It would not only increase cross property use and attract new customers, but also increase joint marketing activities and ability to build new properties and grow. Nevertheless, corporate branding undercuts the distinctiveness of each individual branded hotel and potentially...

Words: 1944 - Pages: 8

Free Essay

Wyndham Case

...Question 1 Intro. The difference between members and non members behavior at wyndam is: If hotel is willing to meet their expectations, members are willing to be more loyal to the brand Members v. Nonmembers Members are upscale travelers, business clients (131, 127) higher expectations of a personalized experience willing to pay for it (how do we know this? Please point to the data) members stay 20% more frequently than non members when they stay, their length of stay is shorter (p 131) members spent 25% more during their stays (131) >chris has this calculation non-members stay longer, but lesser number of stays brand awareness is 40% higher for members (131) ready to be loyal to brand when brand will take care of their preferences (126) Support Calculations (chris and hema have these) Conclusion Does the above information support the finding that ByRequest is targeting the right customers? -yes -the numbers are clearly showing members are spending more and staying less, meaning Wyndham has found a way to increase spending and repeat visits from customers that have potential for an even higher number of stays -business customers indicate location and service/previous experience are factors making them choose a certain hotel. If wyndham has a hotel at location, by request is all they need to guarantee customers will choose their hotel (126) (exhibit 6) II. Question 2 A: guests can convey exactly what they want e. amenities...

Words: 555 - Pages: 3

Premium Essay

Sheraton Case

...phone and looked pensively at the letter before him. The letter, dated March 15, 1994, was from Alitalia requesting a one-year contract for 40 room at $42 per night. In addition, the hotel would have to provide a crew allowance of $25,000 per day. Bills are to be paid within seven days of receipt of statement on a weekly basis. The problem facing Georges was a simple one: does he take Alitalia and fill the 40 rooms for 365 days at $42 or does he refuse the business and hope that he can sell the rooms at the full rack rate of $105.00? Last year he had 115 nights sold out. General Background of the Hotel Le Centre Sheraton was located in the downtown area of Montreal. It was viewed as a corporate/convention hotel. In 1987 the hotel was named winner of the Canadian Automobile Association “Four Diamond Award” and the “Four Star Award” from the Mobil Travel Guide. The hotel had 824 rooms including the Sheraton Towers – a prestigious five-storey hotel within a hotel. The Towers had its own check-in facilities, lounge, and special amenities. It contained 131 rooms including 16 suites. The balance of the hotel offered a choice of king, queen, and double beds with an additional 24 suites and six rooms specially equipped for people with disabilities. All rooms were equipped with a pay-TV system. The hotel operated three restaurants. Le Point de Vue on the 37th floor offered gourmet French cuisine and an exceptional wine list. It had a seating capacity of 84. Le Boulevard on the third floor...

Words: 1248 - Pages: 5

Free Essay

Unit 5 Project

...University Unit 5 Individual Project MKTG 205 – Principles of Marketing July 3, 2012 Abstract Marriott Hotel is a large franchise company who has grown and changed itself through-out their history. This paper will help explain their core business and things they do to put themselves above their competition. Hopefully after reading this you will have any over-all understanding on how they run their core business which has given them success. Marriott Hotels and Resorts Introduction Marriott was established in 1927 and began as a nine seat A & W root beer stand. Today Marriott has become one of the top employers because their ability to achieve superior business operations. (http://timeline.marriott.com) They have locations throughout the United States and are an international business as well. Describe Main Line of Business of the Company Marriott’s main source of business is lodging. Their focus is to provide clean comfortable rooms to their customers that allow them to relax and enjoy their stay. Marriott makes sure that they focus on all things you need in order to remove stress and permit their customers to have a pleasurable stay. Name Four Countries in which the Company Operates Marriott has many locations through-out the world to offer service to their customers. United States, Brazil, Belgium, and Australia are four locations where their hotels are located. Marriott is located in the majority of the world so it is easy to find a location when...

Words: 1170 - Pages: 5

Premium Essay

Production Management

...in. (Wyndham Hotel Group) Individual Assignment, Yuliana Lakhtina. January, 2013 Tables of Contents ------------------------------------------------- Abstract 3 Introduction 3 The body 4 Operation Management 4 Staffing and Organizational Chart (Cycle time) 6 Input- Transformation - Output Process 8 Yield/Revenue Management 9 Pricing 11 Room-Inventory Management 11 Wyndham Hotel Group 12 Lean Philosophy in Hospitality 13 Conclusion 15 Bibliography 16 Abstract This document’s goal is to identify and describe the way operation and production management practices can be used for the properties improvements and costs savings. As hotel companies manage and operate their business, they should focus on several strategies such to achieve the goal. There will be described in text how production management approaches influence hospitality industries. Introduction Hospitality industry has been always one of the most growing businesses in the world. People travel all the time and that is why this part of the business is always in the process of development. Nowadays, there are different types of the accommodation available for the customer, which makes it a very competitive industry. However, hotels are still staying the most preferable and comfortable choice for the travelers. I had a great experience working at the hotel-Wyndham Grand Plaza Royal Hangzhou in China, which is a part of the world known Wyndham Hotel Group. It is the...

Words: 4077 - Pages: 17

Premium Essay

Heeral

...Group, founded in 1934, operates 28 hotels and three cruisers in five countries under the luxury ‘Oberoi’ and five-star ‘Trident’ brands. The Group is also engaged in flight catering, airport restaurants, travel and tour services, car rentals, project management and corporate air charters. Oberoi Hotels & Resorts is synonymous the world over with providing the right blend of service, luxury and quiet efficiency. Internationally acclaimed for all-round excellence and unparalleled levels of service, Oberoi hotels and resorts have received innumerable awards and accolades. A distinctive feature of The Group’s hotels is their highly motivated and well trained staff who provide exceptionally attentive, personalised and warm service. The Group’s new luxury hotels have established a reputation for redefining the paradigm of luxury and excellence in service amongst leisure hotels around the world. Trident hotels are five-star hotels that have established a reputation for excellence and are acknowledged for offering quality and value. These hotels combine state of the art facilities with dependable service in a caring environment, presenting the ideal choice for business and leisure travellers. At present there are nine Trident hotels in India. These are located in Mumbai at Bandra Kurla and Nariman Point, Gurgaon (Delhi National Capital Region), Chennai, Bhubaneshwar, Cochin, Agra, Jaipur and Udaipur. The Oberoi Group also operates a Trident hotel in the Saudi Arabian city of Jeddah...

Words: 1136 - Pages: 5

Premium Essay

Courseproject of Hrm 592

...Course Project on Wyndham Hotels: TRAVELODGE Week 3: Organizational Survey Submitted to Prof. Samuel JnBaptiste by Samir Patel Student ID: D01486387. In Partial fulfillment of course requirement for MBA HR592 Training and Development. Keller Graduate School of Business & Management. January 27, 2012 TABLE OF CONTENTS: Wyndham Corp. Introduction ………………………………………………………….. 3 Hierarchy ……………………………………………………………………………….. 5 About TRAVELODGE………………………………………………………………… 5 History……………………………………………………………………………………6 Organizational Survey……………………………………………………………………7 Observation………………………………………………………………………………9 Reference………………………………………………………………………………..10 Wyndham Worldwide is one of the world's leading diversified providers of travel-related products and services for businesses and individual consumers, with leading brands in lodging franchising, vacation ownership, vacation rentals and vacation exchange. Wyndham has more than 160 vacation ownerships resorts. Over 95,000 vacation rental properties. There are more than 7,200 hotels in six continents under operations with the brand. Mission: We will be the global leader in travel accommodations welcoming our guests to iconic brands and vacation destinations through our signature Count On Me! Service. Count On Me! 1. To be RESPONSIVE to your needs. 2. To be RESPECTFUL in every way. 3. To deliver a GREAT Experience. Our Culture: Wyndham Worldwide strives to become the widely-recognized...

Words: 1672 - Pages: 7

Premium Essay

Sheraton Montreal

...phone and looked pensively at the letter before him. The letter, dated March 15, 1994, was from Alitalia requesting a one-year contract for 40 room at $42 per night. In addition, the hotel would have to provide a crew allowance of $25,000 per day. Bills are to be paid within seven days of receipt of statement on a weekly basis. The problem facing Georges was a simple one: does he take Alitalia and fill the 40 rooms for 365 days at $42 or does he refuse the business and hope that he can sell the rooms at the full rack rate of $105.00? Last year he had 115 nights sold out. General Background of the Hotel Le Centre Sheraton was located in the downtown area of Montreal. It was viewed as a corporate/convention hotel. In 1987 the hotel was named winner of the Canadian Automobile Association “Four Diamond Award” and the “Four Star Award” from the Mobil Travel Guide. The hotel had 824 rooms including the Sheraton Towers – a prestigious five-storey hotel within a hotel. The Towers had its own check-in facilities, lounge, and special amenities. It contained 131 rooms including 16 suites. The balance of the hotel offered a choice of king, queen, and double beds with an additional 24 suites and six rooms specially equipped for people with disabilities. All rooms were equipped with a pay-TV system. The hotel operated three restaurants. Le Point de Vue on the 37th floor offered gourmet French cuisine and an exceptional wine list. It had a seating capacity of 84. Le Boulevard on the third floor...

Words: 1257 - Pages: 6

Free Essay

Wal Mart

...Abstract Marriott Hotel is a large franchise company who has grown and changed itself through-out their history. This paper will help explain their core business and things they do to put themselves above their competition. Hopefully after reading this you will have any over-all understanding on how they run their core business which has given them success. Marriott Hotels and Resorts Introduction Marriott was established in 1927 and began as a nine seat A & W root beer stand. Today Marriott has become one of the top employers because their ability to achieve superior business operations. (http://timeline.marriott.com) They have locations throughout the United States and are an international business as well. Describe Main Line of Business of the Company Marriott’s main source of business is lodging. Their focus is to provide clean comfortable rooms to their customers that allow them to relax and enjoy their stay. Marriott makes sure that they focus on all things you need in order to remove stress and permit their customers to have a pleasurable stay. Name Four Countries in which the Company Operates Marriott has many locations through-out the world to offer service to their customers. United States, Brazil, Belgium, and Australia are four locations where their hotels are located. Marriott is located in the majority of the world so it is easy to find a location when you are traveling as long as you are staying in a larger city there...

Words: 306 - Pages: 2

Premium Essay

Face Time

...Interview Jim Kelly of UPS: Reinvention with Respect Julia Kirby No Best Practice Changing a Culture of Face Time r0110h r0110j Bill Munck Tool Kit Welcome to the New World of Merchandising r0110k Do Scott C. Friend and Patricia H. Walker This document is authorized for educator review use only by Halah Simon, Iqra University until February 2016. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 rP os t Best Practice Marriott’s intense work ethic was driving away talented managers. Transforming that culture wasn’t easy, but the change led to happier employees – and better results. op yo Changing a Culture of Face Time by Bill Munck he hotel business is relentless. We have to provide 24/7 service 365 days a year, and...

Words: 4753 - Pages: 20