rosewood case presentation[2]

Case Study Presentation ByKamna MathurSaurabh PathakTarun ChahdaVipin Walia

Vrinda Narang

ROSEWOOD

Hotels & Resorts

CURRENT SCENARIO

Rosewood is group of different hotels with each hotel being a brand on its own

12 properties in different countries Highly regarded and individualized properties Each property so distinctive that it could thrive on its won “Sense of Place” - Each Hotel exhibits local character, culture

and design Known for the ability to enhance a property’s value by

creating uniqueness, one of a kind property that differentiates it from regular chain like competitors

Nightly rate ranged from $120 for one of the Saudi Arabian properties to $9000 for a Canadian lodge

COMPETITION

Competing with known chains and individually branded properties, to name few:

Four Seasons with 53 properties Ritz-Carlton – 22 properties Fairmont Orient express Rocco Forte etc.

WHAT DOES ROSEWOOD MEAN TO MOST CONSUMERS

GUEST SURVEY

It means nothing. Guests have used various properties but couldn’t realize that

all were a part of same group Even after staying at the property, guests don’t tend to know

the name Rosewood Rosewood as a brand doesn’t encourages me to try different

properties I dint know until my travel agent mentioned it

AGENTS SPEAK

o I book the hotel and not the Rosewoodo Brand is not as important as the propertieso The brand is not as strong as it was in its pasto Known only by individual properties o Clients don’t come asking for Rosewood propertieso Clients know Rosewood only because I educate them on ito Clients know the individual properties better than the hotelo No positive connotations like for Four Seasons etc. o We have to drive understanding of Rosewood. Once they

understand what Rosewood is, it does mean something

EMPLOYEES SAY

It’s a brand of dilemma – don’t see great opportunity, few business opportunity

Secret club – known by some guests who go and the industry Very low awareness. Those who know are past guests

SHOULD ROSEWOOD MOVE FROM A HOUSE OF BRANDS TO A BRANDED

HOUSE?

WEIGHING THE PROS N CONS

ADVANTAGES OF CORPORATE BRANDING Better customer life time value Collective experience Consistent service – in all aspects Encourage guests to use more than one property Better brand recognition High customer loyalty As per the survey, Individual brand or collection hotels had 5%

to 10% cross selling rates while corporate branded hotels enjoyed 10% to 15% cross property usage rates

ISSUES IN CORPORATE BRAND PROMOTION

Internal resistance : Few Hotel Managers were inclined to promote their own Hotel Rather than promoting the Rosewood

Some corporate guests didn’t want to be a part of bigger Organization due to their emotional attachment to a particular hotel.

WHAT DO WE SUGGEST

BUILD A ROSEWOOD BRAND

Build a brand now, before other chains picks up too fast Trade is in favor. They know the brand and educate

clients too Brand has been diluted in few years. Past guests knows

the brand well Difficult to compete with other Luxury Hotel Groups as

vast majority of market was focused on corporate branded vision

Brands like Four Seasons have better recognition To fight competition in future Easy global expansion

SUGGESTIONS

Don’t dilute individual brand persona Subtly add Rosewood to it Get internal teams confidence Show them a bigger picture Incentivize trade and ask them to push a brand PR can do wonders Build a Rosewood membership plan Tie up with travel agencies/tour operators etc