Rosewood Hotels and Resorts

I found the Rosewood case to exemplify common challenges a company faces – deciding what tradeoffs are best for the firm. Rosewood’s dilemma involved trying to enhance its brand name without losing each hotel’s identity. Rosewood hotels pride themselves on their ability to create a unique and cultural experience for its guests. It is important for the company to create a balance between these two factors. My team felt it was in Rosewood’s best interest to include corporate branding at all properties as a way to increase visibility to customers and encourage guests to try alternate locations. In order to not hurt the value of some property names, Rosewood should allow managers to add the company name to the beginning or end of the current title. This will associate all properties together without lowering the value or customers’ perceptions of well-known properties. Through calculating the CLV if Rosewood was to participate in corporate branding, we confirmed this decision would be most profitable for the firm.

This case also demonstrated the benefits of customer relationship management. When marketing its various locations, it is important for Rosewood to properly identify consumer preferences in order to satisfy their demands. For instance, being able to differentiate travel lovers from those who wish to do nothing by lay on a beach for a week can be very advantageous. This information would allow the company to promote its additional hotels to one group of consumers while focusing on getting the other group to return to their preferred location. Customer relationship management will also identify the company’s less profitable clients, permitting employees to allocate marketing budgets in the most efficient and effective manner.