cabo san viejo
DESCRIPTION
TRANSCRIPT
INTRODUCTION* Cabo san viejo was founded in 1977 by Dave and
Florance Blumenthal at Palm Spring, California.
* Mission- Helping people to live healthier lives by unlocking their hidden potential and making self-actualized individuals.
* Nations first and leading health &wellness brands.
* In 1982 Cabo was regarded “Premeir total vacation/ fitness resort” by leading magazine.
*In late 1990’s and early 2000 Cabo opened several smaller branded Caboday spa sites .
*Featured in publications such as Spa Finder,Departures,etc
Properties With comprehensive , state of the art Health - Spa services & hard
work Cabo san viejo has evolved as what they are today.
Operated 5 properties One full –service, overnight destination resort(Palm Springs,CA) Four smaller,CaboDaySpas:-Miami Hilton Head,SC, Aspen,CO, Natucket Island in Massachusetts.
Located on 150 acres in San Bernardino Mountain.
Facilities expanded to 1,00,000 square foot spa complex, 4,200 square –foot golf performance and 13,000 square-foot Aquatic centre.
Accomodate 288 guests.
Health - Spa services
Massage and Body work
Skin care and beauty Medical Services
Lifestyle Management
Staff to guest ratio is 3.2:1
Efficient personal trainers
Efficient & trained
reservation staff
CompetitorsMajor destination spas such as:o Miraval (Palm Spring) offered broad array of spa and
exercise opportunities and offered precise mix of targeted offerings.
o Rancho La Puerta:Was billing itself worlds 1st eco resorto Golden Door (Escondido,CA):primarily was focusing female
customers .
Additional competition from Dayspa, beauty salons, high –end health clubs, cruise ships and vacation resorts.
Competing against Hawaiian Vacation.
ClienteleClientele•Most of the customers were largely affluent, middle aged and females.
• Approximate 3500 customers each year.
• The summer clientele was younger.
•There were several levels of customer.
Loyal Customer Satisfied customer Dissatisfied customer.
Cabo San Viejo Customer Satisfaction,Palm Springs Location Comment Card Responses
74 %
21 %
3 %1 %
1 %OUTSTANDING(74%)
VERY GOOD(21%)
SATISFACTORY(3%)
UNSATISFACTORY(1%)
NOT APPLICABLE(1%)
Marketing and Sales strategy
Creating brand awareness ads
through TV, print media &
radio
Efficient & trained
reservation staff
Partnership marketing
efforts
Cross-Marketing
Maintaining a strong sales
force
Reduced rates in off season/
Organizing receptions
Customer survey and
sending guest personal
“Thank You” letters to their
patronage
S.W.O.TSTRENGTHS
•First & leading brand
•Wide offerings and facilities
•Excellent staff
WEAKNESS
•Inaccurate and incomplete customer database •Little cross and direct marketing•High Price
OPPORTUNITIES
•Diversification and expansion•Untapped market segments•Demand will increase with increase in health awareness. •Increase customer loyalty
THREATS
•Stiff competition. •Wrong Perception•Increasing consumer -customers expectation
Problem facedTop of the pyramid in terms of pricing.
Outdated computer system and no data base.
Limited accomodation.
Failure to attract male customers.
Suffered complaints about lack of loyalty programs and unable to match rising expectation.
Loyalty ADDING FINANCIAL BENEFITS .
ADDING SOCIAL BENEFITS.
ADDING STRUCTURAL TIES :-
CREATING LONG TERM CONTRACTS OR SUBSCRIPTION
CHARGE A LOWER PRICE TO CONSUMER WHO AVAILS MORE SERVICES.
Loyalty ProgramTo
build custom
er equity
Attracting
customers
good custom
er relation
shipcustomer satisfaction
word of mouth
publicity
To survive in the
competition
Cross Marketing
Challenges• Operational challenges
Outdated computer system and no customer database
Huge Implementation costTangible versus intangible rewardsIncreased expectations of the
customers
• Philosophical challengesUnbiased approach to customersNot a 100% safe Idea.Element of surprise is eliminated
Properties OfferingsCompetitorsMarketing and Sales strategyClienteleProblems facedLoyaltyChallenges
SUMMARY
Loyalty program benefits should be availed to all customers.
It is not enough anymore to merely satisfy the customer- Customer must be delighted:- Membership cards Birthday and Anniversary cards While satisfied customers tend to be loyal customers, loyal customers are not always satisfied customers. If you keep your customer happy, they will keep you in business.
Thank You !