Banyan Tree Branding the Intangible

Strategic Drift in margin Research In Motion (RIM) is a community that has suffered from strategic drift. The essential problem created by RIM unaccompanied focused upon their current technology, without evaluating the rapid changing among the competitors apple and Android were using. RIM has simply made incremental changes to the same produce which has not met the change in nodes needs (Dwyer and Edwards, 2008). The leaders at RIM argon overestimated the BlackBerrys advantages, while Apple and Android roducts developed the use of apps, ruin operating systems, hardware and usability.The RIM BlackBerry ph onenesss have seemingly move behind this environmental change (Guman, 2012). It had caused shareholders angry and 11% shared falling off as a senior RIM employee wrote an open letter to the Co-CEOs spurring them for citing the corporation lacked of focusing the mart change and fail to improving the handicraft. It is unadorned that the leaders are entirely responsible fo r revolutionary change in RIM. In 2012, the revolutionary changing in the two dual CEOs mike Lazard and Jim Balsillie had been stepped down and re posteriord by Thorsten Heins.Heins made a substantial changes to the phoners leadership team. hindquarters & Katulis (2007) suggest that there are some(prenominal) fallings that could cause backing crepuscule or strategic drift and one of the main points they highlight is a lack of commercialiseplaceing skill, which could attributed to the leaders. Eden (1998) offers the idea that a loss of impertinent confidence and reputation could be caused by strategic drift and in the case of RIM these securities industrying errors have certainly affected their reputation.banian tree direct leaf bladeing the intangiblebanian tree corner Branding the Intangible Abstract banian corner Hotels and Resorts had become a leading pretender in the luxury resorts and spa market in Asia. As expose of its growth strategy, banian tree steer had launched new provokers and brand extensions that included resorts, spas, retail outlets, and even museum shops. Now, the company had to contemplate how to manage its brand portfolio and expand its business while preserving the obviousive identity and loyal brand go through of banian corner, its flagship brand. Case Questions 1. What are the main factors that contributed to banyan tree channelizes conquest? 2.Evaluate banyan Trees brand becharm and communications strategies. Can banyan tree Tree maintain its peculiar positioning in an increasingly overcrowded resorts market? 3. Discuss whether the brand portfolio of banyan Tree, Angsana, Colours of Angsana, and Allamanda, as good as the output portfolio of beach resorts and city hotels, spas, galleries, and museum shops fit as a family. What are your recommendations to banyan Tree for managing these brands and products in future? banter of Case Questions 1. What are the main factors that contributed to banian Tree s conquest? Banyan Trees mastery might be attributed to an verall well designed and executed external and internal marketing program, and in particular(prenominal) Choice of target surgical incision Positioning and branding strategy intersection/service design and deli genuinely Aggressive internal marketing amiable the support of local anaesthetic communities and public interest groups Pioneer status front well-nigh public mover advantage Pro-environmental business practices Choice of target segment The massive price gap in the luxury resorts market meant that middle fastness class consumers must either stretch to digest for ultra curvaceous resorts such as Aman, or settle for resorts, though luxurious, are issueed to he masses. Ho recognized the business opportunity presented by the gap in the resorts market there was room for something pricier and more(prenominal) goop that would better cater to these middle upper class consumers, who had better occuring p ower than had the medium consumer in the mass market, and would be able to afford and willing to pay for a more exclusive premium service offering. Moreover, as a result of todays generally more feverous and nerve-racking lifestyles, many well-to-do couples would appreciate Banyan Trees repute proposition of a memorable, romantic holiday implement that would oth take into account residuum and create quality time for them to spend quiet moments together. Positioning and branding strategy Although Banyan Trees service offering was unique when it was first-class honours degree launched, this would not be a sustainable competitive advantage, as most tangible products could be easily copied by competitors. Establishing a strong service brand, however, would serve to distinguish Banyan Tree from competitors when they do unityt up on the bandwagon. Positioning as a sanctuary for romance and involvement was well thought out, these being timeless attributes valued by many couples.A clear brand promise of romance and intimacy, which the company un dissimilariatedly delivered, also helped it arrive at a clear and distinctive market position. That the company consistently delivered on its promise win reinforced what Banyan Tree stood for in the minds of its customers, thereby twist twain brand loyalty and aflame bonds. Product/service design and delivery The luxurious villas and distinctive inwrought settings provided an excellent backdrop for guests to create memorable holiday sustains. Service employees were warm, sincere, and respectful knew guests by their names and emembered their preferences. much(prenominal) personalized service delivery warm guests, and helped them feel comfortable and relaxed, contributing to the entire customer realize. This was further compound by the feel-good factor that guests patronage helped to contribute to various social and environmental causes. Repeat patronage was also encouraged by the different serve offered a t different locations, which gave satisfied guests an added incentive to visit Banyan Tree resorts around the world, to experience authentic flavors and practices of various local communities. As employees were give freedom to decorate the illas and in serving guests, even regular guests of a particular resort would have a different experience and whitethorn be pleasantly surprised every time they checked in. much(prenominal) practices, together with continual service innovations, kept the Banyan Tree experience fresh and interesting. The whole Banyan Tree experience was engineered to appeal to ones senses, giving guests a unique value proposition foreign the regular room go forwards offered by competitors then such a service feature was also difficult to imitate, and successfully set Banyan Tree apart from other resorts in the market. Satisfied guests not only became loyal customers but lso helped spread positive word-of-mouth, which in turn gained the company new customers. Ag gressive internal marketing Generous staff welfare policies created a strong sense of brand ownership among employees, which motivated them to achieve service excellence. Service staff served guests with passion and sincerity that could not be bought or easily copied by competitors. employees may not always provide the standard service across all the resorts nor always like to that usually found in five-star establishments in developed countries, their friendly and respectful attitudes towards guests more than made up for it and ctually provide an element of surprise even to the most regular guests. Winning the support of local communities andpublic interest groups The companys considerable investments in conserving/preserving/promoting the social/cultural/ rude(a) environment beyond what was required of the company (without sacrificing on service quality) showed proof of corporate moral philosophy that were driven by the managements personal values. Such acts intercommunicate the Banyan Tree brand as being sympathize with and sincere, consistent with its positioning of a romantic brand. Overall, Banyan Tree was viewed by guests, staff, local communities, and public interest roups as a warm, sincere, caring, ethical, and responsible company. Even when guests fail beyond the resorts compounds, the genuine feelings of hospitality and appreciation showed by the local communities at the villages made guests felt welcome and at home, making the entire stay pleasant and memorable. Such service capabilities were extremely difficult for competitors to imitate, requiring lots of investments in time, effort, and money by the firm to gain the trust and respect of both staff and the local community alike. Pioneer status first mover advantage At a time when clinical spas were the norm,Banyan Tree invested in tropical garden spa pavilions, pioneering the concept of tropical spas and Asiatic therapeutic massages, a novelty which proved to be popular. world the first in the market gave them a head start in piercing the market. The lack of competition in the beginning also helped in consolidating the companys position in the spa and resorts market. Establishments that were interested in providing similar spa services pictorially approached them to establish an outlet in their premises, which helped further promote the concept of tropical garden spas beyond the regional markets.Pro-environment business practices Although being environmentally conscious sometimes resulted in costlier business decisions, for Banyan Tree, a major part of the resorts attraction was in the natural kayo of the location in which the villas were located. So, it made economic sense to protect and keep open the resorts surrounding environment to ensure that it remained an attractive tourist destination in the long run, or as Banyan Tree put it, to thwart todays darling from becoming tomorrows has-been. Such pro-environmental business practices also generated a lot of positive advancement and won the ompany several awards, and these not only helped increase the brand awareness of Banyan Tree but also generated much interest among potential customers. At the same time, the company got the support of various public interest groups, such as environmentalists, and this saved the company from having to deal with any potential agitate that might have arisen from their development of the natural habitats of various flora and beast for business purposes. 2. Evaluate Banyan Trees brand positioning andcommunications strategies. Can Banyan Treemaintain its unique positioning in an increasinglyovercrowded resorts market?Brand positioning is timely and appropriate in todays hectic and stressful lifestyles Banyan Tree was positioned as a sanctuary that offered couples an exclusive romantic and versed holiday experience. Positioned on such timeless attributes as romance and intimacy between couples, the positioning is timely and appropriate in todays incre asingly hectic and stressful lifestyle, where many couples are busy with their careers and have little time to spend together. Banyan Trees offering of an avenue to get away from it all and spend quality time together while relaxing and de-stressing would appear to be valued enefits sought by todays busy couples. Being the first and only resort to be positioned as such, Banyan Tree occupied a unique position in the luxury resorts market when it first started. Focused promotion efforts with minimal wastage Banyan Trees communications program focused mainly on public transaction and publicity, and direct marketing through its web site and sales offices that targeted wet consumers, with little emphasis on advertising. As advertisements were selectively placed in only high-end travel magazines that targeted the higher income and more sophisticated segment of the market, astage in advertising exposure is minimized. Showcasing the awards and accolades won credibly enhanced the brands rep utation. Promotion through agents specializing in exclusive holidays adequately exposed Banyan Tree to its target segment of pissed consumers. Efforts at obtaining and increasing pillar coverage on Banyan Tree both increased brand awareness in the industry and helped to sell the Banyan Tree experience credibly, coming from a neutral third party. Much positive publicity and public interest was generated as a result of the companys investment in pro-environmental business practices, such as ponsoring various environmental conservation programs and community outreach programs. Besides being viewed as a caring and pro- environmental company, such publicity also drew attention to the natural beauty of the resorts and their environments, which helped the company to advertise its villas. Unique positioning sustainable? Whether Banyan Tree can maintain its unique positioning in the market would depend on how well it can keep its identity distinct and prevent competitors from encroaching i nto its turf. Generally, the positioning of providing romantic and intimate holiday experiences is not difficult to mitate so is the concept of exclusive villas and any tangible offering. But, the general service experience at Banyan Tree can save be unique, given its location specific service offerings and the uniqueness of the natural environment that Banyan Tree resorts are located. Although service innovations can be copied easily, the personality of a brand is less so, and the same can be said of the attitudes of staff and the local community at the resort destination, as well as the genuine feelings of hospitality shown towards guests. Banyan Tree had well-tried to appeal to the senses, ocusing on the boilers suit customer experience and working on what the customer will ultimately bring homememories. Judging from its success so far, it appears that even if competitors come up with similar lower-priced service products, it is unbelievable that they would be able to repli cate the total Banyan Tree experience so quickly. Perceptual mapping could be used to visualize the market positions of Banyan Tree and its sister brands relative to competitors in the industry. An example of a positioning map with the attributes price level and romantic versus sporty image is shown below 4.Discuss whether the brand portfolio of BanyanTree, Angsana, and Colours of Angsana, as well asthe product portfolio of beach resorts and city hotels, spas, galleries, and museum shops fit as a family. What are your recommendations to Banyan Tree formanaging these brands and products in future? From luxurious six-star Banyan Tree resorts to small, individual Colours of Angsana branded hotels in exciting locations, these properties were bound together by one central theme the romance of travel and the beauty of discovering the world. Banyan Tree targeted the higher end of the luxury resorts marketAngsana was more mainstream and contemporary, targeting the wider market The Colours o f Angsana range of boutique hotels catered specifically to the soft adventure touristry segment, locating in remote and exotic places that cannot justify the premium prices aerated by Banyan Tree villas The various brands thus served to cater to different segments of the hotels and resorts industry, made distinct by price and benefits offered. The city hotel was also positioned likewise on romance and intimacy although it additionally catered to business travelers. There is a heavy emphasis on spa, designed to rovide an escape from the hustle and trouble of the city. It also offered various getaway/ spousals packages for couples to indulge in romance and intimacy. The various facilities, such as spas and retail outlets, found across Banyan Tree resorts, were also available at Banyan Tree Bangkok. In particular, the hotel had an open-air rooftop lounge, Vertigo, at the top of the building, where guests could get a good view of the city the lounge could also be used to host wedding receptions and other parties. Four broad product lines accommodation, clubs, spas, and retail outlets Banyan Trees products and services could be lassified into essentially four product lines hotels and resorts, clubs, spas, and retail shops, under various brands and sub-brands. Banyan Trees properties and spas could be assort under the business of travel and leisure. The retail shops augmented and helped to extend the overall service experience through the sale of products that consumers might use at home to replicate and remind them of the Banyan Tree experience. Also, the arts and crafts change at the shops not only served to reinforce Banyan Trees brand personality, but also fitted in the travel industry, with the sales of autochthonic products that tourists could buy s souvenirs. Achieving branding consistence through management by brand Management of the portfolio by brand would achieve more consistency in branding and positioning, and also make it easier to cross-sell an d bundle products, although such an system of rules would require duplication in resources for various functions. Target customer Banyan Tree focused on its target customer segment which was high-end wealthy customers looking for exclusive luxury holidays. Banyan Tree knew exactly which customers they cherished to target and carried out its brand positioning accordingly. Advertisement The advertising was very minimal to maintain exclusivity and it was carried out in top-of-the-line travel magazines that targeted its preferred customer segment. It never went in for a mass market strategy by selling through wholesale and retail agents. It became so successful and productive owing to the fact that it ended up knowing its target customers so well, it met their needs better than other giant chains such as Hilton and Shangri-La. Brand Identity -Brand value / ethics / CSR Environmental friendly, preservation of eco system, bio- degradable products, customer focus, -Brand Associations / Personality Caring, Romance and intimacy, social and sensitive, rivate, cultural and authentic, -Brand Vision sanctuary for the senses, building a necklace across the world -Brand Positioning (Category, POD, POPs, Value Prop) -POD Pricing, experience intimate moments, private pools, spas and art gallery, building memories, romance, CSR, customer involvement(environmental preservation), sense of place (different place - different experience) -POPS all attribute of luxury resorts(high service standard, 5 star training -Value Proposition is ideal for .. provide target market segment because they provide.. better than their competition