Canyon Ranch Case

1582 Words Jul 4th, 2013 7 Pages
Should Canyon ranch implement a CRM strategy? What are some of the major considerations?
Canyon Ranch should absolutely implement a CRM strategy. For years Canyon Ranch has been the leader in the luxury segment of the spa industry, with a unique value proposition. However, competition has started becoming an increasing threat, as the trend has shifted towards convergence between medicine and spa services. There are a number of new players, and in order to maintain that point of differentiation, Canyon Ranch will need to build their relationships with their customers. In order to do that, they need to implement a CRM strategy.

Some of the major considerations include: * Leadership: Leadership sees the potential value of
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Their guests could not only enjoy spa services, but also nutrition seminars, fitness activities, and medical attention.

In addition, they have always had a focus on providing superior customer service and personalizing their guests’ experiences. In fact, they pride themselves on their extremely attentive service which includes a 2:5:1 staff-to-guest ratio. They have a true integrative-care model, and therefore want the Canyon Ranch experience to be customized to their customer needs. Management is strongly committed to this initiative of providing an unparalleled standard of customer service. In terms of CRM, they are keenly aware of the potential that customer data offers, as well as the risks of not using it properly. For example, Canyon Ranch executives believe that if properly integrated, the Health and Healing Department could offer important synergies with other departments. A CRM strategy will enable Canyon Ranch to deepen their relationships with their customers, therefore providing an unprecedented level of customer service, as well as a competitive advantage.

How would you judge the current use of CRM concepts by Canyon Ranch?
Canyon Ranch has developed substantial knowledge about their customers over the years; however this knowledge is only surface level. There is a large opportunity for them to expand on their current systems to extract additional information and provide a more intimate, customized experience for their customers. As

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